Aventine Renewable Energy Holdings, Inc. (AVRNQ.PK)

Let's face it, corn based ethanol has been beat up pretty bad lately. Not only is the political future of subsidies for domestic production and tariffs on brazilian imports being reexamined but the industry has been under an impressive margin squeeze as ethanol pricing relative to corn has not been favorable. How much worse can it get? Expect margins to improve during the second half of '08 and any political compromise reached regarding ethanol subsidies and mandates will still provide incentives for domestic production. AVR is probably the best in breed when it comes to US corn based ethanol producers and will outperform both it's peers and the SP500 for the remainder of the year. Resistence at $8 to 8.50 a share and a price target of $11 this year. Buy on weakness $5.50 - $6.50 if the oportunity presents itself.

I look for companies dealing with ethanol and soy diesel products to become very valuable as our country and it's people try to get away from our dependance on foreign oil.

Ethanol will go nowhere. It's not cost effective, and people have caught on to that fact.

Rising corn prices are going to make it tougher to offer ethanol at a competitive price

I believe that AVR is one renewable energy stoke that has been beaten down but still has potential for growth. It is no surprise that the production of ethanol puts a strain on the corn industry so I believe that the companies are going to continue research to develop ways of producing renewable energy. We depend on man to create the ingredients for beer and I certainly do not see a beer shortage.

OK, I am iffy on this one. They have about 313 million in debt and spent 16 million last year on interest. They had a positive earnings of about 33 million. I haven't delved deeply into their reports, but it appears that they have enough income and cash to cover their debt and to grow. So I will give them a reluctant thumbs up.

Thsi stock will be doing good even if it's revenues for December 31, 2007 decreased by 1% and it's net income decreased 38% and the revenues reflect a lower number of gallons marketed and a decline in the average sales price of ethnoal. This stock is in the basic materails sector and is in the chemical manufacturing industry.

Ethanol is disco. Take it out to center field at Comiskey and smash it.

Contrarian pick to take advantage of investment "group think" that ethanol, as an industry is not viable. Price to sales and price to book lead this to be way oversold. On the speculative side, a boost from politics will ethanol a subject of debate.

Going down, down. Many investors downgraded this stock as ethanol shares keep declining.

No Pitch just a hunch

Right now this stock is trading below what it costs to build new plants. They beat earnings by 11 cents, yet their exposure to auction rate securities rated AAA hammmered the stock. The ARS market will be ok, but more importantly a slew of analysts downgraded at the lows. A company like ADM or other ethanol company would most liklely eye them to buy plants while they are cheap. Although it hurts the longer term holders, somone could offer a nice premium to the current stock price and pick up this company.

Buying on the dip

Has had a nice uptrend. Good time to buy with oil over 100.00.

Mandated DEMAND, oh yea

American ethanol industry has been propped up for years by the U.S. government, while at the same time they are slapping taxes on sugar ethanol, which is actually a good substitute for oil. (Brazil is the only energy independent country in the world and Cosan is the smart ethanol play). Basically the U.S. government is giving our tax dollars to ADM. This is going to be more and more unpopular, particularly with food costs soaring. Making ethanol out of corn is idiotic. It's not cost efficient, it's a joke, basically.

For some reason the congress loves ethanol. I personally think that as a fuel ethanol is pretty worthless, but the congress loves it. (They're always ten years behind the rest of us.) Well if congress loves it, the ethanol industry is sure to get huge subsidies in the short term.

Long term, electric and hydrogen cars are going to take over.

od

Don't cut the mustard regardless how it's sliced.