Pacific Ethanol Shows No Signs Of Slowing Down (PEIX)

Apr. 4.06 | About: Pacific Ethanol, (PEIX)

Pacific Ethanol, Inc (Nasdaq: PEIX) continues to roll showing no effects of Friday’s news that they will delay the filing of their annual report and delay the closing of their financing deals with Bill Gates private equity firm, Cascade Investment, LLC and couple of banks totaling $118 Million.

Though the stock did go down on Friday, it wasn’t much considering the news. PEIX closed up Monday, showing no signs of slowing down.

So the question at this point is whether the Bill Gates investment in the company priced in? Or is Ethanol so hot right now that the stock is worth owning regardless of Bill Gates investment going through? What will happen if and when the Cascade Investment deal officially closes? Or if the deal falls through?

An entry into this stock would be highly risky at this point. Just too many question marks.