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Finance

Is Recon Africa (RECAF) Stock a Good Buy or Should You Stay Away?

Reconnaissance Energy Africa, also known as Recon Africa, has been on a fire and the stock has gained 2,830 percent over the last year. However, the stock is down 13 percent from its 52-week highs and is in a correction zone. Is Recon Africa (RECAF) stock a good buy now or should you stay away from the company, which was a penny stock not long ago?

Buying Recon Africa stock depends on personal preferences.

Recon Africa isn’t making any current revenues. It’s largely a play on the Namibian oil find, which the company calls Kavango Basin. The project is controversial due to the environmental harm that it’s expected to cause. Several funds and individual investors have been shying away from fossil fuel stocks due to the environmental harm that they cause.

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Several miners have been limiting their carbon footprint and exiting the coal business, which is among the dirtiest energy sources. Most of the oil and gas companies have also outlined plans to become carbon neutral and are investing in green energy to diversify their portfolio.

However, if you are comfortable with the environmental hazards that Recon Africa’s Kavango Basin might entail, it could be a good stock to buy. However, it’s susceptible to a fall after the massive rally over the last year.

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View more information: https://marketrealist.com/p/is-reconafrica-recaf-stock-a-good-buy/

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