Industrial Minerals Reiterated at Speculative Buy/4, Target $1.75 By Investrend Affiliate SISM Research.NEW YORK New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of -- (Investrend Research Syndicate) Ernest C. Schlotter, a senior four-star analyst according to StarMine with Investrend Research Affiliate SISM SISM Syntactic Information Source Model SISM Single Integrity System Measurement SISM Standard Information Systems Manager SISM Service Indication Scheduling Module Research, has reiterated his Buy/4 rating and maintained his 12-month price target for Industrial Minerals, Inc. (OTCBB OTCBB See OTC Bulletin Board (OTCBB). : IDSM IDSM Intrusion Detection System Module IDSM Intrusion Detection System Services Module (Cisco) IDSM Indian Distinguished Service Medal IDSM Intermediate Direct Support Maintenance IDSM Internals and Data Structures Manual ). According to SISM's Research Note: Industrial Minerals, Inc, one of only two primary producers of high purity graphite in North America and now preparing for commercial production, has significantly strengthened its balance sheet and retired its long-term liabilities Long-Term Liabilities Recorded on the balance sheet, a company's liabilities for leases, bond repayments and other items due in more than one year. Notes: A company's long-term liabilities are accounted for by its debt obligations to other parties which last longer than by converting them into common shares at $0.30. The company has also achieved remarkable test production enhancements, raising the percentage of super jumbo-sized graphite recovered from four to eighty percent, with purities of more than ninety-seven percent at costs lower than its competitors. Schlotter said: "Industrial Minerals is an undervalued Undervalued A stock or other security that is trading below its true value. Notes: The difficulty is knowing what the "true" value actually is. Analysts will usually recommend an undervalued stock with a strong buy rating. graphite producer. IDSM controls one of the largest and purest natural flake graphite deposits in the world, one that will supply the Company's customer needs for decades. We think that the company will start ramp up commercial production in the next quarter as interest from potential customers for graphite is rising. We also saw insiders buying the stock during the past few weeks and the retirement and conversion of debt is an important contribution to strengthening Company's balance sheet as they are preparing for expansion opportunities. Despite this, the share price trades at a market cap of only $41.6M and at $64.53/ton of proven resources. Because of remarkable production efficiency and low production costs, we believe, over the next 12-18 months, we will see shares trading up towards US$300/ton multiples, implying a price objective of US$1.75/share. We therefore maintain our Speculative Buy/4 Rating for shares of IDSM." IDSM will pay SISM Research $1,750 per month over a two-year period solely to ensure independent coverage. SISM Research, based in Zurich, Switzerland, is a private investment research firm offering high-quality, independent, fundamental research on public companies since 1995. SISM writes, publishes and distributes research coverage, in both English and German, on micro- to small-cap public companies trading on the OTC Bulletin Board OTC Bulletin Board An electronic quotation listing of the bid and asked prices of OTC stocks that do not meet the requirements to be listed on the NASDAQ stock-listing system. , NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on and AMEX AMEX See: American Stock Exchange . This coverage is geared toward institutional and individual investors in both North America and in German-speaking Europe, a market that represents more than 100 million people. SISM Research is a content provider to Thomson Financials OneAnalytics/FirstCall and Investext, to Reuters Multex, Integrity Research Associates and Investrend. Both SISM Research and Investrend Research subscribe to the "Standards for Independent Research Providers." Complete information is available at the company's InvestorPower page at http://www.investrend.com/company/list.asp?sPathParam=yes. Investors are advised to read disclosures carefully before trading in the equities of any enrolled company. The company's research will be enrolled for investor monitoring by the Shareholders Research Alliance (http://www.shareholdersresearch.com). Anyone interested in receiving alerts regarding Industrial Minerals research should email contact@investrend.com with "IDSM" in the subject line. |
|
||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion