AMCF Conference call Monday
I really like the things this company is doing over the last few quarters in all aspects of their business. They quietly continue to produce very profitable numbers throughout the market turmoil in 2008 and 2009. Their 2009 full year revenue was 124 million which was up 57% from 2008. their net income earnings in 2009 grew to 6.4 million from 1.92 million in 2008 which was an increase of 333%.
AMCF is a provider of marine fuel for China which has the largest fleet of fishing vessels in the world. They use a special process to blend marine fuel using recycled diesel fuel in the formula. This provides them with a competitive advantage as using recycled diesel fuel allows them to produce marine fuel 20% cheaper than their competitors and at equal quality. This provides them with higher profit margins as they are able to obtain the recycled diesel fuel more cheaply. I also like the fact that their blended marine fuel process is encouraging recycling and saving natural resources which is a very environmentally friendly company which is gaining support from the Chinese government.
AMCF IPOd in January at $6.30 and since its IPO it has pulled back slightly. Currently AMCF is trading at a PE of 5 in a sector where most trade around a PE of 30. The Price to earnings growth ratio (PEG) is .02 which is ridiculously low for a company of this type of growth. The reason this company is trading so low is that they have very little exposure and very few investors even know about this hidden gem in China. In my opinion as more investors discover how undervalued AMCF is they will start to trade more in line with their fair value of around $20-$25 per share.
There is 58% insider ownership and there are 9.1 shares outstanding and only 3.8 million shares in the float. The float is very low and any type of institutional buying could really get this thing moving. I really feel AMCF earnings numbers on Monday will be great and they will continue to impress investors with their consistent quarterly earnings growth. I recommend for you keep an eye out on this stock Monday and listen to the conference call Monday.
China, today announced that it will conduct a conference call at 9:00 a.m. ET
on Monday, May 17, 2010 to discuss its first quarter 2010 results.
Mr. Fengbin An, Chairman and Chief Executive Officer and Mr. Wen Tong,
Chief Financial Officer, will host the conference call. The Company will
release its financial results for the first quarter 2010 prior the call.
To participate in the live conference call, please dial the following
number five to ten minutes prior to the scheduled conference call time: (877)
272-5391. International callers should dial (706) 634-4940. When prompted,
please mention conference
passcode: 749 33578
AI
