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Aemetis Should Provide Very Large Profits To Investors With Its New Products And Undervalued Stock

Aemetis (AMTX)

Financial Elements, a quick view of Aemetis's major items:

  • Revenue:
    • $220 M forecast for 2014 year.
    • Expected to nearly double by end of 2015 to a $350 M run rate.
    • And nearly double the next year, 2016, to a $560 M run rate.
  • EPS estimates : $0.50-0.75, $2 and $3 for 2014, 2015 and 2016.
    • EPS YTD (9 months 2014) - $0.52 profit.
    • 4Q'2014 highly difficult to predict with volatile commodity prices. Our estimate is a $0.02 loss to $0.23 profit with emphasis on the lower end.
    • High visibility on annual growth driven by new products and market expansion.
      • $1 EPS growth 2014-2015.
      • $1 EPS growth 2015-2016.
  • Very high cash flow, $1.96 per share for LTM (1Q'14-3Q'14).
    • Cash flow will reduce high-interest debt payments by $1.00/share.
  • Margins higher than most competitors owing to its management and newer technology.
  • About $70 M debt (Dec. 2014) which consists of $50