Congress Just Handed This Company a $205 Million Windfall. Is Its Stock a Buy?

One dollar per gallon here, one dollar per gallon there can really add up in the 2.5-billion-gallon biodiesel industry. That's because the Biodiesel Mixture Excise Tax Credit (BTC) provides a $1 per-gallon subsidy to the first company that blends biomass-based diesel with petroleum-based fuel, which is usually the company that produced the biodiesel.

Er, that's how it's supposed to work anyway, but the subsidy has become a bit of a budgeting and political football for Uncle Sam, as evidenced by its being allowed to expire in 2010, 2012, 2014, 2015, and 2017.