ORLANDO, Fla., Sept. 22, 2010 (GLOBE NEWSWIRE) -- RedChip Companies, Inc. announced today that its President and CEO, Dave Gentry, reiterated his positive outlook on L&L Energy, Inc. (Nasdaq:LLEN), a U.S.-based company operating coal mining and distribution businesses in China.
According to Mr. Gentry, "The recent sell-off in L&L Energy, Inc. (Nasdaq:LLEN) was unwarranted and created a rare buying opportunity. The Company has no accounting issues or deficiencies and has undergone rigorous due diligence by bankers and institutional investors."
The remainder of Mr. Gentry's remarks are as follows:
Norman Mineta, former US Transportation Secretary and Commerce Secretary, recently joined the Company's Board of Directors and has been appointed Vice Chairman of the Board. Mr. Mineta has an extensive background in politics and business, and the fact that a public figure of his stature would commit to being on L&L's board lends significant credibility to the Company.
LLEN is an American company with coal operations in China that generated revenues of $109 million, a year-over-year increase of 167%, and earnings of $33 million, a 230% increase, in fiscal 2010. It recently generated 395% revenue growth and 306% net income growth in the first quarter of fiscal 2011. Management projects net income of $46 million for fiscal 2011 on $218 million in organic revenues.
Four-fifths of China's electricity is generated by coal. China became a net importer of coal in 2009 and had net imports of 71 million metric tons in the first half of 2010. LLEN is executing a major roll-up of smaller mines in China and has set its goal on becoming a $1 billion revenue company over the next 3-5 years.
The company is on track to generate $46 million in net income without acquisitions in fiscal 2011. With trailing EPS of $1.51, a 10x P/E would put the stock at $15.00 and a 20x P/E at $30.00. The company is expected to make several acquisitions this fiscal year, which could put net income considerably higher than management's guidance. Smart investors will accumulate this stock at current levels and hold.
To learn more about L&L Energy or to view analyst research, management presentations, radio interviews, and more, please visit:
About RedChip Companies, Inc.
RedChip Companies is an international, small-cap research and financial public relations firm headquartered in Orlando, Florida with affiliate offices in Beijing, China; Paris, France; and Seoul, South Korea. RedChip delivers concrete, measurable results for its clients through its extensive national and international network of small-cap institutional and retail investors. RedChip has developed the most comprehensive platform of products and services for small-cap companies, including RedChip Research™, Traditional Investor Relations, Digital Investor Relations, Institutional and Retail Conferences, RedChip Small-Cap TV™, Shareholder Intelligence, Social Media and Blogging Services, Webcasts, and RedChip Radio™. To learn more about RedChip's products and services, please visit: .
The RedChip Companies, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=2761
"Discovering Tomorrow's Blue Chips Today"™
CONTACT: RedChip Companies, Inc. Dave Gentry 1-800-RED-CHIP (733-2447), Ext. 104 info@redchip.com http://www.redchip.com