Tuesday, 12 August 2008
Saudi Arabia Fertilizer Co.
What do you buy in the desert Kingdom? Well there is always Saudi Arabia Fertilizer Co. (SAFCO), a stock that has really fallen of late. The company has a clear competitive advantage . It a low cost base and has recently added to capacity additions. Still, the forward PE is on 23 times, but that is number based on the concensus of only two analysts who really disagree on its growth prospects!