Seeking Alpha
  • MIaffal33
    $FF - Long term hold/ growth stock. Decent F/S, no debt, and pays a dividend.
    7/8/13
    Reply (31)
    • DAG1996: Been trying to decide between $FF and $ACET for a while now and, in the meantime, they both ran away from me. Not apples-to-apples though.
      8/5/13
    • MIaffal33: I called this at $14, its up $2 per share since then. I also didn't pull the trigger, I'll have to check out $ACET. Thanks!
      8/5/13
    • DAG1996: Yeah, been watching both since around $10 but both kept getting bumped down in priority on my buy list ... waiting for that correction.
      8/5/13
    • DAG1996: There are some similarities but ACET's business leans more toward pharmaceutical and nutritional chemicals ... and has a much lower yield.
      8/5/13
    • MIaffal33: I try to shy away from pharmaceutical companies due to the saturation in the market and FDA approvals.
      8/5/13
    • MIaffal33: FF would be my gut choice, but they do have simliarities which is probably why they are valued the same at this point.
      8/5/13
    • DAG1996: You misunderstood ... ACET is not a pharmaceutical company ... it's a chemical company that supplies pharmas (and makes some generics).
      8/5/13
    • DAG1996: Considering the baby-boomer-led demographic and healthcare trends, that may be an extreme growth business minus the pharma risks.
      8/5/13
    • DAG1996: But, they're a chemical company first so they do plenty of other stuff too. I just like the not-all-eggs-in-one-industry-basket approach.
      8/5/13
    • MIaffal33: I see what you mean. I like the economies of scale approach and their growth performance.
      8/5/13
    • DAG1996: Me too, but the more I continue to research both, I guess ACET's mostly in different businesses than FF. It's been hard to find info on FF.
      8/5/13
    • MIaffal33: Completely different businesses. FF is a biofuels company headed toward green energy. You are starting to see increasing revenues/profits
      8/5/13
    • MIaffal33: Currently there are tax incentives in place until the end of the year with a possible renewal to keep that market moving forward.
      8/5/13
    • DAG1996: Yeah I'm realizing that. I had only given FF a cursory look til now since I wasn't ready to buy so I was looking at it as a chemical company
      8/5/13
    • DAG1996: I'll probably go more in the direction of one of the companies that has more of a mix in industrial chemicals rather than biofuel only
      8/5/13
    • DAG1996: Appreciate the conversation ... kinda forced me to take closer looks at the businesses beyond the financials.
      8/5/13
    • MIaffal33: FF is a game changer and could be revolutionary the more we head toward natural gas. BP, Cheveron, they are all headed that way.
      8/5/13
    • DAG1996: I just don't know enough ... one of the things that came to mind was that with fleet vehicles moving to nat gas that must be bad for biofuel
      8/5/13
    • MIaffal33: That's a good point.The biggest downside for biofuels is we need it for our food, so this raises supply issues.
      8/5/13
    • DAG1996: Oh it sounded like you meant the nat gas oversupply is good for the biofuel industry. I was thinking it could eliminate the need for it.
      8/5/13
    • MIaffal33: I believe natural gas comes from types of hydrogen in the earth, and biofuels are from corn/sugars to produce ethanol.
      8/6/13
    • MIaffal33: I meant, if we utilize corn to fuel our cars, etc, we could have a supply issue feeding livestock and then the cost of food will rise.
      8/6/13
    • DAG1996: Yes, that's my understanding...we need biofuel inputs for food so the oversupply of nat gas could be used instead and make biofule obsolete.
      8/6/13
    • MIaffal33: Correct, the growth over the past several years has been rapid regarding biofuels. But that is a risk concern I have.
      8/6/13
    • DAG1996: That risk could also be compounded by the high chance of the next president being a republican who is much less friendly to green causes.
      8/6/13
    • MIaffal33: I agree which could eliminate the tax incentive, but I feel the credits will be extended through the current president's tenure.
      8/6/13
    • DAG1996: I agree. FF is definitely one to keep an eye one.
      8/6/13
    • DAG1996: Speaking of those credits, there's news today ... http://on.ft.com/197S9I6
      8/6/13
    • MIaffal33: Did you see their earning report? http://on-msn.com/1cQrGO4
      8/9/13
    • DAG1996: Yes ... and I saw the nice 6% pop yesterday and another 7% today. Congrats my friend!
      8/9/13
    • MIaffal33: Thanks!
      8/9/13