Tuesday, October 06, 2009

BAGAKOAA Oct 6, 2009 AA heads up


October 6, 2009 AA Heads up

AA is due to report tomorrow.  I bought this is December 08 before I was “religious” about fundamental.  In May, I ran the numbers and was glad to get out with a dollar profit. (per share :’).  They had burned through a billion dollars in cash in 6 months.  They 2010 earning estimate creates a 26 Prince per earnings ratio.  That is more than 4 time the industry average.  They still have a ton of debt, 9 Billion I believe.  Alum is going to have skyrocket in a short period of time to make this equity make sense above 15 a share.  I don’t get it.  This is at best a 8-9 dollar stock.

Salve Lucrum


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