Strattner Financial Group (SCNG)

[cynic2005]

Let me offer some perspective for you:

If history is any indicator, there is no direct relationship between the price of oil and EVFL/EBOF.

We have seen this whole oil-increase-promotes-biofuels before:

Price of oil rises - so does the retail price of ethanol and biodiesel driving up demand for corn and soybeans which are key raw materials. Higher oil prices also drives up the farmers cost to raise crops. Both factors result in higher raw material costs for biofuels producers. Unfortunately, the reason for the malaise in this sector over the past 2 years was that these input costs increased faster than the price of the finished product.

Let's not forget, this company squandered away $50m in cash an posted double digit million dollar losses during a period when oil was $100+.