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Strategies & Market Trends : YEEHAW CANDIDATES -- Ignore unavailable to you. Want to Upgrade?

To: brogan who wrote (13862)	12/17/2005 12:42:22 PM
From: Sergio H	Read Replies (1) \| Respond to of 23958

I think that ALAN got into problems when they pre-announced deals that didn't develop, particularly the Japanese connection. But, right now they're executing their game plan and the numbers are going to look very nice. The price should go up as they regain credibility. They're establishing some very good international connections while continuing to gain market share in the U.S. Estimate $3.8 million in RFID contracts so far this fiscal year, add in $9 million from the data storage division (assuming a 30% growth rate which is conservative in comparison to the last three years) + the $1 million in backlog orders from the last 10k = about $14 million. That's 100% increase over fiscal 2005. Most of ALAN's RFID contracts are demonstration projects with potential expansion. LA County is the most lucrative. ALAN is likely to win a few more RFID contracts for this fiscal year, so the numbers are going to be more attractive. Additionally, there should be margin improvement as costs due to product intro are reduced and an end to the lawsuit that's been a drag on earnings comes around. The TA is looking better as well. ALAN has established a nice bottom and the price has hovered over the 50 day MA. The short term avgs. are threatening to cross over the 50 day and make a run to the 200 day. I haven't talked to Ken about ALAN in a while. He is probably the number one authority on this stock excluding ALAN insiders. Perhaps he can comment on my numbers and outlook and correct me if I'm on the wrong wavelengh.