Quaker's Fans Keep The Faith

Quaker State traded as high as $31 a share in 1987, but it has been more or less on the skids since then. Now, it sells at just a shade below its book value of $11 a share. The company, which produces motor oil and operates a chain of quick-lube centers, has been struggling to boost earnings, which fell 40% in the first quarter. But that hasn't spooked such big investors as Mario Gabelli, who holds a 8.2% stake. Indeed, other pros have been buying, too. Why?

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