PLSS HAS "EASY MONEY" written all over it as a long term holding.
Peerless Group designs, develops, installs, & supports
integrated information systems for community banks and
credit unions. In other words, it runs the small town
banks so they can compete with the big ones.
* They have a proprietary system that SELLS and provides
a recurring revenue model.
* They only have 4.7 million outstanding shares(less than
2 million in the float)
* They are making revenues($7million last Q-up 38%) and
earnings(800,000- up 300%).
* They just announced a stock buyback June 18.
* They have 0 debt and $9 million in the bank($2 per share)!
* P/E of only 12 and going down down down with higher
earnings and more contracts every Q.
* 40% profit margin on most sales.
* 157 employees.
* Spinoff of EDS that IPO'ed in Oct 96 at $8!
An anaylst interviewed in a April 30 Wall Street Journal
article called the stock "on the verge of rediculously
cheap" at $6.75. The title of the article was "The
big problem for Peerless is getting investors to notice."
This stock is a gimmee for solid returns the next few
months. Lots of money in the bank. Big earnings gains-
beating analysts estimates every Q. 2 out of 2 analysts
recommend PLSS as a "STRONG BUY"
and its ranked #2 out of 19 stocks in its group, according
to Zack's investment research.
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