Biofuel Energy Corp (NASDAQ:BIOF)

CAPS Rating: 1 out of 5

The Company is considered development stage as its only asset is its investment in Energy LLC. The Company's plan is to become an ethanol producer in the United States.

Recs

6
Player Avatar TMFUltraLong (99.96) Submitted: 12/11/2009 4:06:04 AM : Underperform Start Price: $78.40 BIOF Score: +23.77

So lets get this straight... the company produces ethanol, a product that consistently has shown it creates poor margins. BIOF lost over 6M dollars last quarter and shows no sign of profitability any time soon. The reason it rallied 800% is based on a decision expected by the EPA regarding the addition of more ethanol to gasoline yet that decision has been moved off at least six months plus. We have a pretty cut and dry case here folks of once again...show me the profit. Unless your name is Archer Daniels Midland, your ethanol production line is just a fancy word for I lose money for a living. Grotesquely overvalued at these levels. Have fun with that 261M in debt as well....

UltraLong

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