5/03/2009

Industry: Industrial Metals & Mineral

direct insider purchases for the week ending 04/29/09

RTI International Metals, Inc. produces titanium mill products. Aerospace, defense, and industrial applications are their main source of customers.

Director Ronald Gallatin purchased 6,220 shares at $12.5 for a total value of $77,812. RTI is an interesting investment due to the following;

EBITDA/EV = 24.67%

Share buybacks have reduced the share count outstanding.

ROA 4 year average = 11.52
ROA 2 year average = 6.48


Other notable companies in the Industrial Metals & Mineral industry are

ZINC: Horsehead Holding Corp

EBITDA/EV = 37.12%

ROA 4 year average = 25.20
ROA 2 year average = 21.24

Share count increasing over several years.

TC: Thompson Creek Metals

EBITDA/EV = 49.38%

ROA 4 year average = 16.59
ROA 2 year average = 11.05

Share count increasing over several years.

The high earnings yield and return on capital make all 3 ideas worth a closer look

I own shares in ZINC.