EQNX - Value play?
One of my favorite stocks, eqnx, was recently beaten down because they slipped in earnings last quarter (due to slipped orders from OEM(s))and apparently the word leaked out prematurely. They were punished severely.
Now trading at $9.5, down from a recent high of $18,
PE - 11.1
3.4M shares, book value of $4.29
Price:sales - 1.8
38% held by institutions, 23% insiders.
$14 million in cash, no debt.
Seems to me they could just liquidate the company and pay a handsome premium to all shareholders. Most recent press release says that they have already booked the orders missed from last quarter, hinted that another OEM deal is in the works.
Their closest competitor - Digi (dgii) is trading at PE of 73! Equinox products are better (IMO), cheaper, margins are higher, and they have new products on the drawing board. They get great technical reviews in the trade magazines.
Does this fit the mold of a "Value Play"? |
