Thursday, June 12, 2008

Citigroup Pans Ethanol... On Flooding -GROUP HITS ALL-TIME LOWS (PEIX; AVR; VSE, BIOF, ADM)

From 24/7 Wall Street:
Ethanol stocks appear to be under pressure this morning. Citigroup has downgraded the group to a SELL rating, partially based upon the Midwest flooding. VeraSun (NYSE: VSE) and BioFuel Energy (NASDAQ: BIOF) were cut to a "SELL" rating from "BUY" and Archer Daniels Midland (NYSE: ADM) was cut to "HOLD" from "BUY.">>>MORE

VeraSun hit an all-time low of $4.65 this morning, same for Pacific Ethanol* at $2.32 and Avantine at $4.75.

*See also:
June 9-Corn Prices and the Ethanol Producers (AVR; PEIX; VSE)
June 9-Is There Hope for the Ethanol Producers? (AVR; PEIX; VSE)
June 6-Corn rises to record with Midwest beset by rain, Ethanol producers revisit lows (PEIX, VSE)
...And that, boys and girls, is why we post the Crop Progress Report every Monday after the 4:00 p.m. release.
June 4-Bill Gates Slashing Stake in Pacific Ethanol (PEIX)