nsomniyak challenge
HPX.TO - Have a large acreage position in Alberta called the West Pembina Nisku area. Exited 1Q08 with greater than 20,000 boepd. Company has projected cash flow of $5.50 for 2008. Company exceeded 1st quarter 08 projections – Cash Flow of $6 is possible. The CF is allowing management to pay down debt rapidly and look to add a strategic acquisition. Also announced share buyback.
FMA.TO – Hat tip to farwest. Extensively DD’d on VMC Junior Energy. FMA reported a profit for the last quarter (5 cents) with only one month’s operations. Con - Short mine life.
BJGL.ob – Third-party provider of logistics services in China with 24 branches and distribution centers nationwide. Diverse businesses including books and magazines, agricultural products, wood, and Chinese traditional medicine storage and transportation services. Core business is books and magazines. If their numbers are accurate: 2007 Revenue - $85.9 million; 93.4 million shares o/s; 2007 earnings 14 c/share; This stock is trading at 30 cents (a PE of 2). Revenues increased over 50% from 2006 to 2007.
LNDC – Landec is one of the fastest growing providers of whole and fresh-cut specialty packaged specialty produce. Their smart polymers extend shelf life and freshness of fruits and vegetables. Good play for the food scarcity era in which we live. They have relationships (and revenue) from Chiquita, Air Products and Monsanto. Their tie-up with Monsanto is for seed coatings that allow farmers to plant several weeks early. If their technology gets more widely accepted in various this stock could explode to a multi-multi-multi bagger. TTM revenues of $232 million; TTM Earnings of $14.5 million (56 cents per share); Cash per Share of $1.5; Stock is trading at $8.38. No debt. If you back out cash, PE of 13. Stock was hit because of issues with the accounting treatment in past quarters but looks like they are working through that issue.
MOL.TO – Western Aussie Copper and Molybdenum miner. 20 to 30 year Mine life. Capital costs for mine are locked in. $1bn capital cost; 3 year payback; Operations startup in Jul 09. Moly global demand expected to outstrip supply. Average annual production: 24 million pounds of Moly, 27 million pounds of Copper and 500,000 ounces of silver. Current market cap - $325 million
ALJJ.PK – Well discussed on the VMC boards. Steel mill operator. Balance sheet woes but operations are throwing off lot of cash. If operations continue in this manner, stock could be a double during the contest period.
