AUXO
I've been buying AUXO in the low to mid .80's Here is what I like.
1) AUXO earned .032 if you add back amortization which I'm consistent on I always do. I expect in q3 and q4 to see .07-.10 combined in those two quarters. Because GM have normalized after the initial start up costs of those new contracts are now behind them, and I expect them to continue in the low 20's.
2) AUXO doesn't look like they have revenue growth but their reoccurring revs continue to increase, excluding equipment sales, revs increased by 11% y/y. So AUXO is a growth story as well.
3) I'm very excited about the potential of Redspin, as well as they received numerous contracts, so that sounds exciting potential as well.
Conclusion: I think AUXO is a $1.25-1.50 stock in the next 6-12 months, Which means .80's and lower makes them attractive for me. All is just my opinion, and I could always be wrong though.
