Martek Biosciences Corp. (NASDAQ:MATK)
Develops and commercializes products derived from microalgae, fungi and other microbes. Products are nutritional oils used as ingredients in infant formula and foods, and as ingredients in and encapsulated for use as dietary supplements.
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I love good, solid companies trading at, or near their 52-week low. Of course, I thought New Century was a good pick, too!
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IT WILL BE A TAKEOVER TARGET AT THESE LEVELS AS IS MARKETING NEW PRODUCTS AND TYING WITH FEW LARGE COMPANY WITH THEIR PRODUCTS
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natural omega-3 growth
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Much new business adding to revenue starting next quarter and on...
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revised manufacturing will increase market without needing to upgrade plants
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BABIES GO CRAZY FOR THIS STUFF, BUY,BUY,BUY.
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Stranglehold on non-fish DHA. This supplment has a no. of proven health benefits. Gauranteed income at current valuation for the next 5-10 years from baby supplements. All the rest is gravy.
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Beaten down on events that will not continue, Martek is at the cusp of new revenue streams within the foods industry. EPS and growth estimates are greatly understated over the next 3 years. Revenue streams will come to tap within months.
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DHA powder is too expensive to be acepted by food manufacturers. DHA oil is not stable enough to be used in most food applications. Martek's oil will perform only as a niche product in some vegetarian foods.
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Proven great product. Just needs time to work out distrubition.
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Martek has only a handful of customers for its baby formula makings which makes its orders come in choppy. Can't follow this month-to-month, have to view financials on a much longer cycle. Stock is down now, but will recover nicely with strong insider ownership committed to its success.
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A monopoly in the DHA and ARA infant formula market. A growing food business. It has a book value of $15.35 and trades at $22. Just turned free cash flow positive and by next year will have a $1 per share free cash flow run rate. Insiders just bought shares under $22. Omega 3 fatty acids are the future for babies and the elderly. Some great research coming out on Omega 3's (cardiovascular, eye, alzheimer's etc)
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DHA would be used in/added to virtually every food group within the next 5 years
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sooner or later management has got to get the production and inventory dialed in; more chance for pleasant surprises than unpleasant at this point
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Hop on this roller coaster...
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unique position in nutrient aids. several new customers coming on board
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