Consolidated Water Co. Ltd. (NASDAQ:CWCO)

CAPS Rating: 4 out of 5

The Company develops and operates seawater desalination plants and water distribution systems in areas where naturally occurring supplies of potable water are scarce or nonexistent.


Player Avatar TMFDitty (99.65) Submitted: 12/4/2006 10:07:59 AM : Underperform Start Price: $23.11 CWCO Score: +5.39

Hey, I love water as much as the next guy. But I won't pay for the bottled stuff when I can get it for practically free on tap -- and I won't pay 35 times TTM earnings for a company that generates negative free cash flow, either. (Heck, for that price, I could pick up a Coke and half a share of PepsiCo.)

Report this Post 6 Replies
Member Avatar HGtrader (< 20) Submitted: 12/5/2006 2:59:42 PM
Recs: 0

Hey! You quoted me in your article and yet you don't let me know about it! Well in response to your article, I agree. It has a high valuation. I wouldn't buy it now, unless it had a nice dip. But the truth is I bought this stock 2 years ago and there wasn't CAPS then. So when I started CAPS, I immediately put CWCO. Why? I guess I love this stock and it's potential. I have a 3 year time frame, but I might hold it forever.

Member Avatar money4eds (< 20) Submitted: 12/5/2006 3:05:37 PM
Recs: 0

I owned the stock before caps. Thank you for the money pitch. I like to buy utility stocks for the long term. I cant find another supplier of water, so in the spirit of fools, this strikes me as a rule breaker for that area. Water purification is an expensive and specialized process.

Member Avatar HGtrader (< 20) Submitted: 12/5/2006 4:33:57 PM
Recs: 0

Ha! Down 9 points right off the bat. I'll over take you soon.

Member Avatar HGtrader (< 20) Submitted: 12/5/2006 4:36:06 PM
Recs: 0

Oops! I'd already passed you. Come and catch me!

Member Avatar Adambomb25 (< 20) Submitted: 12/5/2006 6:45:58 PM
Recs: 0

I've owned this stock since 2001 and it's quadrupled my money...

I do happen to know that their negative cash flow is partly due to the current production of new facilities.

Member Avatar HGtrader (< 20) Submitted: 12/5/2006 7:23:19 PM
Recs: 0

What the?! Did I make a mistake? You're ahead of me again. Well, I look like an idiot.

Featured Broker Partners