CVR Energy (NYSE:CVI)

tort screen

Oversold on Seaway pipeline reversal -- Buying opportunity.

I don't particularly like refiners (understatement), but they're making money hand over fist right now, mainly as a result of the huge spread between Brent and WTI that has persisted much longer than many expected and shows no sign of shrinking.

At only 3.5 times 2011 EV/EBITDA and an even more attractive 2.3 times once the company's stake in the extremely attractive UAN is backed out of CVR is cheap.

Add its growing logistics business into the equation and you have one attractive situation.

Deej

screens: A17B/A-, mv mod

Crack spread baby AND fertilizer too?

CVI   MATELICH GEORGE E   Director   May 26   Sale   19.05   7,988,179   152,174,810   0   May 27 05:01 PM

Zacks Pick

High Professional Opinion and Price Target

talked to a hedge mgr. rec's in 14 dollar range in 6m-1y

new position as of recent 13F
minor position (less than 05.% of assets)

One word: timing.

vanamonde

pullback in a long uptrend ... at support and looking oversold.

Low relative PE, good star ranking, PEG & 09 PE still below normal - bottom fishing - 8/3 picks

Great Combo of energy & fertilzer---Will be over $20 in next year or so

IF they couldn't make money in Q4 then they are losers

CVR Energy, Inc., based in Sugarland, TX, engages in the refining and marketing of transportation fuels as well as production and marketing of nitrogen fertilizer products. Their operations consist of two segments, Petroleum and Nitrogen Fertilizer. They operate a refinery in Coffeyville, Kansas and supply convenience stores, railroads and farm co-ops with gasoline and diesel and also operate storage and terminal facilities for asphalt and refined fuels. They serve a total of seven states. As in my DK pick, this company deals with convenience stores which are a hot sector right now as well as dabbling in asphalt which should help boost revenue with Obama's new spending bill.YOY Revenue and earnings growth numbers are skewed due to a flood in 3rd quarter 2007 that cost them a lot of money, but 2nd quarter looked good and they are growing rapidly. Funds that are new buyers or adding more shares include: Goldman, Oppenheimer, Padco, Credit Suisse, Pacific, Tiaa Cref, AIG, Wells Fargo, Prudential and Penn. This stock traded at $31 a year ago giving it tremendous up side from here and it is currently attempting a 50/100 moving average cross. Also, it recently blasted through key resistance at around $6 so I am a buyer on any pull back preferably around that $6 level as their is NOTHING keeping this stock from hitting $11 in the near future, especially if it can complete the MA cross.

Margins look to be improving and very low valuation right now.

showing a lot of strenght lately, with 2 dollars a share earnings projected for this and next year, this will be a 20 dollar stock as soon as things get better.