Topic: How To Invest

Pat: Can I please have your recommendation on BIOX Corp.? Thank you.

Article Excerpt

BIOX Corp., $1.21, symbol BX on Toronto (Shares outstanding: 45.6 million; Market cap: $55.2 million; www.bioxcorp.com), designs, builds, owns and operates biodiesel production facilities. The company’s plant in Hamilton, Ontario, can produce 67 million litres of biodiesel a year. BIOX believes its patented production process can make high-quality, renewable, clean-burning, biodegradable biodiesel fuel using a variety of feedstocks, including seed oils, animal fats and vegetable oils. The company continues to lose money and report negative cash flow. As well, the level of long-term demand for biodiesel remains uncertain. Rising crop prices would also make the raw materials used in biodiesel more costly, and could put pressure on politicians to focus on alternatives to ethanol and biodiesel fuels. We don’t recommend BIOX Corp.’s thin-trading shares. shares. …