After yesterday's closing bell Anadarko Petroleum (NYSE: APC) reported strong earnings. Excluding nonrecurring items, Anadarko's earnings totaled $1.44 per share for the quarter. On average, analysts were expecting just $1.22 per share. When compared with last year, Anadarko's quarterly profit per share surged more than 40%.

Shares ended Monday at up $1.04 to $68.14, and rose over 10% today to $75.04 as oils prices continue to surge. It was only last week I posted Chasing Value: Anadarko (APC) up 75% -- hits new 52-week high but I guess it will move higher still.

The other good news is that it has more than halved its debt since acquiring Kerr-McGee IN 2006.

It still has a low P/E under 9, a high net margin and RoE of about 25%, pays a small dividend yield of 0.53% and in case a bigger company has an interest. remember the old adage, "the cheapest place to buy oil is often on the floor of the New York Stock Exchange".

Anadarko must be on the watch list of "big oil" and it should should definitely be on your watch list too.

Sheldon Liber is the CEO of a small private investment company and the principal for design and research at an architecture & planning firm. He writes the columns Chasing Value and Serious Money. Disclosure: I own shares of APC.