In the few days preceding the last presidential debate between McCain and Obama (which was soooo boring … I was really hoping for more winking, personally), Louis Navellier continued his presidential-themed teaser ad campaigns.
Last time around, he was promising that he had written the perfect campaign speech, and that whoever uttered it would be the winner of the election — that was about natural gas transportation systems, for the company Fuel Systems Solutions (FSYS) — you can read about it here if you like, the stock has been clobbered along with almost all of its compatriots in this alternative fuel niche (down from $50 to $30 or so in recent weeks — right now it’s right about where it was when Navellier started promising a double over the Summer).
But this time, though the theme is similar the stock is different. He’s advertising his Emerging Growth newsletter, and calling this the “most obvious way to double your money.” That’s almost a crazy prediction now, and was still pretty out there as of a week ago when I first started seeing these. Heck, the S&P 500 could double or halve in the next month and I’m not sure I’d bat an eye at this point, but still, promising a double is awfully aggressive during a steep bear market.
He breaks down the stock for both parties:
“Two Reasons Why Obama Loves This Stock
“The company’s filtration systems convert greenhouse gases like nitrogen oxide into harmless nitrogen and water.
“In fact, utility plants in the U.S. already use this company’s equipment to generate 50,000 MW of energy, helping to prevent acid rain, smog, water-quality deterioration and climate change.”
and, for equal time …
“Two Reasons Why McCain Loves This Stock
“The company’s filtration systems serve power producers, refineries and gas transmission companies.
“These filtration systems not only clean emissions from power plants and chemical companies but also make the refineries and drillers run more efficiently—adding to bottom-line profits.”
He also provides a few quick clues about the company …
“Because this company is the world leader in pollution control for the energy industry.
“With both candidates’ energy plans containing some form of pollution control, you can’t help but make money when you own this stock.
“And the company’s one-year 992% earnings-per-share growth proves you can profit BIG-TIME from NEW drilling and/or NEW green energy legislation.”
So … what are we dealing with here?
Well, danged if I can find the precise quarter in which they reported exactly 992% earnings growth, but since you can make up just about whatever numbers you like and call them “earnings” it’s probably in there somewhere, ex items or something. This company must be …
Peerless Manufacturing, now called just PMFG, Inc. (PMFG)
This has made it on Navellier’s lists in the past, and it is used by plants that generate more than 50,000 MW, as per the company website. The last quarter’s report, which also explains how Peerless has been absorbed by PMFG, the parent, tells us that they are growing … but 992% is nowhere to be found. They have had earnings growth of near 700% in quarters past, so there’s probably a t