Topic: How To Invest

Pat: What is your recommendation on Titanium Metals?

Article Excerpt

Titanium Metals Corp., $16.27, symbol TIE on New York (Shares outstanding: 179.9 million; Market cap: $2.9 billion; www.timet.com), produces titanium and titanium products ranging from titanium sponge (which is the basic form of titanium metal used in titanium products) to titanium ingots, alloys and fabrications, such as spools and pipe fittings. Titanium is a naturally occurring element that first went into commercial use in the 1950s. This strong, lightweight metal is highly resistant to rust and high temperatures. That’s why titanium has mainly been used in the aerospace industry. However, titanium is now being used in a growing number of products, including armor plating, structural components, chemical plants, power plants, desalination plants and pollution control equipment. In the three months ended June 30, 2011, Titanium Metals’ revenue rose 28.3%, to $272.0 million from $212.0 million a year earlier. The company earned $31.5 million, or $0.18 a share. A year earlier, it earned $19.0 million, or $0.11 a share. These gains…