Alto Ingredients Inc (ALTO)

[kel3]

5 Pacific Ethanol Valuation Models ~ ALL Over $30

1.)

35 Million EBITDA
6 x EBITDA = $42 Fair Value
s/b 600mm market cap
GPRE s/b $36 - $40/share
REX s/b $75/share

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2.)

Analyst Estimates Year 2014 ~ $4.15
$4.15 x 10 multiple = $41.50 per share Fair Value

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3.)

$10M + in Warrants money + $34M Operating Income + $25.1M from 1.7M Offering

$70M/20.01 shares = $3.48 in Cash per share
3.48 x 10 = $34.8 per share Fair Value

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4.)

Shelf registration SEC requirement market capitalization
700M /20.01 = $34.98 per share Fair Value

SEC Shelf requirement
- Companies wanting to use shelf registration must be classed as a "well-known seasoned investor"
To earn this classification, a firm must either have a $700 million US Dollar (USD) or greater market
capitalization
http://www.finweb.com/investing/overview-of-shelf-registration.html#ixzz2zoxXXbuu
Source: Financial Web website

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5.)

$500M Plant Asset Value of Plant Neil's Valuation at LD micro Conf in dec.
+ $100M Value or NOLs
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= $600M

$600M
+$70M Cash
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$670M/20.01M shr. = $33.48 per share Fair Value

Wicked Strong Buy !!

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