Donald, I hate to be the bear here, but, if you look at the yahoo research site you will find that the earnings estimates for next year were downgraded again. This time to $.79. Now, it is only a penny, but I think that is big because it shows that the analysts are not seeing the increase in FSI's business.
I know you are to never assume. But, I think that a good analyst would have known that FSI had this leasing company deal going when the estimates were downgraded. Also, speaking from experience because I used to sell and lease computer equipment, that this announcement is no big deal. They were already doing leases in the past. And, from what I can read it is just another agreement with a leasing company. Of course, I could be wrong and something else could be going on that would be considered out of the norm. But with FSI, I doubt it.
If I was to guess, I think that there was probably one or two big purchases earlier this morning and the little guys like me thought is was big and jumped in driving the stock price up. It is now back down to 16 3/8. Reality will soon come back to this stock. |
