<Here's one of interest for those wanting to stay domestic;;;
DYMX. PE in the 10's book of 6 and change, coming off of a
bottom on 5 times volume, which may have been news related,
however, a kicker. The co that they are buying for 51 million
and 1.5 million shares of stock has a 4.5 million caveat if
the stock trades below 12 for 60 days over the next 4 years.
sounds like a good reason for DYMX to keep the stock above
12,huh? Last earnings were 22 vs 17. All domestic with no
exposure to Asia, Mexico, Brazil or BFE with a weak economy.
Opinions anyone? It is a little overbought right now, so I'm
watching for a dip tomorrow on profit taking. >
Ken, here's what I found on DYMX. Trading at a discount PE ratio of almost 65% to its peer group, but it's not totally a domestic company.
Large portion of sales are in Canada and DYMX is therefore very much affected by exchange variations. The kicker that you mentioned, keeping the sale price above 12 is not a factor until the year 2000.
A little history: IPO at $8/share in August '96 managed by William Blair. The Co. has been growing by acquisitions - 19 completed since the IPO. Public offering at $12.875 in May '98. Public offering was very successful from what I could see. 21 institutions established positions in the stock !!!!! 37 institutions hold over 44% of the shares. BTW, Blair has maintained a STRONG BUY rating while selling shares (g). Then the stock market gave some gravity to the share price and the stock declined in price, but the stock has been moving up from a low of $6 in early Sept.
The debt to cash ratio is not very good, but the co. has been funding most of their growth (acquisitions) from their cash flow. The low price of fuel along with their successful business plan and the low PE makes this an attractive stock for an investment but not for a short term play.
Sergio
Insiders bought in July and Sept. |
