This stock appears to be extremely undervalued relative to its traditional growth rates. Here are the numbers based on a recent trading price of $7.00/share:
TTM PE: 8.2 TTM P/S: 1.39
1 yr EPS Growth: 102% 3 yr Operating Earnings Growth: 110% (annualized) 3 yr Revenue Growth: 73% (annualized) 1 yr Revenue Growth: 68%
Outstanding shares: 4,603,000
Two analysts follow the company. Their estimates for FY99 are found here:
quote.yahoo.com
With a low estimated earnings growth rate for next year, I feel that this stock may surprise to the upside. Technical pattern appears to show a bottom forming in the 6 - 6.50 region.
I would give this stock a strong speculative buy. I can easily see it doubling within the next year. Any other thoughts out there??
-ABH |