To: Jenna who wrote (67956 ) 10/26/1999 6:58:00 AM From: Jenna Respond to of 120523
CGII: "Emerging Growth Microcap Company".. Stock has been falling quite steeply until anticipation rose for the pending earnings report and the stock rose 17%. The earnings report was good: $0.34 per diluted vs $0.19.. could continue to uptrend.. From an August report on the company (obviously before last night's earnings report): Sidoti: We focus on companies that (meet) three criteria. (The companies have) market caps under $500 million and are profitable and not well-followed by Wall Street. Sidoti: There are a ton of names that we like a great deal. One name is Cunningham Graphics (CGII: news, msgs). We just raised earnings for this year from $1.17 to $1.21 and the next year from $1.59 to $1.62. It trades at about 10 times earnings and has been growing at 25 percent a year -- that's just underlying growth, excluding acquisition. The company's primary business is commercial printing. It has, in essence, cornered the research side of business here on Wall Street. It publishes all of the research for most of the major brokerage houses today. About six weeks ago, they signed up PaineWebber. And just two weeks ago, they announced that they (had) signed up Merrill Lynch. With the growth in interest in the market, you are seeing growing demand for the research. Cunningham Graphics International Announces Record Third Quarter Results Revenues Increase 121% EPS Excluding Non-Recurring Moving Costs $0.34 vs. $0.19 JERSEY CITY, N.J.--(BUSINESS WIRE)--Oct. 25, 1999--Cunningham Graphics International, Inc. (NASDAQ NM: CGII - news) today announced record financial results for the third quarter and nine months ended September 30, 1999. For the third quarter ended September 30, 1999, revenues increased 121% to $31.3 million compared to $14.2 million in the third quarter of 1998. The Company achieved internal revenue growth (excluding revenues from acquisitions) of 35% compared to last year's third quarter. Before non-recurring moving related costs, net income for the third quarter increased 87% to $1.9 million, or $0.34 per diluted share, compared to a net income of $1.0 million, or $0.19 per diluted share, for the quarter ended September, 1998. For the nine months ended September 30, 1999, revenues increased 89% to $72.2 million