[New Recommendation - PTIX] I have followed PTIX since last spring. Then and now it had good products, growth and a great balance sheet. The stock had a big runnup, got ahead if itself and slid back. Year end 97 report had decent results, but a comment about starting out the year with a lower than normal order backlog caused a large fallback from 19+ to the 12s this week - until the announcement Tuesday - earnings were .18 vs a .17 concensus estimate.
What folks missed during the slide was a lot of significant news releases - even the PTIX thread here. They have a strong cash position and were thus able to fund a strong R&D effort with good product rollouts. They've also announce new overseas marketing and distribution arraingements and a share buyback.
The company has a growing product line of high performance data communication equipment. It's my assessment that they are doing a good job of assessing current end emerging industry trends. Their software is designed to make it straightforward for network technicians to moniter and support PTIX products & the networks they interface to. The announcements for the most part below are not the sort that the market reacts to initially. Instead the response comes when the revenues hit the bottom line. With an already good and improving margin & no debt, I anticipate that the bottom line effects will be very nice. I also think the risk reward picture is good. I also think we'll see analyst upgrades fairly soon. As veteren netsurfers, you are probably aware of the existing bandwidth being soaked up by much more on-line use and increasingly demanding applications (streaming audio & video, hi res graphics, etc). PTIX products help provide much more comm thruput and with their fiber channel connections to devices such as RAID disk arrays, they also enable faster data transfer within a server. Good stuff.
The latest earnings report:
Performance Technologies Reports 28% Increase in First Quarter
Earnings Twelfth Consecutive Quarter of Record Earnings
biz.yahoo.com
The fundimentals: (keep in mind they wont reflect the new qtr for a while)
wsrn.com
Another value oriented site:
vectorvest.com
The releases:
Performance Technologies, Inc. Announces WindowsNT Driver Support
Provides NT Support for Intelligent Communications Server Family
biz.yahoo.com
Performance Technologies Expands Marketing Efforts for Switching Products .....signs The EMS Group in UK to develop VAR, OEM and End User relationships throughout Europe.....
biz.yahoo.com
Rapid Logic's WebControl SDK Selected for Performance Technologies' Nebula Ethernet Switch Family
biz.yahoo.com
Performance Technologies Ships High-Performance CompactPCI Boards for WAN and Telecommunications Applications
Improved I/O Connectivity and Memory Options Maximize Application Performance and Flexibility
biz.yahoo.com
Performance Technologies Announces $5 Million Stock Repurchase Program
biz.yahoo.com
Performance Technologies Announced Significant Price Reduction for Wide-Area Network Engine
biz.yahoo.com
Performance Technologies Selected As Ciprico 7000 Series PCI Fibre Channel Adapter Vendor
biz.yahoo.com
Stock Index For The New Economy Introduced
Next Wave 100(TM) Comprised Of Leading Small-Cap Technology Companies
Represents The Growth Engines of Today's Innovation Driven Economy
biz.yahoo.com
Performance Technologies, Inc. Announces WindowsNT Driver Support
Provides NT Support for Intelligent Communications Server Family
biz.yahoo.com
I get the destinct idea the revenue stream will be in pretty good shape following all this development.
OK, now we're caught up. Do some DD and Do feel free to contribute over on the PTIX thread - it needs some help! Scott
|
