Verasun Energy (VSE) announced the startup of its 110 million gallon/year ethanol plant near Dyersville, Iowa, bringing the total number of production plants to 14 with a total capacity of more than 1.4 billion gallons.
“We are pleased to bring another large-scale, environmentally friendly ethanol production facility on-line in the state of Iowa,” VeraSun CEO Don Endres said. “The state continues to be a leader in renewable fuels production, helping our nation to reduce … Read the rest
According to StreetInsider.com, Soleil Securities raised its price target on VeraSun (VSE) from 3.75 to 4.15 but maintained its sell rating. Uh OK.. got it. So you think the price will rise from current levels but it should still be sold.
The firm also raised its 08 EPS estimate from .10 to .49 and its 09 estimate from .02 to .41 saying that it now reflects management guidance and the current macro ethanol markets. … Read the rest
Morgan Stanley is out with a note today stating that VeraSun Energy (VSE) beat consensus and their Q2 estimates by a wide margin yet they still rate the stock equal weight due to the "tough ethanol market." That being said Morgan Stanley believes VSE has the best risk reward profile among the pure play ethanol producers.
Morgan Stanley also reported, "Given our outlook for increased industry capacity and a challenging cost profile we recommend investors … Read the rest
James Altucher of TheStreet.com posted an article this morning highlighting 6 alternative energy stocks that could go to zero. He likens the green stock mania to the dot com bubble and to some degree he’s right. There is one important lesson in all of this: stick to companies growing rapidly and decreasing debt with strong technical indicators and you won’t get burned. Simple as that.
The six he highlighted are :
Verasun (VSE), Capstone … Read the rest
UBS upgraded two ethanol plays this morning – Aventine Renewable Energies (AVR) & VeraSun Energy (VSE) to buy ratings saying the recent drop in corn prices along with healthy ethanol prices have created a positive margin scenario and that legislative support for corn based ethanol will be a positive for ethanol names in the short term
AVR is currently up about 10% and has cleared the 50 day moving average in recent days but remains … Read the rest