CoverAll Technologies (COVR)

[rrat02]

No idea where the stock price will end up closing today but on every CC for at least the past year management has consistently and repeatedly said (with strong emphasis) that both revenue and earnings will be lumpy. Not sure what else they could have said....guess the positive is that there is no basis for a lawsuit by one or more of the many law firms that crawl out of the woodwork when a company has disappointing earnings.

Could always be wrong but my take remains that the downside is very limited for the simple reason that the company has real customers and real revenue, etc. As it is the valuation is less than 2X sales and that is for a recurring revenue business model where customers sign 5 year contracts and they've recently signed a decent number of customers.