Value Investing Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Value Investing

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: bruwin who wrote (21608)	7/6/2005 4:12:11 PM
From: itilis2003	Read Replies (3) of 78758

MHCO is cheap by most measures. Price/book Price/sales Price/earnings Price/Net current assets Insiders own the vast majority and they continue to buyback shares. (Notice the sharecount has been declining for years) I wouldnt be suprised if the company is sold because of the age of the chairman, the president and board members. The fact that its down from its 52 week high of $4.75 is simply the liquidity or lack thereof. That and the last quarter was a little disapointing. But MHCO runs the business for the long term, not for quarter to quarter expectations. I first bought the stock at $1.03 and have averaged up over the years as all the evidence suggests they continue to build shareholder value. I expect at some point in the future, MHCO will trade at or very near its book value. And that book value increases every year. $8.724 book value at 3/31 Diluted book value was $8.316 From shareholders letter 4/18: Entered into a new 4 year contract with warehouse & delivery associates -will provide them with substaintial wage and benefit increases. Substatial contining investment in equipment,along with intensive job training and clear incentives, have enabled us to control our unit logistics costs while making MHCO a better place to work thereby reducing turnover. Strengthened our "hardware house" brands by adding seasoned import exectutive who is responsible for global sourcing. Brought with him an experienced team on the ground in the far east. *Hired a seasoned sales executive to establish rep organizations nationwide for Hardware House products, to accelerate national penetration with these brands. Expect 2005 to show first results from this effort. -- Sounds like they are investing for the longer term. Which I guess is why first quarter EPS were below last years. How many $3.50 stocks earned 11 cents last quarter while investing for the longer term ? Finally, although I never buy a stock soley for a pump & dump, the fact that its a "low float" stock that COULD get it pumped & dumped. Even pinksheeters are getting pumped & dumped it seems. Look at CDEN.PK today. From $3.55 yesterday to $9 today.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next