otcbargains undervalued stock board

[otcbargains]

3rd play of the year - AVSC

AVSC - Reported a huge 2nd q a couple of weeks ago and I have been accumulating since. I am content
to let them sit and accumulate until I see a lot of competition in buying shares. That is when I alert them.

A look at the AVSC chart will show that it's normal trading range was in the .10 - .11 range until
recently.



So why did it drop? I suspect it was a combination of 2 factors. 1. a weak 1st q and 2. I suspect
the individual that received 2 mil shares for "consulting" did what people with free shares
do. WEEEEEEEEEEEEEEEEEEE DUMP!

So why should it move back to it's normal trading range? Because this comp crushing 2nd q results
more than make up for the weak 1st q. Trailing eps is over .01 which means the current p/e is less than
2. I actually believe it should be and will be trading "higher" than it was prior to the weak
1st q because as I said, the Huge 2nd q more than makes up for the weak 1st q.(330K net which is eps of
.0033 in what was previously a seasonally weak q.)

A look at the previous results shows that there is likely some seasonality involved with the
1st 2 q's being the weakest and the 3rd and 4th q's being the strongest.

http://www.nasdaq.com/symbol/avsc/revenue-eps#.USeqY6VJOAh

So what happens if the 3rd and 4th q's show similar improvement over the previous years results
that the 2nd q showed? Let's just say the gains could be much better than moving back to the
previous normal trading range. So I am looking for a minimum of low double digits but think
in 6 months this could see the .30's if the 3rd and 4th q's show similar improvement.

This major product release just announced on Feb 6th may be exactly what is needed to ensure 3rd and 4th q improvement over last years already strong results.

http://www.otcmarkets.com/stock/AVSC/news


I am a longer term trader that holds for the gold when I find a
special play like this. There will undoubtedly be some flippers that jump in and immediately
put the shares on the ask looking for a double etc. There is nothing I can do about that and
it does delay the inevitable move to full value but they usually get there and I think this one
can do so as well.

AVSC website. Great info and look at these clients/customers.

Airbus
Aviva
BAE Systems
BASF
Boeing
BP
CA
Caterpillar
ConEdison
CSC
Dassault
EADS
ENI
Ericsson
Fidelity
General Dynamics
Harvard
IBM
Lockheed Martin
Los Alamos Labs
Opera Solutions
NASA
Oracle
Princeton
Raytheon
Syngenta
Thomson Reuters

http://www.avs.com/

Just a couple of other points. AVSC has over 9 mil in assets and over 8 mil in shareholder equity.
They have no long term debt and short term debt is only 101K. Book value is over .08.

This is clearly one hugely undervalued stock. If you agree buy some and tell others.

Happy trading and obviously I can't guarantee anything. There can always be unexpected events
that alter the value. All I can do is tell others what I find.

A special shout out to Traderfan. Like most earnings reports I saw this immediatley but passed
on it originally. TF convinced me to dig deeper and I am certainly glad I did. Thanks buddy!