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TransAct Technologies

6/22/2017

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

1yr RevGR -4.10%
3yr RevGR -1.63%
5yr RevGR -2.81%

1yr EarnGR 20.51%
3yr EarnGR -6.17%
5yr EarnGR -0.83%

1yr DivGR 0.00%
3yr DivGR 2.30%
5yr DivGR ---

ROA 12.50%
ROE 16.40%

TransAct Technologies Daily Chart

TransAct Technologies Dividend History

The Company

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.

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Novocure

6/20/2017

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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.

2 Comments

Dividend, Growth and Low Debt

6/15/2017

2 Comments

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.

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Immunomedics

6/11/2017

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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)

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Allied Motion Technologies

6/1/2017

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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

1yr RevGR 5.79%
3yr RevGR 24.85%
5yr RevGR 17.25%

1yr EarnGR -16.67%
3yr EarnGR 30.14%
5yr EarnGR 4.30%

1yr DivGR 0.00%
3yr DivGR 0.00%
5yr DivGR 10.75%

ROA 5.30%
ROE 13.10%

Allied Motion Technologies Monthly Chart

Allied Motion Technologies Dividend History

Corporate History

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.

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TransAct Technologies

Novocure

Dividend, Growth and Low Debt

Immunomedics

Allied Motion Technologies

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