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Almost three weeks ago, Jim Cramer presented us with a thesis explaining why steel is an attractive play. I reported at that time that this thesis gave me a big "ah ha!" moment. I also reported that given this thesis, SGR, LSS, and MVK made sense to me. Since then, I did indeed dip into LSS - of the the three, I know the most about LSS and I thought the valuation looked the most attractive (see disclaimer). While LSS has been hit the most during the latest correction in the oil patch, I felt validated when a caller to Thursday night's Mad Money asked Jim Cramer about Maverick Tube (MVK). (MVK and LSS compete in the same spaces.) Cramer immediately went into (well, screaming, ranting, and raving might be more like it!) his oil-and-steel thesis again. Of course, these stocks are not good investments just because the two of us share the same thesis. In fact, a decent-sized correction in the oil patch could be upon us after stocks in this sector failed to deliver the goods after a nice technical set-up. However, as more and more oil and gas companies commit to building infrastructure, companies like LSS should do some good business for some time to come. Continue to keep your eyes open on names like these.
Be careful out there!