Ampco-Pittsburgh Corp. (AP)

Steel going up!!!!!!!!!!!!!!

great valuation

fair value~~$68.45

This company makes rollers for steel and aluminum rolling mills. These are huge and huge but precisely machined steel rollers. The two subsidiaries that manufacture rollers, one in the US and one in the UK, have done nothing else for decades. The facilities and expertise to manufacture these rollers creates a wide moat. There are less than half a dozen companies in the world that do this.

The rollers need to be replaced on a regular basis because they are subjected to tremendous heat and mechanical stresses. The condition of the rollers is critical to the quality of steel and aluminum products. As the demand for aluminum and steel picks up, so will demand for these rollers as they need to be replaced more often. In addition, Ampco has 49% of a joint venture in China to produce even larger rollers. That plant is expected to come online in 2010.

This company is loaded with cash and has very attractive P/E, P/S, and P/B. It has a decent Return on Assets. Additionally it has very good dividend. Stars are lined up for it to outperform.

Nice small cap. Undervalued, good dividend, little debt. Little institutional ownership.

This stock is dirt cheap, 65% below its 52-wk high, has no debt, and a 105% 3-yr. EPS growth rate. Overlooked now, off like a rocket later.

Company selling at a discount as of right now, with mounds of cash, very little debt and a substantial backlog through 2010 to get through any tough times the industry may have to offer.

Re-capitalization ahead of recovery in consumption. Many companies likely to invest in new production efficiencies between 2009 - 2011, and this gem should capture some of that business.

5 P/E trading right at book value with zero debt and turning a profit.

If American manufacturing can stay on the ball long enough, BRIC nations will look to companies like Ampco=Pittsburgh to provide them with infrastructure development.

Adding to Watchlist

Doesn't Phil Durell look like Chris Mathews over there in the ad?-->

This looks like a good, still cheap, backdoor into rising steel demand in emerging markets. Great potential, largely undiscovered despite recent run-up.

My call: It's not a bubble, it's momentum.

This is a good solid company. They have good PE ratio, and have proven and stable leadership. The steel industry is strong, as is aluminum, and will continue to be so. Look for this one to do well over the course of the next several years, and beyond.

P/E = 11.3x v.17.0x for S&P 500
Price/Sales = 1.3x v 1.2x
Profit Margin = 11.3% v 6.7%
Return on Equity = 23.4% v 29.2%
Return on Assets = 9.7% v 4.0%
Long Term Growth Rate = 13.6% v 12.6%
PEG Ratio = 0.8x v 1.4x

This company has grown steadily over the years and share prices have grown right along with revenues. Mutual fund managers are buying AP up and 41 percent of the company is held by insiders. Im estimating at least 55 dollars by the end of the year and it could be higher still.

Buy.

alot of new items come from pa
the usa was built buy pa

My screener