Stock Alert for BioFuel Energy Corp. (BIOF)
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    Small-Cap Stock on Watch: Biofuel Energy Corp. (BIOF)

    Small-Cap Stock on Watch: Biofuel Energy Corp. (BIOF)

    Shares of ethanol company Biofuel Energy Corp. (NASDAQ: BIOF) gained 4.33% to close Monday at $0.60, continuing gains of the previous two days.  It has a 52-week range of $0.15– $2.24.  Over 4.83 million shares have traded hands during the session, versus the 10-day average volume of 2.01 million. BIOF is currently trading above its 50-day moving average of $0.30 and above its 200-day moving average of $0.41.  The current market capitalization stands at $61.43 million and shares outstanding is at 102.39 million shares.

    Biofuel Energy is a Denver, CO-based company which owns and operates two of the largest dry mill ethanol facilities in the United States. It produces 230 million gallons per year of fuel grade ethanol and 720 K tons of distillers grains at these facilities and deliver these products to fuel blenders and agricultural users both locally and nationwide

    The company last week announced its results for the quarter ended September 30, 2011, showing improvements over the prior year, thanks to better yield and other operational efficiencies.

    Biofuel Energy swung to a net income of $2.5 million, or EPS of $0.02, from a net loss of $1.8 million, or EPS of $0.05, in the year-ago quarter. Revenue for the latest quarter was $162.5 million, up from 114.7 million in the year-ago period.

    At September 30, 2011, the company had $179.9 million in term loans outstanding under its senior debt facility.  At September 30, 2011, the Company held $9.7 million of cash and cash equivalents and equity totaled $95.1 million, including $4.9 million of noncontrolling interest.

    Commenting in the press release, CEO Scott H. Pearce said, “We were able to effectively manage the tight corn supply during the quarter, while benefiting from the increase in demand and improved commodity margins resulting from the summer driving season.  We also successfully executed on planned improvements during our fall shutdowns and are on track to have corn oil extraction on-stream at our facilities by the end of the year.”

    With the company’s seasonal downtime behind it, and industry supply and demand tighter than they’ve been for some time, Pearce said the company believes it is poised for a strong fourth quarter.

    Shares of BIOF have gained 1.7% in the last five days and 146.9% in the last month.  Year-to-date, the stock is down 71.6%.

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