Rockwood Holdings, Inc. (NYSE:ROC)

CAPS Rating: 5 out of 5

The Company is a global developer, manufacturer and marketer of technologically advanced, high value-added specialty chemicals and advanced materials used for industrial and commercial purposes.


Player Avatar TMFDeej (99.24) Submitted: 10/2/2012 3:40:10 PM : Outperform Start Price: $45.25 ROC Score: +44.57

This is one of Alex Roeper's ideas from the Value Investing Congres. Lithium, a key battery component, is one of this cheap specialty chemical company's products. It will benefit as manufacturers introduce more hybrid vehicles.Furthermore, he claims that the stock trades largely based on fluctuations in the Titanium Dioxide market, despite the fact that it only accounts for 15% of Rockwood's business. Rockwood actually plans to spin-off the TiO2. This move will help to lower its debt and cedouple it from the swings in the price of this commodity.Deej

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