Below are a few ideas I looking at for trades this week. They each have their own story but I've gotten interested simply based on their charts alone. I'll need to do further research before I trade any of the long ideas but I'm already positioned to benefit from a fall in the shares of SNAP. I really believe this is a stock in trouble. So despite my aversion to trading the perils of an American company, I feel compelled to do so in the case of SNAP. I think the money's to be made on the short side.
RCI Hospitality has been beefing up it's collection of Gentlemen's Clubs while at the same time continuing to develop its entry into the Casual Dining segment of the restaurant business. And so far its starting to gain traction as plans to expand move forward. But this is a transition period that's setting the groundwork for increasing revenues, earnings and dividends. And it can be seen most easily in the price of their shares. Investors are continuing to struggle with the path forward and the buyers and sellers are reaching parity and causing the share price to consolidate. I believe in time the buyer will win out and the shares will continue higher. As a result, I continue to buy on dips and hold on as it moves to new highs.
RCI Hospitality Holdings, Inc. engages in the hospitality and related businesses in the United States. It operates in two segments, Nightclubs and Bombshells Restaurants/Sports Bars. The company owns and/or operates upscale adult nightclubs serving primarily businessmen and professionals under the Rick's Cabaret, Vivid Cabaret, Tootsie's Cabaret, Club Onyx, Jaguars Club, XTC Cabaret, Hoops Cabaret, Downtown Cabaret, Temptations, Silver City Cabaret, Foxy's Cabaret, Cabaret East, and The Seville brands. It also operates four restaurants/sports bars under the Bombshells brand; and a bar under the Studio 80 brand. As of December 13, 2016, the company operated 41 units that offers live adult entertainment, and/or restaurant and bar operations. In addition, it owns a national industry convention and tradeshow; 2 national industry trade publications; 2 national industry award shows; and approximately 25 industry Websites. The company was formerly known as Rick's Cabaret International, Inc. and changed its name to RCI Hospitality Holdings, Inc. in August 2014. RCI Hospitality Holdings, Inc. was founded in 1982 and is based in Houston, Texas. (Summary) (Company) (Chart)
7 May 2017 Price $23.22 1yr Target $29.50 Analysts 2 Dividend $0.12 Payout Ratio 12.00%
1yr Cap Gain 27.04% Yield 0.51% 1yr Tot Return 27.55%
P/E 23.27 PEG 0.58 Beta 0.26
EPS (ttm) $1.00 EPS next yr $1.92 Forward P/E 12.11 EPS next 5yr 40.00% 1yr Price Support $76.80
Market Cap $228.95 Mil Revenues $135.20 Mil Earnings $9.70 Mil Profit Margin 7.17%
Quick Ratio 1.00 Current Ratio 1.10 Debt/Equity 0.77
TTM Technologies, Inc. is one of the world's largest printed circuit board (PCB) manufacturers, focusing on quickturn and technologically advanced PCB, backplane assemblies and electro-mechanical solutions (E-M Solutions). The Company provides time-to-market and advanced technology products and offers a one-stop manufacturing solution to customers from engineering support to prototype development through final volume production. The following are five specific aspects of the company.
25 facilities worldwide with over 30,000 employees
Top 5 global PCB provider
Publically traded US Company and listed on the NASDAQ (TTMI)
Serve diverse end markets including Aerospace, Cellular phone, Industrial, among others
Technology focus including 55 awarded patents with 28 patents pending for advancements in manufacturing and design
TTM Technologies, Inc. manufactures printed circuit boards (PCBs) worldwide. It provides a range of PCBs and electro-mechanical solutions, including conventional PCBs, high density interconnect PCBs, flexible PCBs, rigid-flex PCBs, custom assemblies and system integration products, and IC substrates. It also produces test specialized circuits that are used in radio-frequency or microwave emission and collection applications; printed circuits with heavy copper cores, and embedded and press-fit coins; PCBs with electrically passive heat sinks; and PCBs with electrically active thermal cores. In addition, the company offers various services, including design for manufacturability, PCB layout design, simulation and testing, and quick turnaround services. The company's customers include original equipment manufacturers and electronic manufacturing services companies that primarily serve the networking/communications, cellular phone, computing, aerospace and defense, and medical/industrial/instrumentation end markets of the electronics industry; and the U.S. government. TTM Technologies, Inc. was founded in 1978 and is headquartered in Costa Mesa, California. (Summary) (Company) (Chart)
9 July 2017 Price $17.64 1yr Target $20.50 Analysts 3 Dividend $0.00 Payout Ratio ---
1yr Cap Gain 16.21% Yield 0.00% 1yr Tot Return 16.21%
P/E 30.52 PEG 1.53 Beta 1.45
EPS (ttm) $0.58 EPS next yr $1.82 Forward P/E 9.69 EPS next 5yr 19.90% 1yr Price Support $36.21
Market Cap $1.82 Bil Revenues $2.58 Bil Earnings $75.10 Mil Profit Margin 2.90%
Quick Ratio 1.00 Current Ratio 1.40 Debt/Equity 1.18
TTM was incorporated in 1998 and is now be the largest printed circuit board (PCB) supplier in North America and one of the largest suppliers in the world. TTM's acquisition of Viasystems Group on May 31, 2015, resulted in combined pro forma revenue for 2014 of $2.5 billion.
TTM's rapid growth began with the merger of Pacific Circuits and Power Circuits in 1999 followed by a successful IPO on the NASDAQ under ticker symbol TTMI in 2000. The company then doubled in size with the acquisition of Honeywell Advanced Circuits in 2002 and again doubled in size with the acquisition of the Tyco Printed Circuit Group in 2006. The acquisition of Tyco transformed TTM into North America's largest provider of PCB products for the Aerospace & Defense Industry.
In 2010, the Meadville Printed Circuit Operation was added to the TTM family which once again doubled the size of the company and positioned TTM as a global leader in advanced HDI PCBs used in smart phones and tablet computers. The most recent acquisition of Viasystems has again doubled the size of the company and has quickly catapulted TTM into a leading position as a supplier of high reliability PCBs used in the Automotive Industry.
Today TTM is a global leader and is one of the largest PCB products manufacturers in the world. TTM's one-stop solution covers all stages of the product life cycle from inception to prototype with ramp to volume and high volume production. TTM's broad product offering is utilized by all major End Markets including Aerospace & Defense, automotive, computing, industrial, medical, mobility and networking/telecom.
General Business Description
TTM Technologies is a leading global printed circuit board (PCB) manufacturer, focusing on quick-turn and volume production of technologically complex PCBs and electro-mechanical solutions (E-M Solutions). They are the largest PCB manufacturer in North America and one of the largest PCB manufacturers in the world, in each case based on revenue, according to the 2015 rankings from N.T. Information LTD (NTI).
In 2016 the Company generated $2.5 billion in net sales and ended the year with approximately 28,360 employees worldwide. They operate a total of 25 specialized facilities in North America and China and focus on providing time-to-market and volume production of advanced technology products and offer a one-stop manufacturing solution to our customers from engineering support to prototype development through final mass production. This one-stop manufacturing solution allows us to align technology development with the diverse needs of our customers and to enable them to reduce the time required to develop new products and bring them to market.
The Company serves a diversified customer base consisting of approximately 1,500 customers in various markets throughout the world, including networking and communications infrastructure products, smartphones and touchscreen tablets, as well as aerospace and defense, automotive components, high-end computing and medical, industrial and instrumentation related products. The Company's customers include both original equipment manufacturers (OEMs) and electronic manufacturing services (EMS) providers.
As a result of the acquisition of Viasystems Group, Inc. (Viasystems), the Company now manages theyr worldwide operations based on two reportable operating segments: (1) PCB, which consists of 13 domestic PCB fabrication plants, including a facility that provides follow-on value-added services primarily for one of the PCB fabrication plants; eight PCB fabrication plants in China and one in Canada, and (2) E-M Solutions, which consists of three custom electronic assembly plants in China. Each segment operates predominantly in the same industries with production facilities that produce customized products for our customers and use similar means of product distribution.
TTM Technologies Weekly Chart
TTM offers a wide range of PCB products and electro-mechanical solutions, including conventional PCBs, HDI PCBs, flexible PCBs, rigid-flex PCBs, custom assemblies and system integration, and IC substrates. We also offer certain value-added services to support their customers’ needs. These include design-for-manufacturability (DFM), PCB design, simulation and testing services, and quick turnaround (QTA) production. By offering this wide range of PCB products and complementary value-added services, they are able to provide their customers with a “one-stop” manufacturing solution for their PCB requirements. This differentiates us from our competition and enhances our relationships with our customers.
A conventional PCB is made from a composite laminate that is metalized with a conductive material such as copper. The PCB is the basic platform used to interconnect components in most electronic products including computers, communications equipment, cellular phones, high-end consumer electronics, automotive controls, commercial aerospace and defense systems and medical and industrial equipment. Conventional PCBs can be classified as single-sided, double-sided and multi-layer boards.
RF and microwave circuits
TTM produces and tests specialized circuits used in radio-frequency or microwave emission and collection applications. These products are typically used for radar, transmit/receive antennas and similar wireless applications. Markets for these products include automotive, defense, avionics, satellite, and commercial applications. The manufacture of these products requires advanced materials, equipment, and methods that are highly specialized and distinct from conventional printed circuit manufacturing techniques.
High density interconnect or HDI PCBs
TTM's facilities in North America and China also produce HDI PCBs, which are PCBs with higher interconnect density per unit area requiring more sophisticated technology and manufacturing processes for their production than conventional PCB products. HDI PCBs are boards with high-density characteristics including micro-sized holes, or microvias (diameter at or less than 0.15 mm), and fine line circuitry (circuit line width and spacing at or less than 0.075 mm) and are fabricated with thin high performance materials, thereby enabling more interconnection functions per unit area. HDI PCBs generally are manufactured using a sequential build-up process in which circuitry is formed in the PCB one layer at a time through successive drilling, plating and lamination cycles. In general, a board’s complexity is a function of interconnect and circuit density, layer count, laminate material type and surface finishes. As electronic devices have become smaller and more portable with higher functionality, demand for advanced HDI PCB products has increased dramatically.
Flexible PCBs are printed circuits produced on flexible films, allowing them to be folded or bent to fit the available space or allowing for application movement. TTM manufactures circuits on flexible substrates that can be installed in three-dimensional applications for electronic packaging systems. Use of flexible circuitry can enable improved reliability, improved electrical performance, reduced weight and reduced assembly costs when compared with traditional wire harness or ribbon cable packaging. Flexible PCBs can provide for flexible electronic connectivity of an electrical device’s apparatus such as printer heads, cameras, camcorders, TVs, mobile handsets, and tablets.
Rigid-flex circuitry provides a simple means to integrate multiple PCB assemblies and other elements such as display, input or storage devices without wires, cables or connectors, replacing them with thin, light composites that integrate wiring in ultra-thin, flexible ribbons between rigid sections. In rigid-flex packaging, a flexible circuit substrate provides a backbone of wiring with rigid multilayer circuit sections built up as modules where needed.
Custom assemblies and system integration
TTM's assembly facilities produce custom electronic assemblies as well as fully integrated electronic systems. Custom electronic assemblies refers to a variety of PCB assemblies such as backplane and midplane assemblies, flexible and rigid-flex assemblies and RF assemblies. Each of these assemblies involves mounting electronic components to a printed circuit board and then testing the assembly for electrical continuity.
IC substrates provide mechanical support and electrical interconnect for very small ICs (integrated circuits or semiconductors) and up to comparatively larger PCBs for assembly into electronic end products such as memory modules, cellular phones, digital cameras, automotive GPS and engine controls. IC substrates, also known as chip carriers, are highly miniaturized circuits manufactured by a process largely similar to that for PCBs but requiring the use of ultra-thin materials and including micron-scale features, because they must bridge the gap between sub-micron IC features and millimeter scale PCBs.
My Path Forward
From a purely technical point of view this stock should have been bought about $6 ago near $11 per share, but based upon the fundamentals and the estimates going forward, this stock can easily support a price in the mid 30s based upon estimated earnings and an estimated future earnings growth rate. So buying it near $17 per share still allows enough room for the stock to double over the next year to eighteen months.
A concern for me is the consistency of the earnings growth rate. This is offset by the consistency and stability of the revenue growth rate over the last few years. This is typical of small companies and isn't unexpected, but it is a concern.
Based on this, I expect to start a small position in this company and see how the stock reacts over the next few quarters. Assuming revenue growth rates remain stable and the earnings growth becomes more consistent, I'll increase my position. I like this company and the fact that it's a manufacturing company selling products directly into the Technology sector. I expect this to be a hot sector for years to come. This company is in the right sector of the economy. They just need to continue to produce.
Take-Two Interactive is an American multinational creator and distributor of video games and video game peripherals. The Company wholly owns publishers Rockstar Games and 2K Games. Notable game series published by Take-Two include Grand Theft Auto, Civilization, NBA 2K, BioShock and Borderlands. As owner of 2K Games, Take-Two publishes its 2K Sports titles, and creates free-to-play mobile titles through Social Point. It also acted as the publisher of Bethesda Softworks's 2006 game, The Elder Scrolls IV: Oblivion. It is the third largest publicly-traded game company (after Activision Blizzard and EA).
Take-Two Interactive Software develops, publishes, and markets interactive entertainment solutions for consumers worldwide. The company offers its products under the Rockstar Games and 2K labels. It develops and publishes action/adventure products under the Grand Theft Auto, Max Payne, Midnight Club, and Red Dead names through developing sequels; offering downloadable episodes, and content and virtual currency; and releasing titles for smartphones and tablets. The company also develops brands in other genres, including the L.A. Noire, Bully, and Manhunt franchises. In addition, the company publishes various entertainment properties across platforms and a range of genres, including action, adventure, family/casual, racing, role-playing, shooter, sports, and strategy under the Battleborn, BioShock, Borderlands, Carnival Games, Evolve, Mafia, Sid Meier's Civilization, and XCOM franchises. Further, it publishes sports simulation titles, including NBA 2K series, a basketball video game; and the WWE 2K professional wrestling series. Additionally, the company offers free-to-play mobile games, such as Dragon City and Monster Legends on iOS and Android platforms. Its products are designed for console gaming systems, such as Sony's PlayStation 3 and PlayStation 4, and Microsoft's Xbox 360 and Xbox One; and personal computers comprising smartphones and tablets. The company provides its products through physical retail, digital download, online platforms, and cloud streaming services. Take-Two Interactive Software, Inc. was founded in 1993 and is headquartered in New York, New York. (Summary) (Company) (Chart)
5 July 2017 Price $73.28 1yr Target $82.65 Analysts 17 Dividend $0.00 Payout Ratio ---
1yr Cap Gain 12.78% Yield --- 1yr Tot Return 12.78%
P/E 142.02 PEG 7.12 Beta 0.82
EPS (ttm) $0.52 EPS next yr $3.81 Forward P/E 19.23 EPS next 5yr 19.94% 1yr Price Support $75.97
Market Cap $7.52 Bil Revenues $1.78 Bil Earnings $66.00 Mil Profit Margin 3.70%
Quick Ratio 1.30 Current Ratio 1.30 Debt/Equity 0.25
There's no doubt that the US is getting bigger and bigger. Weight Watchers has been the leader in the business of trying to slim down Americans and the rest of the world for quite a few years. Now, in the last couple of weeks the stock has started to get a little traction, has finally moved above resistance at $28 per share and started to move higher. That may all be a result of a turnaround going on inside the company as the fundamental aspects of the company have significantly improved lately.
Today the stock price may have gotten ahead of itself, so my strategy is to monitor this chart and buy on any pullback toward support. I would expect to buy these shares at a price just below $30 and place a stop loss just below $28 support level. This would probably be a pretty good idea.
Weight Watchers International, Inc. provides weight management services worldwide. The company operates in four segments: North America, United Kingdom, Continental Europe, and Other. It offers a range of products and services comprising nutritional, activity, behavioral, and lifestyle tools and approaches. The company also engages in the meetings business, which presents weight management programs, as well as allows members to support each other by sharing their experiences with other people experiencing similar weight management challenges. In addition, it offers various digital subscription products, including Weight Watchers OnlinePlus and a weight management companion for Weight Watchers meeting members to digitally manage the day-to-day aspects of their weight management plan, as well as provides interactive and personalized resources that allow users to follow weight management plan. Further, the company provides Personal Coaching, an online subscription product that offers one-on-one telephonic, e-mail, and text support and personalized planning from a Weight Watchers-certified coach, as well as offers access to other online tools. Additionally it offers various products, including bars, snacks, cookbooks, food, and restaurant guides with SmartPoints values, Weight Watchers magazines, SmartPoints calculators, and fitness kits, as well as third-party products, such as activity-tracking monitors. The company also licenses the Weight Watchers brand and other intellectual property in frozen foods, baked goods, and other consumer products, as well as endorses selected branded consumer products; and engages in publishing magazines, as well issues other publications, such as cookbooks, and food and restaurant guides with SmartPoints values. It offers products through its meeting and franchisee business, as well as online. Weight Watchers International, Inc. was founded in 1961 and is headquartered in New York, New York. (Summary) (Company) (Chart)
2 July 2017 Price $33.42 1yr Target $30.00 Analysts 2 Dividend $0.00 Payout Ratio 0.00%
1yr Cap Gain -10.24% Yield 0.00% 1yr Tot Return -10.24%
P/E 24.74 PEG 1.65 Beta 3.06
EPS (ttm) $1.35 EPS next yr $1.50 Forward P/E 22.28 EPS next 5yr 15.00% 1yr Price Support $22.50
Market Cap $2.09 Bil Revenues $1.19 Bil Earnings $89.10 Mil Profit Margin 7.47%
Quick Ratio 0.80 Current Ratio 0.90 Debt/Equity ---
TransAct Technologies is a leader in developing and manufacturing market-specific solutions, including printers, terminals, software and other products for transaction-based and other industries. These industries include casino and gaming, lottery, food safety, banking, point-of-sale, hospitality, oil and gas, and medical and mobile. TransAct printers and products are designed from the ground up based on market-specific requirements and are sold under the AccuDate, Ithaca, RESPONDER, Epic, EPICENTRAL and Printrex product brands. TransAct distributes its printers and terminals through OEMs, value-added resellers, selected distributors, and direct to end-users.
TransAct Technologies Incorporated designs, develops, assembles, and markets transaction-based and specialty printers and terminals in the United States and internationally. It offers thermal, inkjet, and impact printers and terminals to generate food rotation date and nutritional labels, promotional coupons, and transaction records, such as receipts, tickets, register journals, and other documents, as well as for printed logging and plotting of oil field and drilling data. The company also provides consumable products, including inkjet cartridges, ribbons, receipt papers, color thermal papers, and other printing supplies, as well as replacement parts; maintenance, repair, and testing services; and refurbished printers. In addition, it offers EPICENTRALTM print system, a software solution that enables casino operators to create promotional coupons and marketing messages, and print them at the slot machine; and technical support services. The company markets its products under the AccuDate, Epic, EPICENTRAL, Ithaca, Responder, and Printrex brand names for restaurant solutions, POS automation and banking, casino and gaming, lottery, mobile, and oil and gas. It sells its products to original equipment manufacturers, value-added resellers, and distributors, as well as directly and online to end-users. TransAct Technologies Incorporated was founded in 1996 and is headquartered in Hamden, Connecticut. (Summary) (Company) (Chart)
20 June 2017 Price $8.50 1yr Target $11.00 Analysts 1 Dividend $0.36 Payout Ratio %
1yr Cap Gain % Yield % 1yr Tot Return %
P/E 16.40 PEG 0.82 Beta 0.72
EPS (ttm) $0.52 EPS next yr $0.54 Forward P/E 15.88 EPS next 5yr 20.00% 1yr Price Support $
Market Cap $62.94 Mil Revenues $56.90 Mil Earnings $3.90 Mil Profit Margin %
Quick Ratio 2.00 Current Ratio 3.70 Debt/Equity 0.00
TransAct Technologies Incorporated was incorporated in June 1996 and began operating as a stand-alone business in August 1996 as a spin-off of the printer business that was formerly conducted by certain subsidiaries of Tridex Corporation.
TransAct is a global leader in developing and selling software-driven technology and printing solutions for high growth markets including restaurant solutions, POS automation and banking, casino and gaming, lottery, mobile and oil and gas. The Company's products are designed from the ground up based on market and customer requirements and are sold under the AccuDateTM, Epic, EPICENTRALTM, Ithaca, Printrex and Responder brand names.
Known and respected worldwide for innovative designs and real-world service reliability, the Company's thermal, inkjet and impact printers and terminals generate top-quality labels and transaction records such as receipts, tickets, coupons, register journals and other documents, as well as printed logging and plotting of data. TransAct sells their products to original equipment manufacturers, value-added resellers, select distributors, and directly to end-users. The Company's product distribution spans across the Americas, Europe, the Middle East, Africa, Asia, Australia, the Caribbean Islands and the South Pacific.
TransAct also provides world-class service, spare parts, accessories and printing supplies to its growing worldwide installed base of products. Through the TransAct Services Group, the Company provides a complete range of supplies and consumables used in the printing and scanning activities in the restaurant and hospitality, banking, retail, casino and gaming, government and oil and gas exploration markets.
Products, Services and Distribution Methods
Printers and terminals:TransAct designs, develops, assembles and markets a broad array of transaction-based and specialty printers and terminals utilizing thermal, inkjet and impact printing technology for applications, primarily in the restaurant solutions, banking and POS, casino and gaming, lottery, oil and gas, medical and mobile printing markets. Printers and terminals are configurable and offer customers the ability to choose from a variety of features and functions. Options typically include interface configuration, mounting configuration, paper cutting devices, paper handling capacities and cabinetry color. Restaurant solutions terminals also offer configurable menu options. In addition the Company designs and assembles custom printers for certain OEM customers. In collaboration with these customers, TransAct provides engineering and manufacturing expertise for the design and development of specialized printers tailored to customers' businesses.
Restaurant Solutions: The Company's line of AccuDate terminals for the restaurant solutions market combine hardware and software in a device that includes an operating system, touchscreen and one or two thermal print mechanisms that print easy-to-read food rotation labels, grab and go labels for prepared foods, and "enjoy by" date labels to help food service establishments and restaurants effectively manage food spoilage and automate and manage back-of-the-restaurant operations. The Company's newest addition to the AccuDate product line, the AccuDate XL, is a unique Android® 5.0-based restaurant management terminal specifically designed to meet the food prep management and labeling needs of the restaurant and hospitality industries. Customers buying the AccuDate XL with Jolt software can utilize the terminal for food expiration date labeling and Grab & Go labeling, along with account management and an analytics portal. TransAct's restaurant management terminal, integrated with CrunchTime's KitchenSync App provides an innovative platform that revolutionizes food preparation, food management and other back-of-house processes.
POS automation and banking:Our POS automation and banking printers include hundreds of optional configurations that can be selected to meet particular customer needs. TransAct believes that this is a significant competitive strength, as it allows the Company to satisfy a wide variety of printing applications that customers request. The Company sells several models of printers utilizing thermal and impact printing technology. POS printers are used primarily by restaurants located either at the checkout counter or within self-service kiosks to print receipts for consumers or print on linerless labels. In the banking market, the Company sells inkjet printers that are used by banks, credit unions and other financial institutions to print deposit or withdrawal receipts and/or validate checks at bank teller stations.
Casino and gaming: TransAct sells several models of printers used in slot machines and video lottery terminals and other gaming machines that print tickets or receipts instead of issuing coins at casinos, racetracks and other gaming venues. These printers utilize thermal printing technology to print tickets or receipts in monochrome, and offer various other features such as jam resistant bezels and a dual port interface that enables casinos to print coupons and promotions. In addition, the Companh sells printers using thermal printing technology for use in non-casino establishments, including game types such as Amusements with Prizes, Skills with Prizes, Fixed Odds Betting Terminals and other off-premise gaming type machines around the world. TransAct sells products primarily to (1) slot machine manufacturers, who incorporate these printers into slot machines and sell completed slot machines directly to casinos and other gaming establishments and (2) through the Company's primary worldwide distributor, Suzo-Happ Group.
The Company also offers a software solution, the EPICENTRALTM Print System that enables casino operators to create promotional coupons and marketing messages and to print them in real-time at the slot machine. With EPICENTRALTM, casinos can utilize the system to create multiple promotions and incentives to either increase customer time spent on the casino floor or encourage additional visits to generate more revenue to the casinos.
Lottery: The Company supplies lottery printers to International Gaming Technology and its subsidiaries. These printers are designed for high-volume, high-speed printing of lottery tickets for various lottery applications. Sales of our lottery products are made directly to IGT and managed by an internal sales representative.
Printrex:Printrex printers include wide format, desktop and rack mounted and vehicle mounted black/white and color thermal printers used by customers to log and plot oil field and down hole well drilling data in the oil and gas exploration industry. It also includes high-speed color inkjet desktop printers used to print logs at data centers of the oil and gas field service companies. In 2015, the Company launched the Responder MP2TM, their first printer for the large machine-to-machine vertical market. The Responder MP2TM is an all-in-one mobile printing solution for a number of vehicles, including fire, police, EMS, insurance, public utilities and delivery vehicles. The Company sells their Printrex products directly to oil field service and drilling companies and OEM's in the United States, Europe, Canada and Asia.
TSG:Through TSG the Company markets the sale of consumable products (including inkjet cartridges, ribbons, receipt paper, and other printing supplies), replacement parts, maintenance and repair services and testing services for all of their products and certain competitor's products. Maintenance services include the sale of extended warranties, multi-year maintenance contracts, 24-hour guaranteed replacement product service called TransAct XpressTM and TransAct Care, and other repair services for our printers and terminals.
Novocure may have finally found a bottom earlier this year. Since April the stock has doubled and it's starting to look like there's a lot more room to go even higher. Novocure has developed a fourth method of treating cancers that can augment or replace surgery, radiation therapy and chemotherapy. The idea of tumor treating fields may one day be the primary method of treating cancers until a cure for cancer can be found.
This could be one of the most important medical devices ever created for the treatment of cancers and could be in wide use in the next few years. And if that's true, I'd like to be one of their shareholders. Therefore I'll be starting a small position in this company and see where it goes.
NovoCure Limited engages in the development, manufacture, and commercialization of tumor treating fields (TTFields) for the treatment of solid tumors. The company markets its proprietary therapy, TTFields delivery system under the Optune name for use as a monotherapy treatment for adult patients with glioblastoma brain cancer. It is also involved in conducting clinical trials for the use of TTFields in brain metastases, non-small cell lung cancer, pancreatic cancer, ovarian cancer, and mesothelioma. The company markets its products in the United States, Germany, Switzerland, Japan, and other countries. NovoCure Limited was founded in 2000 and is based in Saint Helier, the Channel Islands. (Summary) (Company) (Chart)
19 June 2017 Price $15.80 1yr Target $20.40 Analysts 5 Dividend $0.00 Payout Ratio ---
1yr Cap Gain 29.11% Yield 0.00% 1yr Tot Return 29.11%
P/E --- PEG --- Beta ---
EPS (ttm) $-1.33 EPS next yr $-0.26 Forward P/E --- EPS next 5yr 60.00% 1yr Price Support $---
Market Cap $1.40 Bil Revenues $104.70 Mil Earnings $-114.50 Mil Profit Margin ---
Quick Ratio 6.80 Current Ratio 7.60 Debt/Equity 0.75
1yr RevGR 288.48% 3yr RevGR --- 5yr RevGR ---
1yr EarnGR --- 3yr EarnGR --- 5yr EarnGR ---
1yr DivGR --- 3yr DivGR --- 5yr DivGR ---
ROA -42.10% ROE -74.30%
Novocure Revenue Growth
Novocure Weekly Chart
In 2000, Yoram Palti, founder and professor emeritus of physiology and biophysics at the Technion — Israel Institute of Technology, sought to leverage his expertise in biophysics to develop a new way to treat solid tumor cancers that would destroy tumor cells while sparing healthy tissue and avoiding many of the life-altering side effects of existing cancer therapies. He set up a laboratory in his basement to explore the potential of electric fields as a treatment for solid tumors.
Professor Palti founded Novocure to provide patients with a new cancer treatment based on his hypothesis, since proven, that low-intensity, alternating electric fields, when applied at specific frequencies, can disrupt cancer cell division and cause cancer cell death. This innovative treatment, Tumor Treating Fields, or TTFields, is a completely different approach to cancer therapy.
Optune was launched (their TTFields delivery system for glioblastoma) in the United States for the treatment of recurrent glioblastoma in 2011. In October 2015, the Company received FDA approval to market and sell Optune for the treatment of adult patients with newly diagnosed GBM in combination with temozolomide.
The science of TTFields has the potential to extend beyond GBM. The Company has five ongoing or completed phase 2 pilot trials for brain metastases, non-small cell lung cancer, pancreatic cancer, ovarian cancer and mesothelioma. They presented their phase 2 pilot data in pancreatic and ovarian cancers at their research and development day on Dec. 12, 2016. In 2016, they began their phase 3 pivotal trial in brain metastases originating from non-small cell lung cancer. Internationally, more than 20 institutions are studying the effects of TTFields in cancer treatment.
The company began with a patient-forward approach that continues to drive their mission today. With more than 15 years of research and many significant milestones, they have established themselves as an innovator in oncology dedicated to improving the lives of cancer patients.
The following is a list of 98 stocks that meet the following requirements: Dividend yield of at least 1%, an expected price target 10% higher than today's price, a debt level less than equity, a forward P/E under 25, and a PEG under 2.
The list is rank ordered by earnings per share growth over the next 5 years.
This is a nice list of companies that deserves additional research. I think there's some real gems here and I expect several of these that are not already in my portfolio to end up there within the next few months. One of my favorites is Chevron Corporation and it's right there at number 1.
Immunomedics caught my attention after just one look at the point and figure chart (see below). Looking back seven years it can be seen that there's been quite a bit of resistance near $7 per share as the stock was turned back three times before breaking through. It's now pushed above $8 per share so I believe the stock has enough inertia to continue higher. I believe shares of this company will find support near $7 per share if there's any pullback in the shares and they'll rise to near $12 per share over the next year as earnings turn positive.
Immunomedics Inc., a clinical-stage biopharmaceutical company, focuses on developing monoclonal antibody-based products for the targeted treatment of cancer, autoimmune disorders, and other diseases. The company engages in developing antibody-drug conjugate (ADC) products comprising IMMU-132, an ADC that contains SN-38, which is in Phase II trials used for the treatment of patients with metastatic triple-negative breast cancer, and small-cell and non-small-cell lung cancers; IMMU-130, an anti-CEACAN5-SN-38 ADC that is in Phase II trials for the treatment of solid tumors and metastatic colorectal cancer; and epratuzumab, a humanized antibody that targets CD22, an antigen found on the surface of B lymphocytes. Its early-stage products include IMMU-114, a novel humanized antibody for the treatment of patients with B-cell and other cancers; Milatuzumab, a humanized monoclonal antibody targeting tumors that expresses the CD74 antigen, which is present on various hematological tumors and solid cancers; Veltuzumab, a humanized monoclonal antibody targeting CD20 receptors on B lymphocytes for the treatment of non-Hodgkin lymphoma and autoimmune diseases; and Yttrium-90-Labeled Epratuzumab Tetraxetan, a radiolabeled anti-CD22 investigational product. The company also provides LeukoScan, a diagnostic imaging product for diagnostic imaging to determine the location and extent of infection/inflammation in bone. In addition, it offers other product candidates for the treatment of solid tumors and hematologic malignancies, as well as other diseases, which are in various stages of clinical and pre-clinical development. The company has a research collaboration with The Bayer Group to study epratuzumab as a thorium-227-labeled antibody. Immunomedics, Inc. was founded in 1982 and is headquartered in Morris Plains, New Jersey. (Summary) (Company) (Chart)
Allied Motion Technologies produces precision and specialty motion control components and systems for commercial, industrial, aerospace and defense markets. The company operates facilities in the US, Canada, Mexico, Europe and Asia and sells its products globally.
The company provides motion control products and systems as solutions for a range of applications in several target markets including aerospace and defense, medical, vehicle, commercial, and industrial. The company designs and manufactures electric motors, electronic motion control components, gear motors, transaxles and traction wheels, control electronics and drives, and optical encoders. It sells its products primarily to original equipment manufacturers utilizing its own sales force, independent sales representatives and distributors.
Allied Motion Technologies Inc. designs, manufactures, and sells precision and specialty motion control components and systems that are used in a range of industries worldwide. It provides electronic motion control products, including integrated power electronics, digital controls, and network communications for motor control and power conversion; and fractional horsepower brushless DC motors for medical, industrial, and commercial aviation applications, such as dialysis equipment, industrial ink jet printers, cash dispensers, bar code readers, laser scanning equipment, fuel injection systems, HVAC actuators, waste water treatment equipment, dosing systems for the medical industry, and textile manufacturing and document handling equipment. The company also offers engineered fractional horsepower permanent magnet DC and brushless DC motors for a range of original equipment applications; and brushless DC motors, including servo motors, frameless motors, torque motors, high speed slotless motors, high resolution encoders, and motor/encoder assemblies for medical equipment, semiconductor, industrial, and aerospace and defense markets. In addition, it provides gearing solutions for the commercial and industrial equipment, healthcare, medical, and non-automotive transportation markets; and fractional and sub-fractional horsepower motors and motorized solutions, including integrated dives, controls, gearing, and feedback devices. Further, the company designs and manufactures motors, gears, and electronic controls for a range of applications comprising medical technology, robotics, cargo aviation, and building technologies, as well as various commercial applications. The company sells its products through its direct sales force, sales representatives, agents, and distributors. Allied Motion Technologies Inc. was founded in 1962 and is headquartered in Amherst, New York. (Summary) (Company) (Chart)
29 May 2017 Price $26.30 1yr Target $30.00 Analysts 1 Dividend $0.10 Payout Ratio 9.52%
1yr Cap Gain 14.06% Yield 0.38% 1yr Tot Return 14.44%
P/E 25.07 PEG 1.00 Beta 1.81
EPS (ttm) $1.05 EPS next yr $1.45 Forward P/E 18.14 EPS next 5yr 25.00% 1yr Price Support $36.25
Market Cap $238.01 Mil Revenues $243.60 Mil Earnings $9.60 Mil Profit Margin 3.94%
Quick Ratio 1.80 Current Ratio 3.00 Debt/Equity 0.90
Allied Motion was founded in January 1939 in Denver, Colorado by Claude Hathaway under the name of Hathaway Instruments Company. The company developed and successfully sold electrical instruments to a number of industries through the 1940s and early 1950s.
In 1955, the Hamilton Watch Company purchased the company from Mr. Hathaway. It was operated as a division of Hamilton until January 1960, when the division was purchased by an investor group composed in part of executives working in the division. The new company was named Hathaway Instruments, Inc. The company became a U.S. public company in 1962 under the laws of Colorado, originally named 5800 Corporation. Within days of incorporation the name of the company was changed to Hathaway Instruments Inc.
In 1982 the name of the corporation was again changed to Hathaway Corporation. By 1995, the company had developed, and was manufacturing and selling instrumentation used to monitor and control the operations of power generating, transmission and distribution facilities of electric utility and process control companies. The company had also established a nascent motion control business. At this time, Hathaway Corporation consisted of two wholly owned subsidiaries, Hathaway Systems Corporation (HSC) and subsidiaries and Computer Optical Products, Inc. The Company’s name was also changed to Hathaway Corporation. The motion control business was organized into two divisions and one subsidiary: Hathaway Motion Control, Hathaway Motors and Instruments and Computer Optical Products, Inc., respectively.
At the end of 2001, Hathaway Corporation consisted basically of the Power and Process business, selling into the electric utility market, and a motion control business operated as a wholly owned subsidiary, Hathaway Motion Control Corporation. In 2002, the company took the decision to focus solely on motion control products and markets. As a result, on July 29, 2002 the company sold its electric utility products division along with the Hathaway brand name to the Danaher Corporation. The day following the divestiture of the Power and Process business, the company completed the acquisition of Motor Products - Owosso Corporation and Motor Products - Ohio Corporation, both manufacturers of permanent magnet DC motors, from the Owosso Corporation.
On November 19, 2002, the company formally changed its name from Hathaway Corporation to Allied Motion Technologies, Inc.
Description of the Business
Allied Motion Technologies Inc. is a global company that designs, manufactures and sells precision and specialty motion control components and systems used in a broad range of industries within their major served markets, which include Vehicle, Medical, Aerospace & Defense, Electronics and Industrial. The Company is focused exclusively on motion control applications and is known worldwide for their expertise in electro-magnetic, mechanical and electronic motion technology. The Company's products and solutions support a wide variety of applications in these markets and include brush and brushless DC motors, brushless servo and torque motors, coreless DC motors, integrated brushless motor-drives, gear motors, gearing, modular digital servo drives, motion controllers, incremental and absolute optical encoders, and other associated motion control-related products.
Allied's growth strategy is focused on becoming the motion solution leader in their selected target markets by leveraging their “technology/know how” to develop integrated precision motion solutions that utilize multiple Allied Motion technologies to “change the game” by enhancing and optimizing the operation, performance and efficiency of their customers’ products and manufacturing equipment. The Company's goal is to grow sales with a larger base of customers, new applications and technologies, and increased market share globally and within targeted markets.
Allied designs and develops products within their Technology Units and the Company can manufacture these products in various facilities located in the US, Canada, Mexico, Europe and Asia. They also operate Allied Motion Solution Centers that apply all Allied Motion products to create integrated motion control solutions for our customers. They sell their products and solutions globally to a broad spectrum of customers through their own direct sales force and authorized manufacturers’ representatives and distributors. Customers include end users and original equipment manufacturers.
Markets and Applications
Allied Motion Technology's products and solutions are applied broadly to support a wide range of applications several served markets. Examples of applications in these markets that use Allied Motion components and systems include the following:
Vehicle: Electronic power steering and drive-by-wire applications to electrically replace, or provide power-assist, to a variety of mechanical linkages, traction/drive systems and pumps, automated and remotely guided power steering systems, various high performance vehicle applications, actuation systems (e.g., lifts, slide-outs, covers, etc.), HVAC systems, solutions to improve energy efficiency of vehicles while idling and alternative fuel systems such as LPG, fuel cell and hybrid vehicles. Vehicle types include off/on-road construction and agricultural equipment; trucks, buses, boats, utility, recreational (e.g., RVs, ATVs (all-terrain vehicles)), specialty automotive, automated and remotely guided vehicles, etc.
Medical: Surgical robots, prosthetics, electric powered surgical hand pieces, programmable pumps to meter and administer infusions associated with chemotherapy, pain control and antibiotics, nuclear imaging systems, radiology equipment, automated pharmacy dispensing equipment, kidney dialysis equipment, respiratory ventilators, heart pumps, and patient handling equipment (e.g., wheel chairs, scooters, stair lifts, patient lifts, transport tables and hospital beds, etc.).
Aerospace & Defense: Inertial guided missiles, mid-range smart munitions systems, weapons systems on armed personnel carriers, unmanned vehicles, security and access control, camera systems, door access control, airport screening and scanning devices, etc.
Electronics and Industrial: Products are used in the handling, inspection, and testing of components and final products such as PCs, gaming equipment and cell phones, high definition printers, tunable lasers and spectrum analyzers for the fiber optic industry, test and processing equipment for the semiconductor manufacturing industry, factory automation, specialty equipment, material handling equipment, commercial grade floor polishers and cleaners, commercial building equipment such as welders, cable pullers and assembly tools, etc.
My Path Forward
There's just too much potential here to pass on this investment. The only real decision is how to enter this position. With a beta of 1.81 and support in the high teens, it might be prudent to only accumulate shares at prices of $20 per share or lower. I also believe that these shares will easily reach $30 per share in the next 12 months with the possibility of rising to nearly $36 per share. On a pullback to the upper teens, this could potentially constitute a doubling in price. That's an investment that anyone would like.
If I have any apprehension it's with the debt load. A debt to equity of 0.90 is pretty high, but they've been working the debt over the last few years. As debt has fallen, equity has risen and I expect that to continue going forward. Assuming that happens, the fundamentals will become increasingly desirable.
I'm also aware this is a company that sells into an increasing economy so as an investor I'll have to be aware of the overall economy. Today that looks good but that could change in the future. But all things considered, I expect to start a position in this company upon any pullback. It's one year total return is something I just can't pass up.
I am an Individual Investor with specific interest in long term growth and then enhancing my returns with income from dividends and derivatives. I don't recommend stocks to anyone (it's a good way to lose friends) and no one reading this should misinterpret my blog as a recommendation for any type of investment. I am writing this solely for myself and my kids.
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