Thursday, July 12, 2007

Analyst at Deutsche Bank Says Titanium Is On Fire

'Titanium is on fire at the moment, and this is clearly a very attractive market,' said David Martin, an analyst at Deutsche Bank in New York.

Alcoa Withdraws Hostile Bid for Canadian Rival Alcan

Metal Stocks Are Consolidating

With all the consolidations in metal stocks:
TIE should fetch $45 - $50
ATI could catch a bid for $140 - $150 per share

Roll profits from AA into TIE and ATI now.

Rio Tinto Offers $38.1 Billion for Alcan

Wednesday, July 11, 2007

Featured Top Stock Idea: Titanium Metals - TIE

Here's what we know about TIE:

1. TIE has a 20 year agreement with Haynes Int'l who provides them with the ability to service long-term agreements requiring sheet and plate products; capicity of 4,500 metric tons of titanium mill rolling services and hold an option to increase the output capacity to 9,000 metric tons.
2. The Henderson, Nevada plant is nearing final completion
3. Alcan stated in Dec. 2006 that they would be interested in a Titanium company
4. TIE is a supplier to Airbus, Boeing, Rolls-Royce, GE Aircraft Engines, Pratt & Whitney, Wyman-Gordon, Snecma and others
5. Titanium demand is strong until 2010 - 2011 to meet defense spending, as well as Airbus and Boeing commercial airline demands
6. Titanium (Ti) is used for jet engines, blades, rings, landing gear, rings, wing supports, bulkheads, tail sections, and other aerospace components
7. TIE is the primary supplier to Rolls-Royce engines; the agreement starts on Jan 2007 and continues through through 2016
8. Rolls-Royce received over $15 Billion in orders at the recent Paris Air Show
9. Titanium continues to gain momentum in emerging markets and entered into a joint agreement with Chinese company XI'AN BAOTIMET. Production began in Jan 2007.
10. Approximately 146 metric tons of Ti will be purchased for each Airbus A380 manufactured
11. Boeing's 787 will require approximately 136 metric tons of Titanium
12. TIE is a "pure play" in Titanium and regarded as the largest US producer of titanium sponge.
13. In 2006, 57% commercial aerospace; 15% military sector; 17% chemical process, oil and gas, consumer and sporting goods products; 11% melted and mill products
14. Backlog on December 31, 2006 stood at $1.125 Billion compared to $870 Million in 2005
15. Dallas Billionaire, Harold Simmons and related family own approximately 51.9% of common shares
16. Institutions own about 36% of the stock
17. There are 6.1 million shares short or 32% of the float
18. Gross margin in 2006 increased 119% compared to 2005
19. Operating income increased 124% compared to 2005
20. Net sales increased 58% compared to 2005
21. Friend of Harold Simmons, T. Boone Pickens and BP Capital owns about 550,000 shares of TIE
22. Titanium Metals is on the forefront of several rumors and speculation that it may be the target of a takeover by a major conglomerate
23. A respected analyst at Bank of America places at value on the shares at $41
24. Ernst & Young Says Private Equity Firms Should Reconsider Mining Sectors

We Suggest Taking Some Profits On High Flying Stocks And Go Buy TIE And ATI At These Levels

Tuesday, July 10, 2007

German Metals Company May Be Targeting A US Titanium Company

Tuesday, The Times is claiming that unnamed sources close to the company say that ThyssenKrupp Titanium GmbH had appointed investment bank Deutsche Bank to work on a possible bid for an American titanium company.

Traders on Wall Street have assumed that the German industrial group (ThyssenKrupp Stainless AG and ThyssenKrupp Titanium GmbH) might make a bid for Allegheny Technologies (ATI) when it may in fact be eyeing Titanium Metals (TIE) located in Dallas, Texas.

ThyssenKrupp stock fell more than 2 percent on Tuesday and the company was forced to make a statement that they were not interested in acquiring Allegheny Technologies (ATI). TIE traded at $34.08 in after hours trading up 1.46%.

Click: How To Make Titanium

Renewed Takeover Chatter On Titanium Stocks

All eyes are on ATI and TIE.