(Business Edge columnist Gyle Konotopetz regularly profiles the top three stock picks of some of Canada's most accomplished investment pros.)

FEATURED PRO: Josef Schachter is president of Schachter Asset Management of Calgary and provides research to other firms such as Maison Placements Canada.

Schachter's Perspective: "The economy was expected to weaken and it hasn't. Corporate profits have been good and the banks are doing well. For instance, Royal Bank had blowout (financial) results recently. I've raised my targets (for the indices). I think the S&P/TSX index will end the year at about 10,000 and the Dow (Jones Industrial Average) will end the year at about 11,400 or 11,500.

"I continue to be bullish on oil and gas stocks and believe the (S&P/TSX Energy Index) will end the year at about 250 to 260 (from a recent level of 239). I think that because inventories are good, we could have a bit of a near-term correction (in oil prices) between now and the summer driving season.

Josef Schachter

Once winter is over, if inventory builds and OPEC (Organization of Petroleum Exporting Countries) doesn't cut back (production), then we could see the oil price back to about $38-$40 US (West Texas Intermediate price)."

First Star

* Endev Energy Inc. (TSX:ENE)

* Recent Price: $1.45.

* 52-Week Range: $0.83-$2.38.

* Snapshot: Endev explores, develops and produces oil and natural gas with properties in Alberta and Saskatchewan.

* CEO: Cameron MacGillivray.

* Head Office: Calgary.

* Vital Stats: Revenue (last 12 mos), $43.3 million; 5-Yr Revenue Growth, 84.4 per cent; Earnings (last 12 mos), $471,000; Market Cap, $126.3 million; Shares Outstanding, 87 million.

* Schachter's View: "Endev stumbled last year, but the company has since hired new management. The new management took over in November and started stabilizing things.

"At the end of December, they exited the year at 4,500 boe (barrels of oil equivalent) per day.

"I think they will exit the year at 5,200 boe a day and that equates to about 44 cents of cashflow (per share) and a $2.60 stock (price). My 12-month target is $2.60."

* Trading Strategy: "If the stock does run up at yearend to the $2.60 mark, people might want to take some trading profits at that point. But I do like the stock longer term. I think that with the new management team and with a strong gameplan over the next two to three years, Endev could grow to 10,000 boe per day and higher and the stock could eventually be worth $6 or $7."

* Web Watch: www.endevenergy.com

Second Star

* Sterling Resources Ltd. (TSXV:SLG)

* Recent Price: $1.49.

* 52-Week Range: $0.27-$2.15.

* Snapshot: Sterling is an international oil and gas exploration company with operations in the United Kingdom, Romania and France.

* CEO: Robert Welty.

* Head Office: Calgary.

* Vital Stats: Revenue (last 12 mos), $0; Earnings/Loss (last 12 mos), $800,000 Loss; Market Cap, $64.8 million; Shares Outstanding, 42.41 million.

* Schachter's View: "Sterling has two key plays. One of them is in the U.K. offshore where they have 11 concessions. Three or four of these concessions are getting ready to be farmed out (to a partner) and these are very high-impact wells. They also operate an onshore play in Romania. A lot of these countries that were formerly behind the Iron Curtain and don't have very good technology access have been the sites of some great success stories like PetroKazakhstan (TSX:PKZ).

"We think that Sterling, potentially, has 10 anomalies on their land. There is so much upside. They have $28 million in cash on the balance sheet and they are just starting to get their plays ready to be drilled."

* Trading Strategy: "My view is that it could be a $4 or $5 stock in 12 months and, if they have much success with the drill bit, it could be $10 over the next three to five years. I think that it is a fabulous story and, if people are patient, I believe they will do very well."

* Web Watch: www.sterling-resources.com

Third Star

* Real Resources Inc. (TSX:RER)

* Recent Price: $13.60.

* 52-Week Range: $6.20-$15.38.

* Snapshot: Real Resources is involved in the exploration, development and production of oil and natural gas throughout Alberta and in southern Saskatchewan.

* CEO: Lowell Jackson.

* Head Office: Calgary.

* Vital Stats: Current Price/Earnings Ratio, 30.3; Revenue (last 12 mos), $95.8 million; 5-Yr Revenue Growth, 38.2 per cent; Earnings (last 12 mos), $12.4 million; Market Cap, $377.2 million; Shares Outstanding, 27.73 million.

* Schachter's View: "I thought that Real would do about 8,200 boe per day by the end of 2004 and they beat my number, going to 8,500 boe per day.

"They have had six rigs running in the first quarter and I hear they have had two very nice discoveries. I think that if they continue to have good success with the drill bit, they'll exit 2005 north of 10,000 boe per day.

"I'm looking for the company to do about 80 cents (per share) in cashflow in the first quarter this year, so that equates to $3.20 of cashflow (per share), and with that you could have a $20 stock."

* Trading Strategy: "On weakness, in the $13 to $15 range, I'd be a buyer. At $20 to $22, I would re- evaluate the position. If the fundamentals continue to improve,then I think that my target is going to get raised again at $20."

* Web Watch: www.realres.com

* Schachter's Edge Record (past 12 mos): +124 per cent. Best Pick: Tyler Resources Inc. (TSXV:TYS) +344.4 per cent. Worst Pick: Canadian Superior Energy (TSX:SNG) +1.1 per cent.

* Disclosure: Schachter Asset Management has been involved in financings for Sterling Resources and Real Resources. Schachter Asset Management's client, Maison Placements Canada, has been involved in a financing for Sterling Resources.

* NOTE: This feature is provided for informational purposes. Investors should do their own research or seek advice from a registered investment professional.

(Gyle Konotopetz can be reached at gyle@businessedge.ca)