SMS's earnings have been slaughtered by the recession, but as global economic growth returns, the demand for metals with a low carbon footprint - a commodity in which SMS is a global leader - will grow even faster than the demand for metals in general. When SMS returns to pre-recession earnings of $2.50+ within a year or three (current hard-to-find estimates are for ~$1 by June 2011), its SP should ramp up into the $40s, $50s and beyond.
Recs
SMS's earnings have been slaughtered by the recession, but as global economic growth returns, the demand for metals with a low carbon footprint - a commodity in which SMS is a global leader - will grow even faster than the demand for metals in general. When SMS returns to pre-recession earnings of $2.50+ within a year or three (current hard-to-find estimates are for ~$1 by June 2011), its SP should ramp up into the $40s, $50s and beyond.