Stock is way oversold. CEO Simmons has bought 5.7 million shares in 2008 alone. Titanium metal prices have falled from $13 to $11 over the last year plus, but other metals and commodities have risen. Most analysts look only at commercial airline business (building airplanes creates the biggest demand for titanium, but there are hundreds of other uses) and don't consider the military. Air Force awarded a $40 billion contract to Northrop/EADS to build tanker airplanes. That contract is under review and recompetition with Boeing. Regardless of who wins, it will create huge demand for titanium. Fianlly, I think the airlines have seen the worst and things will turn around. Once that happens, their first priority will be replacing old airplanes. The average age of aircraft is about 19 years as of Aug 2008. This stock will easily return to the mid 20's by Sep 2009.
$11.23 (08/06/08)
