Stephen Simpson, CFA
Long only, growth at reasonable price, value, research analyst

Still Waiting For A Better Entry Point On Innospec

When you find a chemicals company that can routinely post double-digit returns on assets and invested capital, it's worth paying attention. Likewise, not many $1 billion companies can get meaningful share in markets when competing against behemoths like the chemical operations of Exxon Mobil (NYSE:XOM) and Chevron (NYSE:CVX), or Berkshire Hathaway's (NYSE:BRK.A) Lubrizol. Now, with Innospec (NASDAQ:IOSP) making it clear that growing its oilfield chemicals business is a priority, I'd say the story is getting better.

Valuation still remains an issue. I've liked Innospec as a company for quite some time, but as I observed about six months ago, the valuation was and is fairly demanding. The stock hasn't done much...

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