SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : TouchStone S/W (TSSW) -- Ignore unavailable to you. Want to Upgrade?


To: Sunny Halsted who wrote (2223)8/30/1998 8:39:00 AM
From: David Alan Cook  Read Replies (1) | Respond to of 3627
 
Sunny,
I try to balance comments received from the company with information released in the company's 10Q's etc. My 3 main reasons for buying the stock remain unchanged:
1) Company sells at a steep discount to the Industry Average Price Ratio:
* Price to Sales for TSSW is 1.37 versus the Industry Avg of 13.27
Lower is Better
* Price to Book for TSSW is .78 versus the Industry avg of 14.44
Lower is Better
* Company has no LTD with LTD to Equity = 0.00 and Debt to Equity is = to 0.
* Company has a higher current and quick ratio than the Industry.

In small cap companies like TSSW, I follow the fundamentals closely. If TSSW's MGT can get its act together, the company stock should start to trade at least 50% of the industry average price ratios.

2) Company has lots of cash.
* Currently selling for less than its cash and investments on hand.
Cash per share is $1.37 based on total cash and investments of $10.87 million and 7.939 million shares.

3) New products offer hope of turnaround.
** Netoptimizer newest product released. . higher margin product. . .should see the impact in the 3rd qtr
** Another new checkit 98 line with a year 2000 batch released this qtr
** One more new product to be released

** Company has a member of Award software on its board and has announced a checkit partnership with this company.

Would like to see a share buyback from mgt . . would show some support for us shareholders.

DC