Buy: Carbo Ceramics Inc. (CRR)
Listed on the New York Stock exchange
Current Price $10.66
Recommended price by me 6.66
How much to invest 10% of your Portfolio
Sell between $85.00-$94.00
Carbo Ceramics (NYSE:CRR) is one of many interesting US oil service
companies. It was a market darling during the last cycle and is arguably
the world leader in high quality ceramic proppant - a critical input for
maintaining the pressure and longevity in fractured Ills. They also
supply frack sand and other fractured Ill services.
I am attracted to CRR because of its upside. The stock hit $183.34 in
2011 and traded over $80.00 for most of the period between 2011 and 2014.
They also paid a modest dividend until the end of 2015. The balance sheet
is decent with a net cash position, current assets double all liabilities,
and it has a fairly flat share count with just 27 million outstanding.
Insiders own over 15 percent, have purchased some equity in the past year,
and are industry veterans.
Will update some more information in the next couple of days.
Also, please dont buy this stock unless you understand the risks and also the reasons behind buying this.