Metalico Inc. (MEA)

[polkamatic]

MotleyFool: "Heavy Metalico
Though the name Metalico conjures up head-banging and thrash metal, the New Jersey-based firm is a recycler of scrap metal, and has its own set of devoted groupies. With 82 CAPS players calling for outperform (and not a single bear in sight), Metalico is an overwhelming fan favorite.

According to our community, Metalico offers a nice way to play the trend of increasing "green" initiatives, as higher metals prices are bringing recycling back into the forefront. Just this past March, Metalico was named a Green Power Partner by the Environmental Protection Agency. Over the past three years, Metalico has grown its top line at a compounded rate of 44%, while delivering double-digit returns on equity.

The stock is up big year to date, but with today's 10% price drop -- caused by declining unit volumes in Q2 -- Metalico now trades at a forward P/E of 11.

CAPS player bluejohnnyd gets scrappy:

Metalico is tiny, and has a lot of room to cut expenses and raise margins. Over the past two years, the earnings have nearly doubled, and analysts are expecting a rise of about 25% next year as well. If this kind of growth continues, then it may be as little as half of its intrinsic value."
http://www.fool.com/investing/general/2007/08/06/5-low-priced-high-star-stocks.aspx