RTIX
A Healthcare Stock
I've Been a buyer today of this stock in the 2.80's, at first glance you may ask why do I like. Without further ado this is why.
1) RTIX is on growth trajectory, they have a long-term plan to grow this company to a 500 million revenue company. As you will see by the chart the revenue growth track is rather promising.
FY 12 178,113
FY 13 197,979
FY 14 262,810
FY 15 282.3 (Estimated)
2) RTIX preannounced in January that their 4th quarter was waaaaaaaaaaaaaaaaaaaay above their expectation with revenue over 76 million. And I expect more overall y/y growth in 2016 by their comments.
3) RTIX is and earnings play. They have and easy comp and I expect .08-.12 in q4 which could send the stock substancially higher.
4) RTIX I think will show earnings of .32-.40 in FY 16, as growth continues, I feel a 12-15 PE is warranted so I feel $4-5 is FV.
5) RTIX is beat up badly, you buying at 52 week low pretty much, it's 52 week high is over $7, and the fundamentals have never looked better now.
Conclusion: As I always say you never know with earnings, but I think RTIX is both a good short-term trade and a good long-term play. Either way In the 2.80's I feel the risk/reward is in your favor here. All is just my opinion, and I could always be wrong though.
