Pallet Pallet Inc.
The company has a good future, I strongly believe this company will return to profitability in 1997. Why ?
1) The company has sold off parts of the buissness that are unprofitable, now instead of purchasing independent pallet companies, they are forming exclusive partnerships with other pallet companies.
2) They came up with a new concept called Pallet Banking, and a North American network service to refurbish pallets and service clients.
3) The company reported that their new Pallet Banking program is working and they are growing 25 to 30 percent per Month in the number of pallets they are shipping !! Customers include major carriers like Prime, Rocorp, Marten Transportation. As well as manufacturers like Best Foods, Welches, and Western Sugar, etc.
The company sales are improving, Sales revenues for fiscal 1996 were 118.8 million, compared to 76.9 million for 95. The company stated it beleives the it will be profitable in 97. The first quarter of fiscal 97 ended Augest 31, 96, earnings before taxes were $192,000, or 0 cents.
The next quarter will be reported at the end of Jan., I believe they will be very positive. The company was very profitable in the past, until they ran into problems, but I think these problems have been solved. I asked my investment advisor and he told me that "PLT" could very well hit $1.60 this year. On the other hand I have been told by others that the stock could hit $3.00 by 1998.
The company looks very sound and seems to have really good prospects,
if you or anyone else has a thought on this company let me know !
Thanks !!!
Could this be a stock for 1997 ?
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