KMG Chemicals, Inc. (NASDAQ:KMGB)

CAPS Rating: 4 out of 5

The Company manufactures formulate and globally distribute specialty chemicals. It operates businesses engaged in industrial wood preservation and agrochemicals, including animal health pesticides and agricultural chemicals.

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Member Avatar mrvx43 (74.42) Submitted: 6/26/2007 4:40:51 PM : Outperform Start Price: $21.33 KMGB Score: -13.78

Explosive eps growth in all four niche segments.

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Member Avatar bdbartle1 (96.57) Submitted: 6/20/2007 3:23:09 PM : Outperform Start Price: $23.02 KMGB Score: -17.38

Because CAPS said so.

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Member Avatar johnswords1 (65.25) Submitted: 6/15/2007 3:01:01 PM : Outperform Start Price: $23.97 KMGB Score: -19.50

hot segment worldwide

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Member Avatar yuip3 (< 20) Submitted: 6/12/2007 12:22:00 PM : Outperform Start Price: $21.68 KMGB Score: -13.89

Rapid growth low profile company firing on all cylinders.

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Member Avatar Toast82 (90.69) Submitted: 6/11/2007 4:39:11 PM : Outperform Start Price: $22.19 KMGB Score: -15.71

Stock had a previous blowout quarter and raised guidance for year. Even though they expect a slow down in the rail sector this year they have yet to realize that. Their Ag business sector is taking off and may double by end of year.

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Member Avatar foxx909 (< 20) Submitted: 6/6/2007 4:23:53 PM : Outperform Start Price: $19.25 KMGB Score: -3.42

70% earnings surprise and guiding even higher next qtr.

animal health segment sales up 96%

delayed creosote railroad sales (bad weather) for annual maintenance repair accretive to next qtrs earnings.

new board member Thorington a former M&A specialist and already buying shares his 4th day with the company.

KMG supplies both MON and KOP.

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Member Avatar hunmer88 (< 20) Submitted: 5/31/2007 4:44:53 PM : Outperform Start Price: $13.57 KMGB Score: +35.10

Consistent EPS growth, undervalued vs its peers.

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Member Avatar ramp464 (< 20) Submitted: 5/29/2007 5:04:03 PM : Outperform Start Price: $13.53 KMGB Score: +34.02

Next earnings report in June should be blowout. From May 3 KOP report:

"Sales for Railroad & Utility Products advanced 11 percent, or $12 million, due primarily to abnormally high sales of treated crossties to commercial customers, as well as increased volumes of treating services to the Class 1 railroads. Favorable weather conditions helped to facilitate the higher railroad volumes."

http://biz.yahoo.com/prnews/070503/neth0...

KMG is the main creosote supplier (wood preservation chemical) to this company.

With the relatively small float (5.5m) and locked up share structure here (88% of entire #OS held by insiders and institutions), this stock is a possible double from these levels.

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Member Avatar Tallyfins (68.62) Submitted: 5/23/2007 2:25:04 PM : Outperform Start Price: $13.38 KMGB Score: +36.23

P/E and sales look good for the long haul with these guys -Every analysis I read on these guys is positive!

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Member Avatar SteadySaber (76.58) Submitted: 5/17/2007 12:48:23 PM : Outperform Start Price: $13.75 KMGB Score: +31.89

composite strat

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Member Avatar hydl88 (< 20) Submitted: 5/16/2007 4:25:55 AM : Outperform Start Price: $13.06 KMGB Score: +38.19

I like seeing that Koppers (KOP) is KMGs' biggest customer in their wood preservation chemical segment:

"KMGB's major customer for its wood preserving chemicals is Koppers, Inc."

http://solutions.standardandpoors.com/NASApp/WS/EntryServlet?pc=IVS&tracking=IVSKMG_CHEMICALS__I...

http://www.kmgchemicals.com/

This company can also be a hurricane play for later this summer. (wooden utility poles-Penta)

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Member Avatar chemi445 (< 20) Submitted: 5/14/2007 3:42:35 AM : Outperform Start Price: $13.48 KMGB Score: +34.10

Nice secondary rail play as well as having strong fundies:

"The Houston-based provider of specialty chemicals said the quarters results were driven by strong performance in its wood treating segments as a result of demand from utility and railroad companies."

http://biz.yahoo.com/bizj/070302/1426643...

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Member Avatar Nuts2Bolts (22.58) Submitted: 2/25/2007 8:24:25 PM : Outperform Start Price: $10.11 KMGB Score: +72.73

Super strong fundamentals, dominant in its sectors, very little debt - what's not to like?!...

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Member Avatar gfrank2 (< 20) Submitted: 12/30/2006 11:10:29 PM : Outperform Start Price: $9.67 KMGB Score: +78.04

Specialty chemical producer continues uptrend on increased earnings.

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