Revealed: “In the Race to Graphene Domination, Here’s The Company That’s Going to Win” (Oxford Club)

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We’ve had a short breather from the wave of graphene-themed teasers lately — so is the fact that we’ve had this breather the reason that the junior graphite stocks are mostly near their 52-week lows? Or has the teasing stopped because the stocks have fallen?

ich came first, the chicken or the egg? Which came first, the stock bubble or the hype-happy stock promoter? Tough call on that.

But the fact of the matter is, the graphite stocks were being ridiculously over-promised as immediate beneficiaries of the huge technological advances that graphene is probably going to bring to the world. So the fact that graphite prices right now are primarily driven by steelmaking and, for the highest purity stuff, by lithium ion batteries that depend on mass electric car adoption … well, that means our continuing economic weakness around the world has put a bit of a prick in what had arguably been a bubble in prices of high-purity graphite (there isn’t exactly a widely-quoted open market in flake graphite, but according to most of what I’ve read — there’s a sample here — prices were at historic highs for 2011 and reportedly started falling in the Spring this year, to stabilize in recent months and give hopes of more appreciation in 2013).

So some weakness in the graphite price, combined with a slowdown in touting and teasing and stock promotion, has kept the prices of most of the junior graphite explorers and developers fairly low — with some exceptions, like the Aussie Syrah Resource that we wrote briefly about here last month. And now a cheaper newsletter has come rolling in to talk up the graphene story … but with a different spiel.

The Oxford Club is touting not a junior graphite miner as their graphene play, but a graphite technology company. So perhaps it has more of a chance to have a direct or immediate impact from graphene advances? Well, let’s at least find out who it is, then you can apply your own prognostication to the situation.

Here’s a taste of the tease:

“How a Tiny Tech Company’s New ‘Graphene’ Discovery Will Revolutionzie All Smart PHones, Tablets, and Hi-Def TVs …

“And Why Early Shareholders Could See Explosive Gains As It Seizes Control of These $357 Billion Markets ….

“A tiny company ha secured patents on a remarkable new scientific breakthrough …

“It’s called graphene.

“And this newly developed substance could render all computers, smart phones, tablets and hi-def TVs instantly obsolete.

“In the coming months, every person in America is going to want the brand new versions of these products. And one company holds the key.”

OK, so it’s not a crazy little junior miner they’re pitching — but that doesn’t mean they’re not going over the top a bit. Graphene isn’t going to be in your brand-new cell phone “in the coming months” … not unless by “coming months” you’re referring to some fairly large number, like, say, 40 months from now. I just made that number up, by the way, but it’s going to be a while.

In case that doesn’t get you excited enough, here’s a bit more:

“As soon as news of this life-changing new material hits the markets, we estimate this company’s shares could soar by 2,388%, as you’ll see. That’s enough to turn a grubstake of $900 into over $20,000.

“And why not? It’s perfecting a substance unlike anything the world has ever seen….

“This breakthrough could lead to mobile phones that roll up and can be stored behind your ear… smart tablets and hi-def TVs as thin as paper… super-efficient computers, solar panels and batteries… and cars and airplanes a fraction of their current weight.

“And then there are the mind-boggling medical and military applications, such as tougher-than-steel artificial limbs and ‘invisible man’ camouflage.”

So all of that is true, to some extent — graphene (which is just a sheet of carbon the thickness of a single atom, a nanomaterial) is a wonder material — conductive, light, strong, etc. … the Oxford Club folks aren’t wrong in calling it a “rock star” substance. But as to whether one company is going to have a chokehold? Well, color me skeptical … here’s some more of the pitch as we start to get clues about the specific stock they’re teasing:

“… who’s got a chokehold on the patents that could completely revolutionize these $357-billion markets?

“One little-known American company with a modest $1.3-billion market cap.

“And as this breakthrough transforms hundreds of industries over the next decade, this company with all the patents is likely to become very rich.”

Now, graphene is certainly on the minds of all the big electronics and high-tech materials companies (among others), from Intel to Samsung to, well, probably any big names you can come up with … but it’s also still largely academic research in the lab that’s the focus, and a great many of the patents are held by academic institutions and their researchers. So I don’t know how close we are to figuring out whose patents are going to end up being the most valuable ones, but just keep in mind that we’re still very early on in the process — the Nobel Prize for isolating graphene was granted in 2010 and the work for which they won the prize was conducted starting in 2004 (the substance was known but not well understood or isolated before then), so people are experimenting and designing cool stuff from graphene already, but there doesn’t seem to even be a consensus yet on what will be the most cost-effective method for mass production of graphene sheets… let alone which patents will be the core property on which the graphene industry is built. So … a grain of salt on the patent front, but we’re moving on … you can see the full ad, with the blue-sky future, right here, but for now we’ll extract a few more clues about our secret company:

“many believe we stand on the precipice of ‘The Graphene Age.’…

“But most amazing is that one tiny company holds the most important patents for producing this material.

“Right now, Fortune 500 companies are lining up to get their hands on it….

“The advances in electronics and computer technology over the last 40 years have been breathtaking….

“But as engineers try to build even more amazing products using the wonders of miniaturization and nanotechnology, there’s one big problem:

“What to do with all the heat.

“Every year, the latest laptops, tablets, and smart phones are jammed with faster processors, more memory, and in less space.

“But as these components become smaller and more tightly packed, they generate a lot of heat….

“So they need a solution. And they need it right now.

“And that’s where the short-term payoff for our small Midwest company (and perhaps you, too) comes in.”

So that’s the pitch — and they include photos of the “before and after” heat signatures of laptops to show the impressive impact that this company’s heat dissipation systems has on the hot spots … here’s how the describe the heat bit:

“This one company has already successfully commercialized the world’s thinnest and most effective heat dissipating system.

“Electronics companies the world over are signing up to get this breakthrough in their new gadgets.

“Apple has begun using early versions in their iPhones and iPads.

“Samsung is using it in their new razor-thin laptops.

“And this company holds the exclusive patents on it.

“These ‘heat spreaders’ provide cooling and shielding in consumer electronic devices, they allow batteries to last for hours longer, they reduce the size and weight, and vastly increase the amount of memory a hand-held device can hold.”

That heat dissipation system is not a graphene product, to be clear (it’s a graphite product — graphite (not graphene) has been used for heat sinks for a while, what’s described and photographed here is basically a half-millimeter thick layer of graphite inserted into a laptop to dissipate the heat from the hard drive, and it apparently works quite well. The pictures used are also pretty old, it looks like the paper they’re lifting images from was presented at a conference in 2005. You can see plenty of examples of other companies using graphite to dissipate heat in electronics, from Panasonic’s graphite-coated rubber in cars to the pyrolytic graphite heat spreaders from Minteq

… but since we’re talking about one specific company and product being teased, and we know whose heat spreader presentation they lifted the info from, we can draw our little lines of logic and tell you that, yes, the stock the Oxford Club folks are teasing here is Graftech International (GTI).

And yes, don’t worry, it matches up on all the other clues too — Graftech’s graphite foil was reportedly used in at least past versions of the iphone for heat dissipation, and they do have a patent on their version of it. This is not, mind you, a patent on graphene — it’s a patented application of graphite.

Here’s a bit more from the ad, as we try to draw some lines for you:

“the future is very bright indeed for the kind of heat spreaders this company specializes in.

“Because graphene promises to make its products and solutions 10-fold more effective.

‘Graphene is a prime candidate for solving the heat dissipation problems currently limiting development of nanoelectronics,’ report University of Texas researchers in Science Magazine.

“The reports adds, ‘The devices will consume less energy, be cooler and more reliable, and operate faster than current-generation devices.’”

There’s a bit of a flaw in that logic — graphene chips are supposed to be far more efficient and not heat up so much, so why would new products using graphene instead of silicon require these graphite heat spreaders/heat sinks that Graftech makes?

Well, since it will be quite a while before the silicon era ends, I guess we can leave their logic to stand on its own while we wait and see what products evolve. Here’s a bit more of what the Oxford folks say about Graftech:

“Right now the company’s in the middle of a mammoth build-up in preparation for the huge demand coming in from companies all over the world.

“But why specifically are all these Fortune 500 companies turning to just this one?

“Because, as I’ll explain in a moment, it holds over 750 major patents in these crucial technologies. It is the gatekeeper.

“If major electronics producers want to keep going faster and smaller, they will need the help of this company.

“It has nearly doubled its staff of scientists as management continues seeking engineers “focusing on the development of novel graphene materials for a variety of applications.”

“It’s already locked down production agreements with the biggest electronics giants, including Apple, Samsung, and Sony.

“And company executives, meanwhile, see this as the perfect buying opportunity. They just finished a 10 million-share buyback – and then promptly doubled down on 10 million more.

“Institutional money is pouring in, as well.

“The Vanguard Group owns over 6 million shares. Janus Capital has 4 million. Wells Fargo bought up 3.3 million.

“In fact, institutions now own 96% of this company’s publicly traded shares.”

So yes, all of that confirms that it’s Graftech being teased — though the most outsize position in GTI shares is held by the Royce funds, just FYI, they control about 14% of the company. And the ad teases some of the other things this company is doing:

“Its thermal shield protected Curiosity from the intense heat and enabled it to land safely on Mars.

“Does technology get any more advanced than landing a spaceship on Mars?

“No heat shield, no rover. Yet as we know, Curiosity is performing flawlessly on the red planet.

“And for that, NASA can thank this company and its incredible technology.

“Looking ahead, it has some 20 new applications in its pipeline.

“For starters, it’s in the process of turning its heat-spreading materials into a key component for electric car battery packs.

“Swapping out old aluminum for this company’s advanced products makes it possible to build a battery with the same energy capacity – but at half the size and weight.

“Obviously, that’s huge when you’re talking electric cars.

“This company is also turning heads with its recent deal with Airbus SAS, the world’s largest commercial plane maker.

“Airbus plans to work with it to ‘develop nanotechnologies for carbon-fiber structure materials,’ say company executives.”

All true, though also to a large degree all R&D work that’s being done by other companies as well — Graftech is a strong advanced materials company that’s spending quite a bit of money on expanding the reach of graphite, but it’s also not the only company in the world researching new graphite composites and materials.

And what we don’t hear is that none of this is Graftech’s core business — their core business is declining this year and will, they expect, be weak next year as well.

What is it? Steel. Yes, you’ve probably noticed that even the world’s largest steelmaker, Arcelor Mittal, is struggling (their debt is ranked as “junk” right now) because of weakness in the steel industry and falling prices and volumes in many areas … and it’s those steelmakers that provide most of Graftech’s revenue.

So the story of Graftech is of a graphite company with a strong business providing electrodes and graphite raw materials to steelmakers, but which is putting a fair amount of investment into their much-faster-growing Engineering Solutions division that invents and produces high tech engineered graphite materials, like those heat spreaders.

In the last quarter, GTI came in at the top end of their expected range on earnings because they’re cutting costs and headcount in their core business, and cutting back on capital investment, but also because their Engineered Solutions division is growing revenue faster than expected … and because, as teased, they bought back 10 million shares or so.

Now, I’m not all that delighted with the share buyback if I’m a shareholder — because they borrowed the money to do the buyback, and the next year or so, they’ve made clear, is fairly uncertain in terms of their pricing (they just tried to raise prices with steelmakers for 2013, dont’ know how that will work yet) and in terms of the performance of the global economy. I’m all for buybacks from companies that are cash-rich and don’t have better investment strategies, but I don’t really want my companies borrowing to buy back shares unless the company is ridiculously undervalued.

So the question for you is: Is GTI ridiculously undervalued? Here’s Oxford’s blue-sky description of the potential:

“This company’s books are solid.

“There’s money in the bank and plenty of cash flow (over $60 million) to support current operations and future expansion.

“It does business in over 70 countries, with operations spanning four continents and at 19 strategically located manufacturing facilities.

“In 2011, sales hit a record high of $1.3 billion.

“Its P/E ratio of 8.5 falls among the lowest 25% of all companies in its sector. So there’s still plenty of time to get in.

“On top of that, gross profit margins have run north of 20% for the past five years… and surged to over 26% in the two most recent quarters.

“Yet as you’ve seen, the future looks even brighter for this company and its products.

“Considering its already dominant position in these technologies, let’s say it captures just 5% of the $357-billion annual flat-screen and phone markets as graphene moves to the forefront.

“Even with a conservative 20% profit margin, earnings on $17.85 billion would come in around $3.57 billion, or $26 a share. Apply its (again, conservative) P/E of 8.5, and that puts the price of this little $9 stock at more than $224 a share.

“And that’s on just 5%. Imagine if they captured 10% or more!

“Any way you cut it, as it starts rolling out more and more graphene products, you’re looking at a gain of more than 2,388%… enough to turn just $900 into over $21,000, or less than $10,000 into over $200,000.

“Early investors in its $9 shares could be in for the ride of a lifetime as graphene becomes essential for dozens of new, multi-billion-dollar markets.”

Qualcomm, by the way, had sales of just about $19 billion last year — just by way of comparison. So saying someone will somehow earn 5% of the smartphone market because of their particular brand of material and some anticipated future advancements in those materials is not a conservative estimate, it’s a massive win of a huge portion of a gigantic business. Not impossible, but it’s not going to happen easily.

If we look at their financials with a broad brush, analysts expect them to earn about 96 cents next year, which would indicate a resumption of at least mild growth after this year’s expected decline, and they think the company will continue to grow at about 10% a year over the next five years. That gives them a price/earnings/growth (PEG) ratio of just over 1, and they also trade at about 1X sales and 1X book value, so it all shakes up as “perfectly reasonable” — not super cheap, not super expensive, and a company whose core business is very cyclical. If the Oxford Club folks are right, it would obviously turn out to be a bargain, and they have been compounding growth in their engineered solutions division at about 20% a year, they say, which is good … but the steel business is still the source of the lion’s share of their revenue, so you have to guess at how the steel business will do for a few years, how Graftech’s engineered solutions will grow over that time, and whether the higher-margin advanced stuff can make up for any decline in the lower-margin but higher-volume steel business.

And if you figure that out, by all means, let us know. I’d definitely be more comfortable with Graftech as a play on increased graphite demand by industry than I would be with the more speculative junior miners at this point, but that doesn’t mean GTI is guaranteed to turn your $900 into $20,000 or otherwise make you rich. Got an opinion on this one? Please share it with a comment below.


How do you make sense of it all?

I check my net worth and my portfolio (combined from several different brokerage accounts) using Personal Capital at least once a week, it's free and brilliantly organized.
Personal Capital has great tools for tracking spending (they can cut your spending by 15%), but what I love most is their automated financial dashboard -- it will look at all your assets and debts, tally up your asset allocation, project where you'll be at retirement, and suggest ways to manage risk or improve returns. It's free, I think their free tools are great, and I think it's worth checking out -- you can do so here.

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58 Responses to Revealed: “In the Race to Graphene Domination, Here’s The Company That’s Going to Win” (Oxford Club)

  1. Well, tis the season for graphites to blast off, the last few years dec-feb were good months to be in these stocks (base metals do well in winter so I suppose they are all related).


    • Tis the season alright for very speculative teaser picks. The reality is there are too many downsides to a $26 stock that has the stats this one does. I’ d prefer something a little safer or a BDC something with a big safe yield at the moment untilthe Progressives are out of office.


      • Deborah; I think what we have here is a classic case of seeing a glass as either half FULL or half EMPTY. I have difficulty seeing a successful 125 year old company as a “very speculative teaser pick” and where did you get the $26. stock reference? I just checked and the current price of GrafTech is $7.62 reflecting its selloff on a declining quarter. All companies have up and down cycles, the trick is to buy well established companies like this on a DOWN cycle when nobody wants them, then being patient until the next UP cycle has the market flooding back into a beaten down stock. How much “due diligence” did you do on this stock? What I think analysts are missing in the seemingly negative report is the fact that the Engineered Solutions Division brought in revenue of $70M. an increase of 31% y/y.
        I see that as very encouraging because it indicates new applications are gaining traction, the very thing that the Oxford Club is focussed on. This may turn out to be opportunity to buy low and then in a year or two sell high.


  2. graphine does not use much electricity. Amazing heat dissipation technology doesn’t seem that relevant. the higher efficiency of graphine and processes in controlling electron spin and other ways of reducing inefficiency make this heat dissipation technology not that amazing


  3. Thanks for another interesting, informative sleuthing article, Travis. I have subscribed to some of OC’s fee-based advisory service offerings over the past decade, and am thus familiar with some of David Fessler’s articles, but not this one. My overall sense of him is that he is too optimistic and perhaps too far out forward of the commercialization/widespread acceptance curve, not just in this instance, but generally in his articles about advanced energy alternatives. Like him, I am also a trained engineer, and have some familiarity with carbon and graphite fibers and structural and friction products made from them. No doubt there is a need for superior conductors of electricity and heat in future products. But there is also a need for superior strength and stiffness to weight in structures. And for that reason, I suggest potential investors consider SGL and ask themselves why both BMW and VW-Audi have invested so much in SGL; the answer is that both automotive companies believe that CFP [carbon fiber reinforced plastic] and carbon ceramic [carbon fibers reinforcing in situ formed silicon carbide and unreacted infiltrated silicon] structures are going to play an increasing role in automobiles. They are already used for body panels and structures in high end cars and in the manufacture of brake disks that will out perform and out last perhaps as many as sixty conventional cast iron/steel brake rotors. Higher MPG and MPG equivalent ratings and greater range between recharging and refueling from electric and hybrid cars can assuredly be obtained by using a lighter chassis, and CFP can assuredly be employed to produce such chassis. Note also that Boeing’s latest commercial aircraft, the 787 Dreamliner is made of CFP, and it also uses electrically actuated brakes whose disks are carbon-carbon composite material that provides all of both structural and frictional properties needed to function.


  4. graphene is stronger and lighter than steel
    and so we will see cars, boats, planes made from it in the future
    in the meantime electronics will incorporate both graphite and graphene = soon

    have a look at asx ser


  5. Graphene is at least 10 years away from even starting to become standard. Look at OPEL Technologies (OPELF on OTC). They’re on the verge of completing their POET (Planar OptoElectronic Technology) chip which will change most electronics we use today. The creator Dr. Taylor at University of Conneticut has been working on it for near 30 years when he started out at Bell Labs. OPEL owns 37 issued patents and 13 pending. The crazy thing is just parts of POET can be used and licensed and it can work with sylicon components. Check it out, do your DD.


    • Graphene being at least 10 years away didn t stop the stocks from going ballistic last year, point being: trade them,buy when no one wants them and sell when everyone wants them at any price.


      • Exactly! If you’re looking to jump on a stock as it runs up, take some profit and get out things like graphene are perfect. But don’t expect to buy one of these stocks and hold for some longterm growth. Not yet with graphene, they’re too faraway from mass commercial use.


  6. GTI has been touted by Byron King/Outstanding Investments/Agora since January (YTD -37%).
    Also by Motley Fool Pro since May 2009.
    A lot of GTI’s current business is tied to steel as a major supplier of graphite electrodes.
    And yes, there are some exciting possibilities


    • For commercial use in computers, smartphones, tablets, processors and so on, it’s going to be a longtime. They’ve just begun research on using graphene in technology. You think in a couple years they’ll be ready to mass produce? No way. It’s takes years of research and testing and failures and successes. It’s like so many other magical materials and technologies a lot of these newsletters pump. Sure ten, fifteen, twenty years from now it may be the standard in technology, but these things don’t happen overnight. Nanotechnology is a great example. Sure it’s the future, but not a couple years from now. They’re just barely scratching the surface.


  7. Hi,
    A good idea is to subscibe to “Graphene Info” where you get sound analyses of what is happening in the graphene industry. There are three lines or philosophies which method is the best to produce graphene. No one knows yet. And it will take at least 7-10 years before it will be lucrative.

    Peter Rongert


  8. Has anyone heard anything new about CVV. They are in the Graphene business and have been hyped before. How come nobody is hyping them this year? Any insights?


  9. Your article just saved me $49 – $79 – $99 bucks from subscribing to the much “lured” subscriptions all screaming about graphene investments – just to learn the name of the super stock that is now ready to skyrocket from its current trade of about $9 per share.


  10. Just had to put in my two cent’s worth.Halleluya! I have been wondering about that ‘Graphene Genius’company’s name!! THank God I resisted temptation to spend $49.00 just to get the name and then find out it was such a long shot for profits.It has taught me a valuable lesson. Thanks so much for giving me the facts.


  11. Graphene is really hyped up these days. Watch out – any return on investment will take at least 3 years (even Nobel prize winning Geim who invented the material says so). See website for the web’s most comprehensive guide to investments in graphene.


  12. I say buy now and if what they say will happen, happens we are all going to be looking good. Not much to lose and a lot to gain in the future.


  13. Like you ,I don’t want to spend another $49,$79 or whatever on a teaser for 1 company.please could someone send the and code of the $9 graphene stock,much thanx, Ollie


  14. I find myself smack dab in the middle of this controversy from the standpoint that I agree there is way too much HYPE from the average analyst writing for a major newsletter publisher be it Stansberry, Agora, Oxford Club, Motley Fool, and a host of others less well known.
    On the other hand, with lifetime subscriptions to several, that is balanced by the reality that in spite of the fact that in most cases they are not allowed by company policy to themselves invest in companies they write about, they DO often provide valuable insight into new trends or sectors and even individual stocks that are worth putting on a watch list for more sober reflection when the hype dies down.
    The key is doing your own due diligence with a check list of things that have to pass scrutiny before you blindly invest in a touted stock and then most importantly, buying only a very small stake, say 1% of your portfolio in any one position and then ADDING only when the company shows progress. The second important key is TAKING PROFITS to get as much of your investment off the table as soon as possible, starting as low as 25%, but certainly at 50% and then waiting patiently for an opportunity to get back in at a lower price. I have rarely seen a stock in 10 years of investing that did not FALL BACK after a run-up between 25% and 50%, so don’t get greedy, take your profits while you have them.


  15. There seems to be quite a few conflicting views towards grapheme in the short term at least.
    Is it better to invest now, while everything is being debated about grapheme, or wait a year or two. Please keep me updated, as to the general opinion.
    Many Thanks


  16. energy investing newsletter mentions CVV as a graphine research company. The product is in the latest tesla electric which is touted to travel 300 miles between charges and delivers a map of charging stations. An Asian company boasts an electric car that gets a thousand miles on a charge. Tesla confidently predicts a 1000 mile electric by 2017. The source of gigantic mining is in Canada. A recently re-opened graphite mine promising millions of tons of graphite. The key of course, is the lighter weight of the battery pack(which is now considerable). IBM is a leader in graphine research, spending billions on the notion that graphine will replace the silicon chip. I bow to the engineers who have discussed thoroughly the advantage of cooling with graphine. The hardest substance is no longer diamond, but graphine Solar panels that look like glass windows , cheaper than the present stamped processes are predicted to be common.
    Kidneys have been made that duplicate the original. Of course medicine will be slower to adopt this Nano technology but they are presently working on targeted elimination of bad cells without harming the good ones. It seems to me that new technology rather than adaptive technology will develop slower and the latter move at lightning speed. Who knows what roadblocks the so-called religions will place in front of biotech Nanotechnology. It’s hard to ignore the social implications of fear, ignorance, and superstition, not to mention wars that will have an impact on the future. When we think finally the world is getting the message about climate change, a drive around sunny California reveals a different message. Where are the solar panels, nearly as cheap as electricity now? Companies will install, maintain, and your same bill will come from your electric company, sometimes with a credit. No up front costs. And I don’t work for the solar panel companies.


  17. Israel NOW is hiding missile systems using graphine. They cannot be located by radar, therefore, cannot be knocked out. Some utilization is available but other applications may have to wait awhile. If the profits are there, companies, inventors, and venture capitalists will step up and produce. It is the American way. It is by far the best system of government and business ever devised by man. I am tired of the moaners and whiners who contribute nothing to useful dialogue but persistently and chronically
    wish to return to something that never was. This country is growing some of the smartest, most sophisticated data users the world will ever see. These kids are not robots and will not walk lockstep into the future. School systems that recognize the need for language, advanced mathematics, the arts, and government as well as history and computer science will lead the way. How can we call ourselves an enlightened society when kids in many of our cities have a high school drop out rate of 25%? My apologies for writing a blog where one was not asked for.


  18. Mike’s enthusiasm is exciting, and I hope that at least a small fraction of what he has described comes to fruition. At this time I remain a huge skeptic in many regards including technical feasibility, costs and particularly as to time frame. I’ve worked with scientists who worked with “buckyballs” — metallofullerene materials as a substitute for expensive metal alloys and found a similar level of hyperbole associated with those promoting them as well as old-fashioned snake oil promotions. We may witness commercial implementation of multi-wavelength solar cell panels having two or more times the conversion efficiency of the best panels available today before seeing much commercialization of graphene products.


  19. Yes, with most new technologies, it takes years for them to become commercially viable. And yet every now and then, something really revolutionary happens and the turnaround is surprisingly quick. Many are caught left wondering “how did I miss that!” Graphene has been researched for quite some time now and is beginning to make it into some interesting products. When you look at things like the discovery of graphene you find that the researchers thought it was going to be difficult and voila it was very simple indeed. And the production of graphene has really taken off from there. Maybe Graphene (carbon based things, like us) will turn out to be amazing in all respects.


  20. I,ve been with the oxford club for a number of years from personal experience the O.C. makes a lot of outragious claims to attract subscribers one being accuray (aray) it was supposed to skyrocket 1800 percent (yea right) so I take everthing they claim with a grain of salt ! PS they didnot even have the customary 25% trailing stop on that one.


  21. Inversor Global, a newsletter from Argentina, is teasing this same very ad right now, but in Spanish of course. Inversor Global and the Oxford Club belong to the same mother company, Agora Publishing. Technical analysis indicates GTI is on a down trend. Price peaked around May of 2011 (two years ago) at around $24 and it is now near $8. If the company does not do VERY well this year, I see the price falling to $3.


    • You need to look at the small penny stock CTDT – they produce diamonds and Graphene ( a by-product) as well as other allotropes using a groundbreaking patented technology. The machine produces so much graphene it can be seen with the naked eye. They are currently ramping up to go into production and have secured Maplehurst as there IR company. They have been extremely quiet and secretive for the last year while they tweaked the process. Their last PR issued May 9th said the expermental phase officially ended in May. There 10K is due July 1st but it is expected they will announce a lot of information prior to that (including funding and corporate partnerships and a “disruptive” new technology. Check it out.


  22. GTI produce 90% revenue from Needle Cooke for steel industry and Graphene less than 10% revenue. Steel is still trending downward and unlikely to recover in 2013 with hope in 2014 so Needle Cooke will begin to have excess inventory again such as 2011. Stock is likely to continue to trend downward and cash flow will be impacted. Stock price is future revenue so meeting earnings for short term is irrelevant because pre sold production already.


  23. JANUS CAPITAL MANAGEMENT, LLC: $ 121,678,763
    Royce & Associates, LLC : $ 148,762,183
    FMR, LLC : $ 155,521,904
    Fidelity Small Cap Discovery Fund : $ 82,533,367
    etc., etc.,
    Looks like the smart money is in it already. The big guys knows what is in the pipeline. I’ll get in for sure. As of Aug 2, 2013 it is down to $7.62. A good time to throw some into the pot.


    • Good research Henry, thanks for posting. You make my point, the professionals who are “in the know” are smart enough to buy beaten down stocks in preparation for a turnaround.
      The way to get the best price is to decide on an allocation for a particular stock, in this case GrafTech, divide it in half, put in a “stink bid”, say about $7. in this case for half you allocation and if it drops further, rinse and repeat. I doubt that anybody doing that will be disappointed a couple of years down the road.


  24. Also read the whole report from Oxford.
    So glad I found this ! I get soooooo many of
    these and forget to cancel them. Some are tempting, but
    reading above made it clear to always investigate fully before
    spending the $49.00. Again – i didn’t know about Stock Gumshoe
    before now ! I’ll definitely come back here – thanks to ALL of you.


  25. From what i have been reading on GTI they have existing contracts from very big firms waitting for them to finalise their testing procedures. Some of these firms build planes & others smart phones. They say that their will be many more companies lineing up for their product. It seems these guys have a very bright future ahead of them.


  26. Another tease from Oxford today on this “nanocompany” with the graphene world by the tail. Promises are appealing…for a subscription fee of course. The little lady has her pitch down and appeals to emotion. Guess that’s the way sales work.


  27. How interesting to review peoples viewpoints a year or more after the facts available then.
    Graftech has indeed done well in the past 6 months, a whole bunch of “me to” graphite juniors have joined the HYPE parade, but that does not mean there are not honest and progressive companies out there that are making solid progress that is belatedly being recognized by the market. There is certainly a case to be made for waiting until a concept is proven, a company is profitable etc. but in many case huge profits have already been piled by the brave souls who did their homework and bought into promising companies early. Two months ago I profiled a graphite company in my irregulars column on junior mining @.28 and already it has reached close to .80 (Mason Graphite) so you can absorb a few that don’t work out of you have winners like that which based on holding time generate a yearly return of around 900%. Upcoming in a future column is another graphite company profile that has contracts with several universities and a younger / cheaper company similar to Graftech that is researching end uses / applications and processes for creating graphene economically from a very high grade graphite deposit, you just need to pick the right horse and jockey to be in the race.


    • Don’y know whether you figured it out from my comments above, but if you did, kudos to you on your perception. I have been waiting several months to profile this company but was waiting for them to “beef up” their treasury, which they have now done. I personally think this one has greater percentage increase potential than Graftech. Micro plays like this are my specialty, particularly when I have confidence in management, and I have talked to the CEO personally and believe this could be a major winner.


  28. The key here is recognizing a trend, checking a companies fundamentals and asking yourself, which is most likely to give you a quick double, a solid company sitting @ .13 or a mature company already approaching $10.? Next time I talk to CEO Paul Gill I will ask him that very question. I will be reporting any significant news as things progress in the many facets of their business. Important point is they now have the working capital to pursue their business plan.


  29. I’m not the smartest tool in the shed but if over 90% of this stocks shares are owned by institutions. If you look at the numbers a lot of them are in over the $10 range and it’s trading presently below $9, I’m in. If this goes, it goes……


  30. The biggest speculation in graphite right now is which deposit is most likely to be tapped by Tesla’s proposed “Giga Factory” for producing a half million batteries per year. As I write at least 2 prominent analysts are equally sure “their pick” is the only one that qualifies to meet Tesla’s requirements, but I am not convinced either one is necessarily right. While I own numerous graphite stocks, the first one I bought was Focus as mentioned by 43, so I am positioned should they get a piece of the action, but there are a number of other contenders so I am spreading my money around several as I doubt anyone has a slam dunk as there are many factors to be considered and there may yet be some surprises.


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