Amigo, if AMNF continues growing at the pace it has been recently, it is inevitable that sooner or later the stock price launches well above the $2.00 mark. So far all the Q3 earnings report seems to have done for us is to get AMNF from trading just below $2.00 to just above it. That's still progress.
Once the mover higher starts it may really take off. I held AMNF for a long time while it churned around between $0.80 to $0.90 despite good reports. Finally it crept up to $1.00 and then suddenly took off in 2013 and doubled. This year we have just been digesting those gains as some investors take profits.
I'm not predicting another double in a year again, as that move took place from a much lower PE (10.50) than where AMNF is at now in a general market that was appreciating 30% in 2013 too. However, I could still see a move higher to close to $3.00 occurring sometime in 2015 with continued strong earnings reports.
I am always looking for stocks with the following characteristics:
(1) Small Cap - So there is room for lots of growth.
(2) Low Debt - So the company will stay in business despite setbacks.
(3) Sustainable Products - So the company doesn't collapse suddenly when a competitor comes up with a better widget.
(4) Little Government Influence - Can't escape the government no matter where you go these days. But I don't want companies that are heavily dependent on government contracts or are political targets likely to get killed by fines or crushing regulations.
(5) Low or at least reasonable PE and PEG ratios - So I'm not over paying for the company's prospects.
(6) Decent & Growing Dividends - I am in stocks to make money! A company that can't ever pay any out to shareholders seems not confident of it's future to me. Corporate stock buybacks are a plus too.
(7) Positive Recent Information About the Company - If things aren't getting any better for the company, why own the stock? That doesn't mean I sell every time something negative happens (occasional setbacks are inevitable), but the overall trend should be positive.
AMNF fits all of these criteria as far as I'm concerned. So even if the stock just sits around $2.00 for a while, I'm content collecting AMNF's ever increasing dividends, which I happily did again this very day. In the meantime, patience! I think $3.00 is in AMNF's future - we know what, we just don't know when. At the rate AMNF is growing, I doubt we will have to wait many more quarterly reports. Not all that long to wait for a nice return on investment, but it will seem like forever to those who stare at their computer screens all day everyday.
That's about all I have to say, other than BUY the next mini-flash crash in AMNF's stock. As a thinly traded stock, it has them every now and then. Always nice to add when Mr. Market is holding a fire sale! Have a great day, Amigo!
