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Company liquidity is more than an asset - it can fuel long term growth because it allows a company to make long term investments, strategic acquisitions, and also invest in innovative R & D. In some cases, strong cash reserves can lead to dividends. Today we focused on basic materials companies with plenty of cash on hand, honing in further on only those companies that analysts absolutely love. We came up with a long, but diverse list - we hope you find it interesting.

The Current ratio is a liquidity ratio used to determine a company's financial health. The metric illustrates how easily a firm can pay back its short obligations all at once through current assets. A company that has a current ratio of one or less is generally a liquidity red flag. Now this doesn't mean the company will go bankrupt tomorrow, but it also doesn't bode well for the company, and may indicate that it could have an issue paying back upcoming obligations.

The Quick ratio measures a company's ability to use its cash or assets to extinguish its current liabilities immediately. Quick assets include assets that presumably can be converted to cash at close to their book values. A company with a Quick Ratio of less than 1 cannot currently pay back its current liabilities. The quick ratio is more conservative than the Current Ratio because it excludes inventory from current assets, since some companies have difficulty turning their inventory into cash. If short-term obligations need to be paid off immediately, sometimes the current ratio would overestimate a company's short-term financial strength. In general, the higher the ratio, the greater the company's liquidity (i.e., the better able to meet current obligations using liquid assets).

We first looked for basic materials stocks. From here, we then looked for companies that analysts rate as "Strong Buy" (mean recommendation < 2). Next, we then screened for businesses with a large amount of cash on hand (Current Ratio>2)(Quick Ratio>2). We did not screen out any market caps.

Do you think these stocks should be trading higher? Use our list to help with your own analysis.

1) FutureFuel Corp. (FF)

Sector:Basic Materials
Industry:Chemicals - Major Diversified
Market Cap:$399.56M
Beta:0.51

FutureFuel Corp. has a Analysts' Rating of 1.00, a Current Ratio of 6.28, and a Quick Ratio of 4.58. The short interest was 3.00% as of 06/13/2012. FutureFuel Corp. engages in the manufacture and sale of diversified chemicals and biobased products in the United States. The company operates in two segments, Chemicals and Biofuels. The Chemicals segment offers custom manufacturing products, including nonanoyloxybenzene-sulfonate, a bleach activator for detergent and consumer products manufacturers; a proprietary herbicide for life sciences companies; and chlorinated polyolefin adhesion promoters and antioxidant precursors for chemical companies, as well as a biocide intermediates for other diversified chemical companies.

2) W.R. Grace & Co. (GRA)

Sector:Basic Materials
Industry:Specialty Chemicals
Market Cap:$3.72B
Beta:2.44

W.R. Grace & Co. has a Analysts' Rating of 1.30, a Current Ratio of 3.46, and a Quick Ratio of 2.87. The short interest was 2.00% as of 06/13/2012. W.R. Grace & Co. engages in the production and sale of specialty chemicals and materials worldwide. Its Grace Davison segment offers fluid catalytic cracking(FCC) catalysts to produce transportation fuels, such as gasoline and diesel fuels, and other petroleum-based products; FCC additives; hydro processing catalysts used in process reactors to upgrade heavy oils into lighter; silica-based and silica-alumina-based engineered materials used in various industrial and consumer applications, and coatings and print media applications; and packaging materials, such as can and closure sealants, and coatings for cans and closures. This segment also provides polyolefin catalysts and catalyst supports for use in the manufacture of polyethylene and polypropylene resins, and other chemical catalysts and process technologies used in industrial, environmental, and consumer applications; catalysts and adsorbents for the conversion of renewable feed stocks to fuels and chemicals; and chromatography columns, consumables, and instrumentation and reference standards used in pharmaceutical, life science, and related industries.

3) Arabian American Development Company (ARSD)

Sector:Basic Materials
Industry:Oil & Gas Refining & Marketing
Market Cap:$244.89M
Beta:2.42

Arabian American Development Company has a Analysts' Rating of 1.00, a Current Ratio of 3.25, and a Quick Ratio of 2.44. The short interest was 0.43% as of 06/13/2012. Arabian American Development Company, through its subsidiaries, owns and operates a petrochemical facility located in southeast Texas, which specializes in high purity petrochemical solvents and other solvent type manufacturing. The company, through its 37% interest in Al Masane Al Kobra Mining Company, owns and develops mining assets for copper, zinc, gold, and silver in Najran province in southwestern Saudi Arabia. Arabian American Development Company was founded in 1967 and is based in Sugar Land, Texas.

4) Bolt Technology Corp. (BOLT)

Sector:Basic Materials
Industry:Oil & Gas Equipment & Services
Market Cap:$112.91M
Beta:1.49

Bolt Technology Corp. has a Analysts' Rating of 1.00, a Current Ratio of 9.87, and a Quick Ratio of 6.30. The short interest was 0.38% as of 06/13/2012. Bolt Technology Corporation engages in the development, manufacture, and sale of marine seismic data acquisition equipment and underwater remotely operated robotic vehicles worldwide. It operates through four segments: Seismic Energy Sources, Underwater Cables and Connectors, Seismic Energy Source Controllers, and Underwater Robotic Vehicles. The Seismic Energy Sources segment offers marine seismic energy sources, such as marine air guns for use in seismic exploration; and replacement parts. The Underwater Cables and Connectors segment provides underwater cables, connectors, hydrophones, depth and pressure transducers, and seismic source monitoring systems.

5) REX American Resources Corporation (REX)

Sector:Basic Materials
Industry:Specialty Chemicals
Market Cap:$147.91M
Beta:1.09

REX American Resources Corporation has a Analysts' Rating of 1.00, a Current Ratio of 4.05, and a Quick Ratio of 3.20. The short interest was 8.52% as of 06/13/2012. REX American Resources Corporation engages in the production and sale of ethanol and distillers grains. The company's dry distillers grains with solubles are used as proteins in animal feed. It is also involved in the leasing of real estate properties.

6) Lihua International, Inc. (LIWA)

Sector:Basic Materials
Industry:Copper
Market Cap:$157.92M
Beta:-

Lihua International, Inc. has a Analysts' Rating of 1.00, a Current Ratio of 12.53, and a Quick Ratio of 11.32. The short interest was 11.39% as of 06/13/2012. Lihua International, Inc., through its subsidiaries, produces copper replacement products in the People's Republic of China. It develops, designs, manufactures, markets, and distributes refined copper products, including copper anode, copper rod, pure superfine copper wire, and copper-clad aluminum superfine wire.

7) Samson Oil & Gas Limited (SSN)

Sector:Basic Materials
Industry:Oil & Gas Drilling & Exploration
Market Cap:$147.71M
Beta:1.44

Samson Oil & Gas Limited has a Analysts' Rating of 1.00, a Current Ratio of 3.44, and a Quick Ratio of 3.43. The short interest was 1.50% as of 06/13/2012. Samson Oil & Gas Limited, together with its subsidiaries, engages in the acquisition, exploration, development, and production of oil and gas properties in the United States. It holds interests in the North Stockyard project in Williston Basin, North Dakota; the State GC Oil and Gas field in Lea County, New Mexico; the Sabretooth Prospect in Brazoria County, Texas; the Hawk Springs project in Goshen County, Wyoming; and the Roosevelt project in Roosevelt County, Montana. The company was founded in 1980 and is headquartered in Perth, Australia.

8) Synergy Resources Corporation (SYRG)

Sector:Basic Materials
Industry:Oil & Gas Equipment & Services
Market Cap:$129.04M
Beta:0.06

Synergy Resources Corporation has a Analysts' Rating of 1.50, a Current Ratio of 3.09, and a Quick Ratio of 3.06. The short interest was 0.23% as of 06/13/2012. Synergy Resources Corporation engages in the acquisition, exploitation, exploration, development, and production of oil and natural gas properties primarily located in the Wattenberg field in Denver-Julesburg Basin in northeast Colorado. As of August 31, 2011, its estimated net proved oil and gas reserves included 2,069.7 million barrels of oil and condensate, and 14.

9) Horsehead Holding Corp. (ZINC)

Sector:Basic Materials
Industry:Industrial Metals & Minerals
Market Cap:$414.00M
Beta:2.48

Horsehead Holding Corp. has a Analysts' Rating of 1.50, a Current Ratio of 4.08, and a Quick Ratio of 3.41. The short interest was 7.92% as of 06/13/2012. Horsehead Holding Corp., together with its subsidiaries, produces and sells specialty zinc and zinc-based products in North America. The company's products include PW zinc metal, which is used to provide a protective coating to various fabricated products, including pipe and guard rails, heat exchangers, and telecommunications towers, as well as for the production of brass; and SSHG zinc metal that is used as feed for the manufacture of high-purity zinc powder and zinc alloys. It also offers zinc oxide for the production of tire and rubber products, chemicals, ceramics, plastics, paints, lubricating oils, and pharmaceuticals.

10) Sterlite Industries (India) Ltd. (SLT)

Sector:Basic Materials
Industry:Copper
Market Cap:$6.31B
Beta:2.35

Sterlite Industries (India) Ltd. has a Analysts' Rating of 1.00, a Current Ratio of 2.52, and a Quick Ratio of 2.23. The short interest was 2.37% as of 06/13/2012. Sterlite Industries (India) Limited operates as a non-ferrous metals and mining company in India and internationally. The company's primary products consist of copper cathode and continuos cast rods, as well as sulphuric acid, phosphoric acid, anode slimes, and gypsum. It also produces and sells zinc ingots for steel producers, as well as alloy, dry cell battery, die casting, and chemical manufacturers; lead ingots for battery and chemical manufacturers; and by-products, including sulphuric acid, and silver ingots primarily to industrial users and traders of silver. In addition, the company offers aluminum products, including aluminum ingots and wire rods; rolled products, such as coils and sheets for aluminum foil manufacturing, printing, transportation, consumer durables, building and architecture, electrical and communications, packaging, and general engineering industries.

11) Hawkins Inc. (HWKN)

Sector:Basic Materials
Industry:Synthetics
Market Cap:$351.69M
Beta:0.91

Hawkins Inc. has a Analysts' Rating of 1.00, a Current Ratio of 3.05, and a Quick Ratio of 2.29. The short interest was 5.87% as of 06/13/2012. Hawkins, Inc. manufactures, blends, and distributes bulk and specialty chemicals in the United States. The company operates through two segments, Industrial and Water Treatment. The Industrial segment provides industrial chemicals, products, and services primarily to the agriculture, energy, electronics, food, chemical processing, pulp and paper, pharmaceutical, medical device, and plating industries.

12) Longwei Petroleum Investment Holding Limited (LPH)

Sector:Basic Materials
Industry:Oil & Gas Refining & Marketing
Market Cap:$110.85M
Beta:2.32

Longwei Petroleum Investment Holding Limited has a Analysts' Rating of 1.00, a Current Ratio of 21.28, and a Quick Ratio of 14.44. The short interest was 0.78% as of 06/13/2012. Longwei Petroleum Investment Holding Limited, an energy company, engages in the wholesale distribution of finished petroleum products in the People's Republic of China. The company is involved in the transportation, storage, and sale of finished petroleum products, including diesel, gasoline, fuel oil, and solvents from various petroleum refineries. It also acts as a purchasing agent for other intermediaries; and operates two retail gas stations, which sells diesel and gasoline.

13) Natural Gas Services Group Inc. (NGS)

Sector:Basic Materials
Industry:Oil & Gas Equipment & Services
Market Cap:$173.32M
Beta:1.42

Natural Gas Services Group Inc. has a Analysts' Rating of 1.50, a Current Ratio of 4.09, and a Quick Ratio of 2.27. The short interest was 3.72% as of 06/13/2012. Natural Gas Services Group, Inc. provides small to medium horsepower compression equipment to the natural gas industry in the United States. It focuses primarily on the non-conventional natural gas production business, such as coal bed methane, gas shale, and tight gas. The company engages in the compressor fabrication that assembles compressor components into compressor units for sale or rent; and engineers and fabricates natural gas compressors for sale to customers to meet their specifications based on well pressure, production characteristics, and compression applications.

14) Gevo, Inc. (GEVO)

Sector:Basic Materials
Industry:Chemicals - Major Diversified
Market Cap:$151.19M
Beta:-

Gevo, Inc. has a Analysts' Rating of 1.50, a Current Ratio of 3.47, and a Quick Ratio of 3.25. The short interest was 6.52% as of 06/13/2012. Gevo, Inc., a development stage renewable chemicals and biofuels company, focuses on the development and commercialization of alternatives to petroleum-based products based on isobutanol produced from renewable feedstocks. The company develops Gevo Integrated Fermentation Technology, an integrated technology platform for the production and separation of isobutanol. Isobutanol is a four carbon alcohol for use as a specialty chemical or a value-added fuel blendstock, as well as could be converted into butenes, which are primary hydrocarbon building blocks used in the production of lubricants, rubber, plastics, fibers, other polymers, and hydrocarbon fuels.

*Company profiles were sourced from Finviz.

Source: 14 Cash Holding Basic Materials Stocks That Analysts Love