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AEHR. Volume and price are starting to move up. Once AEHR breaks $5.15 it could run very hard possibly past $5.5 setting up a nice pre-earnings rally Wednesday and Thursday next week.
AEHR $4.97..Earnings 1/4...market closed 1/2....
$40M market Cap...$10M cash...80% + combined insider and institutional ownership...less tha 2M share float
2Q 2007 earnings will be released on Thursday, January 4 AH. There is one day less to trade before earnings because the markets will be closed on Tuesday in memory of President Ford.
AEHR (semi test equipment sector) could be a big winner in 2007 and beyond because of its innovetive technology, great product acceptance, superb management and a strong balance sheet. The stock is down primarily because of a questionable downgrade back in September, 2006 and tax-selling season. The decline has been very gradual and on low volume.
The downgrade was highly criticized at the time it was issued (the day before the company's last quarterly report 1Q 2007 was issued). The sell target was $5 and that's where we are now.
Ironically, when the company reported, it surprised the street with very good results and strong guidance. At that time AEHR was trading close to $8.
In late September 2006 AEHR posted net income of $557,000, or 7 cents a share for 1Q 2007, compared with a loss of $244,000, or 3 cents a share, a year ago. Sales totaled $7.1 million, up 54% from a year ago. Excluding stock-compensation expense of $163,000, the company earned $717,000, or 9 cents a share.
Gary Larson, AEHR's vice president and chief financial officer, said in a statement "During the second quarter of fiscal 2007, we expect net sales and net income to be relatively similar to those of the first quarter of fiscal 2007,".....
As a reference, in 2Q 2006 AEHR reported $5.8M in revenues and $166K net income or 2c/share. Therefore, the comparables would greatly favor 2007's over 2006 results Q/Q. For the first six months, AEHR would be about 40% higher than the comparable 2006 and net income of about 14c/share vs a loss of 2c/share.
If AEHR gets even close to its guidance it should beat the year-ago quarter handily. And with only 2M shares on the float, AEHR could literally explode to the $8+ trading range.
Some brokerage houses are not allowing the purchase of AEHR shares for a few days to prevent manipulation since the float is so small. You have to call your broker and he/she will buy the stock for your at internet prices.
There has been some heavy institutional buying in the last three months while the pps declined accurred. Looks like the laready small float is getting smaller:
since the pps started declining in September. That means that the already small float is getting even smaller.
http://www.sec.gov/Archives/edgar/data/1040470/000132395306000013/rgmaehr13da.txt
ABOUT AEHR (From Yahoo Finance):
Headquartered in Fremont, California, Aehr Test Systems is a leading worldwide provider of systems for burning-in and testing DRAM and logic integrated circuits and has an installed base of more than 2,500 systems worldwide. Aehr Test has developed and introduced several innovative products, including the FOX(TM), MTX and MAX systems, and the DiePak® carrier.
AEHR...we might be seeing the last few shares under $5. Keep an eye on this one
AEHR $4.92...PROFITABLE SEMI TEST EQUIPMENT COMPANY. Earnings next Thursday.
I believe AEHR could be a big winner in 2007. The stock is down primarily because of a downgrade and tax selling season.
The downgrade was highly criticized at the time because it was done prior to the company's last quarterly report (1Q 2007). The sell target was $5 and that's where we are now.
Ironically, when the company reported, it surprised the street with very good results. At that time AEHR was trading close to $8.
Take a look at the continuously improving financial results:
http://finance.yahoo.com/q/is?s=AEHR
Also observe AEHR's strong balance sheet featuring $1.4/share cash and ZERO longterm debt:
http://finance.yahoo.com/q/bs?s=AEHR
For 1Q 2007, AEHR posted net income of $557,000, or 7 cents a share, compared with a loss of $244,000, or 3 cents a share, a year ago. Sales totaled $7.1 million, up 54% from a year ago. Excluding stock-compensation expense of $163,000, the company earned $717,000, or 9 cents a share.
As a reference, in 2Q 2006 AEHR reported $5.8M in revenues and $166K net income or 2c/share.
Gary Larson, AEHR's vice president and chief financial officer, said in a statement "During the second quarter of fiscal 2007, we expect net sales and net income to be relatively similar to those of the first quarter of fiscal 2007,"
Shares gained 19 cents, or 2.65%, to $7.35 immediately after the 1Q 2007 earnings release.
Since then AEHR has slowly bled due to the after-effects of the downgrade and more recently tax selling.
If AEHR gets even close to its guidance it should beat the year-ago quarter handily. And with only 2M shares on the float, AEHR could literally explode to the $8+ trading range.
Do your own DD and you might agree with me that AEHR could be a big winner next week.
The only problem right now is that some brokerage houses are not allowing the purchase of AEHR shares for a few days to prevent manipulation since the float is so small. You have to call your broker and he/she will buy the stock for your at internet prices.
ABOUT AEHR (From Yahho Finance):
Headquartered in Fremont, California, Aehr Test Systems is a leading worldwide provider of systems for burning-in and testing DRAM and logic integrated circuits and has an installed base of more than 2,500 systems worldwide. Aehr Test has developed and introduced several innovative products, including the FOX(TM), MTX and MAX systems, and the DiePak® carrier. The FOX system is a full wafer contact test and burn-in system. The MTX system is a massively parallel test system designed to reduce the cost of memory testing by performing both test and burn-in on thousands of devices simultaneously. The MAX system can effectively burn-in and functionally test complex devices, such as digital signal processors, microprocessors, microcontrollers and systems-on-a-chip. The DiePak carrier is a reusable, temporary package that enables IC manufacturers to perform cost-effective final test and burn-in of bare die.
AEHR $4.92...This one looks cheap. I am doing my DD and looks really good. Earnings next week. Anyone familiar with this one?
Reminder: SIMC....Happy New Year to all here.
Reminder: HAUP....Enough said
SIMC $5.97..Great opportnity to load up on temporary dip...
Slow market conditions this week provide an excellent opportunity to load up on value plays. SIMC is one of them at these prices
Take a look at SIMC's favorable comparables for 4Q 2006 and FY 2006 vs. its 2005 performance to be reported next month:
* $110M FY 2006 Estimated Revenues vs. FY 2005 revenues OF $61M........Up 90+%!!!!
* $2.5M 2006 estimated Net Income or 40c/share vs. $950K or 15c/sh in 2005....Up 250%!!!
* 4Q 2006 estimated Revenues of $31M vs. 4Q 2005 Revenue of $18M......Up 70%+
* 4Q 2006 estimated Net Income of $650K..10c/share vs. 4Q 2005 Net Income of $192K or 3c/share........a 300% increase!!
The link below shows SIMC's consistent growth the last several quarters...both in revenues and net income.
http://finance.yahoo.com/q/is?s=SIMC
SIMC has done an amazing job at quickly integrating these new acquisitions without causing disruptions to its consistently profitable path. SIMC has been profitable 9 of the last 10 years (except 2001).
SIMC has been growing organically and through carefully selected acquisitions. These acquisitions are helping SIMC diversify into new economy sctors such as the recent aquisition of Litton InterConnect a profitable division of Northrop Grunman with dozens of established customers in the defense and aerospace industries.
Litton Interconnect is a world-leading supplier of high-performance backplane interconnect solutions to major blue-chip customers in markets as diverse as network, wireline and wireless infrastructure, defense and electronic data processing. Backplane interconnect systems form the core of high-end electronic systems and provide the means for power distribution and data communications between electronic sub-system building blocks.
Worldwide, SIMC operates 16 manufacturing plants in China, Singapore, Mexico, Scottland, and several plants in the United States. With this diverse array of plants and hundreds of established companies in the the data processing, telecommunications, aerospace, defense, national security, instrumentation and food preparation equipment industries, SIMC is not dependent on a location, a large customer, or a specific industry to deliver consitently profitable quarters.
+++++SIMC INVESTMENT HIGHLIGHTS:
* 1.6 Million Shares in Float
* Profitable in 9 of 10 years (2001 was the exception)
* 2006 9-month net income is 30c/share compared to 12c/share in 2005
* 2006 9-month revenues of over $80M....over 90% increase compared to $43M in 2005
* Insiders own 75% of the company.
About Simclar:
Simclar, Inc. (Nasdaq: SIMC) is a contract manufacturer of electronic and electro-mechanical products. The Company's products are manufactured to customer specifications and designed for original equipment manufacturers (OEMs) and distributors in the data processing, telecommunications, aerospace, defense, national security, instrumentation and food preparation equipment industries. Simclar's principal custom-designed products include complex printed circuit boards (PCBs), conventional and molded cables, wire harnesses and electro-mechanical assemblies. In addition, the Company provides OEMs with turnkey contract manufacturing services and total systems assembly and integration. It also delivers manufacturing and test engineering services and materials management for customers' high-tech and rapidly changing products. ..
HAUP and ORB Networks....third party commentary..
HAUP and ORB Networks have issued several joint PRs in recent months. Here is an interesting commentary from a third party:
Live TV, music, video and pictures on your mobile device with Orb
In a remarkable software-based media anywhere solution, Orb Networks has provided over the last year or two the technology base to let you watch your home media content wherever you happen to be. And thanks to a shift in their business strategy, you can do this all for free. Music, video and pictures from your home can be available to you whether you are waiting at the airport, sitting in your car, or stuck late at the office.
While Orb has established the technology and infrastructure to enable successful media streaming, this is just the beginning. For example, as the company grows their customer base, they have plans for targeted advertising that would enhance your experience rather than dominate it, and additional partnerships, all funding this free service in the future without becoming intrusive.
Some of Orb’s recent advances include the following:
* Orb is now bundled with Hauppauge’s WinTV products in the U.S. as well as in the UK. hauppauge (Nasdaq: HAUP).
* Orb 2.0 is in beta and nearly ready for general release (before the end of the year). The new version will bring a smaller, optimized 10MB client and brings improvements in functionality, features and an interface upgrade.
* Nokia N80 Internet edition phones will be shipped with an Orb bookmark.
The potential seems virtually unlimited, and if Orb continues to catch on, there will be much more to come. So far, over 1.5 million hours of media have been streamed by Orb customers. If you want to jump into the future of enjoying your content anywhere, be sure to give Orb a try.
Source: Mobileread dot com
Wade. I agree with your comments about these small chinese companies. Their management lines up their pockets at the expense of greedy and naive US investors. They they know that if something goes wrong they'll likely not be prosecuted like they would in the US if they violate SEC laws/regulations.
NYER $2.26.. safe investment with significant upside.
NYER officials have stated that it will acquire the remaining 20% of its pharmacies. That will increase revenues to almost $100M/year and strenghten the bottom line.
NYER's market cap is only $9M..!
The upcoming "January Effect" always causes NYER to rally at the start of every year. NYER swings from $2.2 to $3.5 several times a year
http://stockcharts.com/gallery/?nyer
NYER is a holding company that through its subsidiaries operates pharmacies in the greater Boston area. Revenues are increasing due to the recent implementation of the federal Medicare Part D drug benefit and the aging of the American population resulting in increased drug utilization. Integration of new acquisitions will increase net income potential.
* ONLY 2M SHARES ON THE FLOAT
* 22c/share 2006 NET INCOME
* MARKET CAP LESS THAN $10M
* PROFITABLE GROWING REVENUES OF OVER $70M/YEAR
* POTENTIAL ACQUISITION CANDIDATE DUE TO SECTOR CONSOLIDATION
* TRADING AT 0.12 P/S COMPARED TO 0.7 FOR THE SECTOR
ABOUT NYER:
Nyer Medical Group, Inc. is a holding company that through its subsidiaries operates pharmacies in the greater Boston area and a medical products distribution business that distributes and markets medical equipment and supply products to hospitals, physicians and nursing homes using relationship-based telemarketing, direct sales personnel, catalogs and the Internet. These orders are filled by the Company's distribution centers located in New England and South Florida.
DO YOUR DD
HAUP $6.99 gained 80c yesterday after reporting record earnings.
Earnings Summary:
** Sales increase of 24% leads to record fiscal year sales of $97.7 million (compared to $78.5M in 2005).
** Net income increases by 74% for fiscal 2006 (25c/share vs. 15c/share in 2005).
** Cash increased from $7.9M in 2005 to $9M in 2006 or $1/share
** ZERO long-term debt
** Yesterday's report highlights the 1st profitable 4Q in the company history. 4Q is HAUP's seasonally weakest quarter (1Q is the strongest and it will be reported in February 2007)
HAUP HIGHGLIGHTS
* MARKET CAP IS LESS THAN $50M
* UNDERVALUED TRADING AT 0.7 P/S
* GROWING PROFITABLY AT 20%/YEAR
* HAUP will introduce several new products at the Consumer Electronics' EXPO show in Vegas in early 2007.
* HAUP will report 1Q 2007, its strongest quarter, in February 2007.
DISCUSSION OF RESULTS (from the earnings report):
Ken Plotkin, Hauppauge's Chief Executive Officer, stated "We believe that our sales increase for the year was due primarily to the growing acceptance of TV as part of the PC multimedia experience, a market we serve with our WinTV-PVR, WinTV-NOVA and WinTV-HVR products.
Helping the sales increase in the quarter was growth in sales of our digital TV tuner receivers for PCs and notebooks plus sales growth of TV receivers for Media Center PCs. In addition, we saw a turnaround in European sales when compared to the previous year's fourth quarter.
During the quarter, we started shipping the WinTV-HVR-950 "stick", our hybrid dual format TV tuner for North America plus the new quad format WinTV-HVR-4000 designed for the European market. The WinTV-HVR-950 stick is a pocket sized, external TV receiver which allows for the viewing of ATSC high definition TV plus NTSC cable TV on your PC or laptop. The WinTV-HVR-4000 is Hauppauge's first product with high-definition satellite TV reception.
For the fiscal year, strong sales of our TV receivers for Media Center PCs plus sales of newly introduced digital TV receivers contributed to a 24% annual sales growth. By keeping corporate expenses under control while we increased our R&D budget, we were able to see a 74% increase in net income and also introduced a record number of new products."
Of note is HAUP recent deal with Replay TV/HAUP deal (among several recent OEM deals). Replay TV and HAUP are now teaming to go after TIVO and others in the sector. Replay TV provides the software and Hauppauge provides the hardware and additional software. Together they provide more flexibility and power than TIVO, including the use of mobile devices, and a fraction of the TIVO's cost.
Replay TV is owned by multi-billion dollar entertaiment/consumer electronics' giant D&M Holdings. D&M owns industry flagships such as Denon, Marantz, McIntosh, Boston Acoustics, Snell Acoustics, Escient, and Replay TV. D&M Holdings acquired Denon and Marantz in 2002; McIntosh in 2003; Replay TV in 2004; Boston Acosutics and Snell in 2005.
Replay TV is a big part of D&M current and future growth plans. So much so that D&M mentions Replay TV, and Hauppauge Digital, on page 34 entitled "Growth Opportunity" of its 58-page November 16, 2006 "FY2006 Interim Financial Results."
Do your DD....
Mandjb. You win. I will not post on this board again. Good luck
Keep and eye on HAUP $6.28 next week....It will be interesting to say the least.
HAUP usually delivers blockbuster news at this time of the year and into next month.
Last year the company issued its pre-christmas new product news on December 19.....the stock jumped 70%. The CEO already said that HAUP will introduce new products in late 4Q 2006 (about now) and and early 1Q 2007 (presumably at the Consumer Electronics EXPO in Vegas in early January).
HAUP is an undervalued profitable company with only 4.5M shares in the float and growing at about 20%/year.......HAUP has 90c/share cash and has no long-term debt.
Expected short and long-term catalyts for further PPS gains:
- A new and potentially lucrative deal with Replay TV. Replay TV and HAUP offer an inexpensive and more powerful alternative to TIVO. This Replay TV news release last month explains the Replay TV/Hauppauge bundled offer.
- HAUP will likely report record earnings the week of December 18. HAUP's $76M in revenues for the first 9 months of 2006 already match the total of $78M for the entire 2005. Net income reported for the first 9 months of 2006 is 25c/share, almost doubling the 14c/share reported for all of 2005.
- HAUP will launch new products at the Consumer Electronics show in Las Vegas in early January 2007.
- HAUP will report 1Q 2007 earnings in February 2007. 1Q includes holiday sales and is HAUP's strongest quarter of the year. The benefit of the Replay TV deal and new products/deals will start affecting HAUP's top and bottom lines starting in 1Q 2007 accelerating its already robust growth .
Regarding the Replay TV/HAUP deal, Replay TV and HAUP are now teaming to go after TIVO and others in the sector. Replay TV provides the software and Hauppauge provides the hardware and additional software. Together they provide more flexibility and power than TIVO, including the use of mobile devices, and a fraction of the TIVO's cost.
Replay TV is owned by multi-billion dollar entertaiment/consumer electronics' giant D&M Holdings. D&M owns industry flagships such as Denon, Marantz, McIntosh, Boston Acoustics, Snell Acoustics, Escient, and Replay TV. D&M Holdings acquired Denon and Marantz in 2002; McIntosh in 2003; Replay TV in 2004; Boston Acosutics and Snell in 2005.
Replay TV is a big part of D&M current and future growth plans. So much so that D&M mentions Replay TV, and Hauppauge Digital, on page 34 entitled "Growth Opportunity" of its 58-page November 16, 2006 "FY2006 Interim Financial Results."
In addition to Replay TV, HAUP has inked significant recent OEM deals with many well known companies in the digital TV and computing entertainment world. Now HAUP's products are more compact and powerful than ever often packaged in memory sticks for use on PC's and mobile devices. With broader broadband use and more computing power, HAUP is poised for phenomenal growth.
HAUP's product line-up is growing exponentially. In its most recent 10Q, the company stated:
"Our R&D departments in New York and Taiwan have been teaming together to deliver an impressive series of new products....Together, the R&D team is scheduled to introduce 20 new products in fiscal 2006.."
Wade, Re: SIMC. Talking to company folks they think that further integration of its recent acquisitions, notably Litton Interconnect, will decrease operating costs/increase margins. Fortunately for SIMC shareholders the company has diversified into the strong defense and aerospace sector with Litton Interconnect, and is increasing its sales in Mexico and China in other markets. My estimates indicate annualized net profit ranging from 50 - 60c/share. SIMC's chaiman has said that his goal within 3 years is to get to $250M in revenues. In order to get there SIMC will have to keep growing at a very healthy rate. SIMC's apetite for acquisitions has been strong and its ability to integrate these acquisitions has been remarkable.
I don't know who stated the 20c/share net income rumor....i've never heard that before.
Thank you for your comments.
SIMC's chart is looking great. I expect the big guns to jump in real soon sending the stock into the teens...where it belongs:
http://stockcharts.com/charts/gallery.html?simc
My apologies. Have a great weekend.
HAUP $6.24 is starting to rally as closing nears.
SIMC $6.1 up 31c....Volume increasing now. Could see a nice breakout either today or next week. Technicals are looking really good
SIMC $6.08...up 29c....Breakout alert....strong fundamentals meeting improving technicals.
Take a look at SIMC's amazing comparables for 4Q 2006 and FY 2006 vs. its 2005 performance to be reported after next month:
* $110M FY 2006 Estimated Revenues vs. FY 2005 revenues OF $61M........Up 90+%!!!!
* $2.5M 2006 estimated Net Income or 40c/share vs. $950K or 15c/sh in 2005....Up 250%!!!
* 4Q 2006 estimated Revenues of $31M vs. 4Q 2005 Revenue of $18M......Up 70%+
* 4Q 2006 estimated Net Income of $650K..10c/share vs. 4Q 2005 Net Income of $192K or 3c/share........a 300% increase!!
The link below shows SIMC's consistent growth the last several quarters...both in revenues and net income.
http://finance.yahoo.com/q/is?s=SIMC>
The fundamentals are obviously strong....technicals are improving daily:
MACD crossing over
SloSto crossing 20
BBands pinching
AROON should start to converge
SAR turning up
SIMC $ 5.98..Yep...we might be seeing the last under $6 shares for a looog time
SIMC $5.95 ..up 16 c..is about to breakout big time. Radar it
HAUP $6.14.....I am adding in this dip. I believe HAUP will rally at the end of the day. I expect new product new next week.
Last year the company issued its pre-christmas new product news on December 19.....the stock jumped 70%. The CEO already said that HAUP will introduce new products in late 4Q 2006 (about now) and and early 1Q 2007 (presumably at the Consumer Electronics EXPO in Vegas in early January):
This is what Thestreet.com reported last year:
Tech Stocks in Motion
By TSC Staff
12/19/2005 1:52 PM EST
Shares of Hauppauge Digital (HAUP:Nasdaq - commentary - research - Cramer's Take) were among technology's winners Monday, surging 48% after the company released software that enables consumers to record television shows for playback on portable video players.
Hauppauge's PC-based "Wing" software can be used with players such as Apple's (AAPL:Nasdaq - commentary - research - Cramer's Take) video iPod and Sony's (SNE:NYSE - commentary - research - Cramer's Take) PlayStation Portable. Wing can also be used to convert existing TV recordings to the PSP and iPod format. Besides the video players, recorded TV shows also can be played on a PC or TV set...."
SIMC $5.88....Ever wondered why Jim Cramer would even care about tiny SIMC with only 1.7M shares on the float and less than $40M market cap??...
Jim Cramer recently stated:
......"I've locked in some partial profits on positions that have good strengtht this morning and added to positions such as Micronetics Wireless (NOIZ:Nasdaq) and Simclar (SIMC:Nasdaq). The market action looks fine, but I'm keeping my time frames short and am willing to do some flipping....."
I believe it is because SIMC is growing profitably at a phenomenal rate...It is just a matter of time until it reaches its fair value of $10 - $20/share.
Take a look at SIMC's amazing comparables for 4Q 2006 and FY 2006 vs. its 2005 performance to be reported after next month:
* $110M FY 2006 Estimated Revenues vs. FY 2005 revenues OF $61M........Up 90+%!!!!
* $2.5M 2006 estimated Net Income or 40c/share vs. $950K or 15c/sh in 2005....Up 250%!!!
* 4Q 2006 estimated Revenues of $31M vs. 4Q 2005 Revenue of $18M......Up 70%+
* 4Q 2006 estimated Net Income of $650K..10c/share vs. 4Q 2005 Net Income of $192K or 3c/share........a 300% increase!!
The link below shows SIMC's consistent growth the last several quarters...both in revenues and net income.
http://finance.yahoo.com/q/is?s=SIMC
SIMC has done an amazing job at quickly integrating these new acquisitions without causing disruptions to its consistently profitable path. SIMC has been profitable 9 of the last 10 years (except 2001).
SIMC has been growing organically and through carefully selected acquisitions. These acquisitions are helping SIMC diversify into new economy sctors such as the recent aquisition of Litton InterConnect a profitable division of Northrop Grunman with dozens of established customers in the defense and aerospace industries.
Litton Interconnect is a world-leading supplier of high-performance backplane interconnect solutions to major blue-chip customers in markets as diverse as network, wireline and wireless infrastructure, defense and electronic data processing. Backplane interconnect systems form the core of high-end electronic systems and provide the means for power distribution and data communications between electronic sub-system building blocks.
Worldwide, SIMC operates 16 manufacturing plants in China, Singapore, Mexico, Scottland, and several plants in the United States. With this diverse array of plants and hundreds of established companies in the the data processing, telecommunications, aerospace, defense, national security, instrumentation and food preparation equipment industries, SIMC is not dependent on a location, a large customer, or a specific industry to deliver consitently profitable quarters.
SIMC officials have said that they intend to continue to build SIMC into a global powerhouse in the contract electronics/machining industry. Watch for more acquisitions in months to come.
SIMC $5.9....Once it Breaks $6 it might never look back again.
HAUP $6.4 Keeps Moving Up...lots of catalysts for potentially significant gains the next 3 weeks.
HAUP $6.0 is poised for a big bounce. Many catalysts just ahead.
Investors are eagerly waiting for the company's announcement of its new product line-up next week. HAUP usually delivers blockbuster news at this time of the year and also next month at the Consumer Electronics Expo in Las Vegas.
HAUP gained 50% on over 10M shares traded after its 2005 announcement at this time last year.
http://stockcharts.com/gallery/?haup
HAUP is a profitable company with only 4.5M shares in the float growing at about 20%/year.......HAUP is cash rich and has no long-term debt. HAUP is still trading at a very low P/S ratio of 0.7 P/S. The potential pps appreciation form this point forward is simply mind boggling.
Known short and long-term catalyts for further PPS gains:
- A new and potentially lucrative deal with Replay TV. Replay TV and HAUP offer an inexpensive and more powerful alternative to TIVO. This Replay TV news release last month explains the Replay TV/Hauppauge bundled offer:
http://www.replaytv.com/press_release/11192006.asp
- HAUP will report record earnings the week of December 18. HAUP's $76M in revenues for the first 9 months of 2006 already match the total of $78M for the entire 2005. Net income reported for the first 9 months of 2006 is 25c/share, almost doubling the 14c/share reported for all of 2005.
- HAUP will launch new products at the Consumer Electronics show in Las Vegas in early January 2007.
- HAUP will report 1Q 2007 earnings in February 2007. 1Q includes holiday sales and is HAUP's strongest quarter of the year. The benefit of the Replay TV deal and new products will start affecting HAUP's to and bottom lines starting in 1Q 2007 accelerating its already robust growth .
It's no wonder why HAUP always goes up from November - February each year. This year however, HAUP is stronger than ever before and will likely reach new all-time highs in weeks ahead. Since HAUP is at the threshhold of potentially phenomenal growth, it is likely that once it goes above double digits it will keep moving up. Institutional interest has increased significantly in recent months
Regarding the Replay TV/HAUP deal, Replay TV and HAUP are now teaming to go after TIVO and others in the sector. Replay TV provides the software and Hauppauge provides the hardware and additional software. Together they provide more flexibility and power than TIVO, including the use of mobile devices, and a fraction of the TIVO's cost.
Replay TV is owned by multi-billion dollar entertaiment/consumer electronics' giant D&M Holdings. D&M owns industry flagships such as Denon, Marantz, McIntosh, Boston Acoustics, Snell Acoustics, Escient, and Replay TV. D&M Holdings acquired Denon and Marantz in 2002; McIntosh in 2003; Replay TV in 2004; Boston Acosutics and Snell in 2005.
Replay TV is a big part of D&M current and future growth plans. So much so that D&M mentions Replay TV, and Hauppauge Digital, on page 34 entitled "Growth Opportunity" of its 58-page November 16, 2006 "FY2006 Interim Financial Results."
Here is the link for D&M's PowerPoint presentation....look for "Latest Presentations" in the middle of the page after you agree the disclaimer terms of the main page:
http://www.dm-holdings.com/eng/ir/
In addition to Replay TV, HAUP has inked significant recent OEM deals with many well known companies in the digital TV and computing entertainment world. Now HAUP's products are more compact and powerful than ever often packaged in memory sticks for use on PC's and mobile devices. With broader broadband use and more computing power, HAUP is poised for phenomenal growth.
HAUP's product line-up is growing exponentially. In its most recent 10Q, the company stated:
"Our R&D departments in New York and Taiwan have been teaming together to deliver an impressive series of new products....Together, the R&D team is scheduled to introduce 20 new products in fiscal 2006.."
Mikeo56. Hold on to those shares until after earnings or a preaanouncement in early January. Plus, the january effect has always been kind to SIMC....as it usually is to undervalued and profitable low floaters.
SIMC $5.58...Jim Cramer likes SIMC...why should he???
Why would SIMC, with only 1.7M shares on the float and less than $40M market cap, be in Jim Cramer's radar??...
Jim Cramer recently wrote:
......"I've locked in some partial profits on positions that have good strengtht this morning and added to positions such as Micronetics Wireless (NOIZ:Nasdaq) and Simclar (SIMC:Nasdaq). The market action looks fine, but I'm keeping my time frames short and am willing to do some flipping....."
I believe it is because SIMC is growing profitably at a phenomenal rate...It is just a matter of time until it reaches its fair value of $10 - $20/share.
Consider SIMC's financial performance:
* FY 2005 revenues: $61M....vs. $110M FY 2006 Estimated Revenues.......Up 90+%!!!!
* FY 2005 Net Income: $950K or 15c/sh... vs....Estimated $2.5M YF 2006 Net Income or 40c+/sh....Up 250%!!!
* 4Q 2005 Rev: $18M....vs.....Estimated 4Q 2006 Revenues of $31M......Up 70%+
* 4Q 2005 Net Income: $192K or 3c/share...vs....Est. 4Q 2006 Net Income of $650K..10c/share.....300% increase!!!
The link below shows SIMC's consistent growth the last several quarters...both in revenues and net income.
http://finance.yahoo.com/q/is?s=SIMC
SIMC has been growing organically and through carefully selected acquisitions. These acquisitions are helping SIMC diversify into new economy sctors such as the recent aquisition of Litton InterConnect a profitable division of Northrop Grunman with dozens of established customers in the defense and aerospace industries.
SIMC has done an amazing job at quickly integrating these new acquisitions without causing disruptions to its consistently profitable path. SIMC has been profitable 9 of the last 10 years (except 2001)
Litton Interconnect is a world-leading supplier of high-performance backplane interconnect solutions to major blue-chip customers in markets as diverse as network, wireline and wireless infrastructure, defense and electronic data processing. Backplane interconnect systems form the core of high-end electronic systems and provide the means for power distribution and data communications between electronic sub-system building blocks. Adding the ability to provide backplane interconnect solutions with SIMC's metal fabrication, cable and harness, printed circuit board, and high level assembly capabilities enables Simclar to offer a highly appealing single-source solution to the electronics OEM market.
Worldwide, SIMC operates 16 manufacturing plants in China, Singapore, Mexico, Scottland, and several plants in the United States. With this diverse array of plants and hundreds of established companies in the the data processing, telecommunications, aerospace, defense, national security, instrumentation and food preparation equipment industries, SIMC is not dependent on a location, a large customer, or a specific industry to deliver consitently profitable quarters.
SIMC officials have said that they intend to continue to build SIMC into a global powerhouse in the contract electronics/machining industry. Watch for more acquisitions in months to come.
Target: $15 in 2007.....
+++++SIMC INVESTMENT HIGHLIGHTS:
* 1.6 Million Shares in Float
* Profitable in 9 of 10 years (2001 was the exception)
* 2006 9-month net income is 30c/share compared to 12c/share in 2005
* 2006 9-month revenues of over $80million....over 90% increase compared to $43M in 2005
* Market Cap only $36 million
* 2004 P/E = 12
* P/S = 0.3
* Insiders own 75% of the company.
About Simclar:
Simclar, Inc. (Nasdaq: SIMC) is a contract manufacturer of electronic and electro-mechanical products. The Company's products are manufactured to customer specifications and designed for original equipment manufacturers (OEMs) and distributors in the data processing, telecommunications, aerospace, defense, national security, instrumentation and food preparation equipment industries. Simclar's principal custom-designed products include complex printed circuit boards (PCBs), conventional and molded cables, wire harnesses and electro-mechanical assemblies. In addition, the Company provides OEMs with value-added, turnkey contract manufacturing services and total systems assembly and integration. It also delivers manufacturing and test engineering services and materials management, with flexible and service-oriented manufacturing and assembly services for its customers' high-tech and rapidly changing products. ..
DO YOUR DD!!
SIMC $5.58..Great swing trade...even better long-term hold. Updated DD
SIMC, with only 1.7M shares on the float, is growing profitably at a phenomenal rate.....and it is just a matter of time until it reaches its fair value of $10 - $20/share.
Consider SIMC's financial performance:
* FY 2005 revenues: $61M....vs. $110M FY 2006 Estimated Revenues.......Up 90+%!!!!
* FY 2005 Net Income: $950K or 15c/sh... vs....Estimated $2.5M YF 2006 Net Income or 40c+/sh....Up 250%!!!
* 4Q 2005 Rev: $18M....vs.....Estimated 4Q 2006 Revenues of $31M......Up 70%+
* 4Q 2005 Net Income: $192K or 3c/share...vs....Est. 4Q 2006 Net Income of $650K..10c/share.....300% increase!!!
The link below shows SIMC's consistent growth the last several quarters...both in revenues and net income.
http://finance.yahoo.com/q/is?s=SIMC
SIMC with only 6.5 million total outstanding shares and a tiny 1.7M share float should be trading in the $10 - $20 range. SIMC was trading in that range until August when it announced that it had to restate 2005 earnings to make certain adjustments. SIMC bounced from the low $4's to over $9 in mid October after announcing a strong quarterly results and later announcing that it meet all Nasdaq'd listing requirements.
http://stockcharts.com/charts/gallery.html?simc
The stock has been drifting lower since November on very low volume and apparently because investors do not expect news until the 4Q ends on December 31. Buying interest has increased in this week and it is likely that a breakout will occur any day now. Once SIMC delivers one of two more back to back blockbuster quarters like its has recently, it will leave the under $10 range for good.
SIMC is not shy about issuing preannouncements. The last time the preannounced strong quarterly results the stock went up 75%. With only 1.6M shares on the float, a 50% - 100% increase in a day is not out of the question. SIMC's fiscal 2006 ends December 31, 2006. It is very possible that SIMC could issue a preannouncemet in early January bragging about its stellar financial results for 2006. When and if that happens, you can rest assured that the PPS will jump to $10+. Regardless of a preannouncement, I expect that SIMC will surge in January due to the "January effect" and strong 2006 results.
Even Cramer is fond of and well aware of SIMC's potential.....he recently wrote:
......"I've locked in some partial profits on positions that have good strength this morning and added to positions such as Micronetics Wireless (NOIZ:Nasdaq) and Simclar (SIMC:Nasdaq). The market action looks fine, but I'm keeping my time frames short and am willing to do some flipping....."
SIMC has been growing through acquisitions which mesh very well with its ongoing operations and help it diversify into profitable areas. SIMC has done an amazing job at quickly integrating these new acquisitions without causing disruptions to its profitable reputation.
SIMC's most recent aquisition was the purchase of Litton Interconnect from Northrop Grunman. Litton Interconnect is a world-leading supplier of high-performance backplane interconnect solutions to major blue-chip customers in markets as diverse as network, wireline and wireless infrastructure, defense and electronic data processing. Backplane interconnect systems form the core of high-end electronic systems and provide the means for power distribution and data communications between electronic sub-system building blocks. Adding the ability to provide backplane interconnect solutions with SIMC's metal fabrication, cable and harness, printed circuit board, and high level assembly capabilities enables Simclar to offer a highly appealing single-source solution to the electronics OEM market.
Worldwide, SIMC operates 16 manufacturing plants in China, Singapore, Mexico, Scottland, and several plants in the United States. With this diverse array of plants and hundreds of established companies in the the data processing, telecommunications, aerospace, defense, national security, instrumentation and food preparation equipment industries, SIMC is not dependent on a location, a large customer, or a specific industry to deliver consitently profitable quarters.
+++++SIMC INVESTMENT HIGHLIGHTS:
* 1.6 Million Shares in Float
* Profitable in 9 of 10 years (2001 was the exception)
* 2006 9-month net income is 30c/share compared to 12c/share in 2005
* 2006 9-month revenues of over $80million....over 90% increase compared to $43M in 2005
* Market Cap only $36 million
* 2004 P/E = 12
* P/S = 0.3
* Insiders own 75% of the company.
About Simclar:
Simclar, Inc. (Nasdaq: SIMC) is a contract manufacturer of electronic and electro-mechanical products. The Company's products are manufactured to customer specifications and designed for original equipment manufacturers (OEMs) and distributors in the data processing, telecommunications, aerospace, defense, national security, instrumentation and food preparation equipment industries. Simclar's principal custom-designed products include complex printed circuit boards (PCBs), conventional and molded cables, wire harnesses and electro-mechanical assemblies. In addition, the Company provides OEMs with value-added, turnkey contract manufacturing services and total systems assembly and integration. It also delivers manufacturing and test engineering services and materials management, with flexible and service-oriented manufacturing and assembly services for its customers' high-tech and rapidly changing products. ..
DO YOUR DD!!
SIMC $5.74..up 15c. Bids getting stronger. There is a Phantom large sell order at $5.8 trying to discourage buying. That order will either move like it did before, or it will be consumed very quickly. Blues skies abobe $5.8 IMO
Looks like SIMC will start climbing up from these levels. This is an easy double either after a preannouncement in early January or earnings report in late January. The January effect will start pushin up the PPS before a major breakout.
SIMC $5.59...I believe SIMC, with only 1.6M shares on the float, is poised for a significant bounce in the next few days. SIMC is an easy 2-bagger in just a few weeks from now.
SIMC is growing profitably at a phenomenal rate.
Consider SIMC's financial performance:
- 2005 revenues: $61M............Est. 2006 Revenues: $110M........Up 90+%!!!!
- 2005 Net Income: $950K or 15c/sh........Est 2006 net income: $2.5M or 40c+/sh....Up 250%!!!
- 4Q 2005 Rev: $18M.........Est. 4Q 2006 Rev: $31M......Up 70%+
- 4Q 2006 Net Income: $192K or 3c/share...Est. 4Q 2006 Net Income: $650K..10c/share.....300% increase!!!
The financial performance I described about is something to brag about....don't you think so?.
SIMC is not shy about issuing preannouncements. The last time the preannounced strong quarterly results the stock went up 75%. With only 1.6M shares on the float, a 50% - 100% increase in a day is not out of the question. SIMC's fiscal 2006 ends December 31, 2006.
The above results/estimates come from published SIMC financial performance:
http://finance.yahoo.com/q/is?s=SIMC
http://biz.yahoo.com/bw/061114/20061114006267.html?.v=1
I don't think SIMC's pps will erode further so I am accumulating at these prices......there are very few no-brainers in the market, and SIMC is definitely one of them. Once this puppy turns, it will be very difficult to find shares to buy. I know that from experience.
If you follow the company history, SIMC had been very aggressive in the acquisition area. I don't think they are done acquiring profitable companies. I see SIMC as a $20+ stock in about a year.
+++++SIMC INVESTMENT HIGHLIGHTS:
* 1.6 Million Shares in Float
* Profitable in 9 of 10 years (2001 was the exception)
* 2006 9-month net income is 30c/share compared to 12c/share in 2005
* 2006 9-month revenues of over $80million....over 90% increase compared to $43M in 2005
* Market Cap only $36 million
* 2004 P/E = 12
* P/S = 0.3
* Insiders own 75% of the company.
Worldwide, SIMC operates 16 manufacturing plants in China, Singapore, Mexico, Scottland, and several plants in the United States.
About Simclar:
Simclar, Inc. (Nasdaq: SIMC) is a contract manufacturer of electronic and electro-mechanical products. The Company's products are manufactured to customer specifications and designed for original equipment manufacturers (OEMs) and distributors in the data processing, telecommunications, aerospace, defense, national security, instrumentation and food preparation equipment industries. Simclar's principal custom-designed products include complex printed circuit boards (PCBs), conventional and molded cables, wire harnesses and electro-mechanical assemblies. In addition, the Company provides OEMs with value-added, turnkey contract manufacturing services and total systems assembly and integration. It also delivers manufacturing and test engineering services and materials management, with flexible and service-oriented manufacturing and assembly services for its customers' high-tech and rapidly changing products. ..
DO YOUR DD!!
SIMC $5.6...Phenomenal profitable growth. Starting to bounce. Potential double.
SIMC is more explosive than HAUP which gained 30% the last two weeks, with even stronger fundamentals. In recent months SIMC has traded several times above $10.
With only 1.6M shares on the float SIMC will explode after it announces its 4Q and FY 2006 results next month. This is a great time to accumulate while the MMs are trying to bring the pps down.
Take a look at SIMC's fast rate on revenue and net income growth:
http://finance.yahoo.com/q/is?s=SIMC
Read the 3Q 2006 earnings results to appreciate the power packed in this undervalued gem:
http://biz.yahoo.com/bw/061114/20061114006267.html?.v=1
+++++SIMC INVESTMENT HIGHLIGHTS:
* 1.6 Million Shares in Float
* Profitable in 9 of 10 years (2001 was the exception)
* 2006 9-month net income is 30c/share
* 2006 9-month revenues of over $80million....over 80% increase
* Market Cap only $36 million
* 2004 P/E = 12
* P/S = 0.25
* Insiders own 75% of the company.
Worldwide, SIMC operates over a dozen manufacturing plants including China, Mexico, Scottland, and six plants in the United States.
About Simclar:
Simclar, Inc. (Nasdaq: SIMC) is a contract manufacturer of electronic and electro-mechanical products. The Company's products are manufactured to customer specifications and designed for original equipment manufacturers (OEMs) and distributors in the data processing, telecommunications, instrumentation and food preparation equipment industries. Simclar's principal custom-designed products include complex printed circuit boards (PCBs), conventional and molded cables, wire harnesses and electro-mechanical assemblies. In addition, the Company provides OEMs with value-added, turnkey contract manufacturing services and total systems assembly and integration. It also delivers manufacturing and test engineering services and materials management, with flexible and service-oriented manufacturing and assembly services for its customers' high-tech and rapidly changing products. ..
DO YOUR DD!!
HAUP $6.91 keeps moving up relentlessly...Up 9% today...up 30% last two weeks.
Undervalued HAUP, with only 4.5M shares on the float, will likely reach new highs after its new product line-up is announced this week..or next the latest. HAUP gained 50% on over 10M shares traded after its 2005 announcement at this time last year.
http://stockcharts.com/gallery/?haup
HAUP is a profitable company growing at about 20%/year.......HAUP is cash rich and has no long-term debt. HAUP is still trading at a very low P/S ratio of 0.7 P/S. The potential pps appreciation form this point forward is very significant.
Known short and long-term catalyts for further PPS gains:
- A new and potentially lucrative deal with Replay TV. Replay TV and HAUP offer an inexpensive and more powerful alternative to TIVO. This Replay TV news release last month explains the Replay TV/Hauppauge bundled offer:
http://www.replaytv.com/press_release/11192006.asp
- HAUP will report record earnings the week of December 18. HAUP's $76M in revenues for the first 9 months of 2006 already match the total of $78M for the entire 2005. Net income reported for the first 9 months of 2006 is 25c/share, almost doubling the 14c/share reported for all of 2005.
- HAUP will launch new products at the Consumer Electronics show in Las Vegas in early January 2007.
- HAUP will report 1Q 2007 earnings in February 2007. 1Q includes holiday sales and is HAUP's strongest quarter of the year. The benefit of the Replay TV deal and new products will start affecting HAUP's to and bottom lines starting in 1Q 2007 accelerating its already robust growth.
It's no wonder why HAUP always goes up from November - February each year. This year however, HAUP is stronger than ever before and will likely reach new all-time highs in weeks ahead. Since HAUP is at the threshhold of potentially phenomenal growth, it is likely that once it goes above double digits it will keep moving up. Institutional interest has increased significantly in recent months
Regarding the Replay TV/HAUP deal, Replay TV and HAUP are now teaming to go after TIVO and others in the sector. Replay TV provides the software and Hauppauge provides the hardware and additional software. Together they provide more flexibility and power than TIVO, including the use of mobile devices, and a fraction of the TIVO's cost.
Replay TV is owned by multi-billion dollar entertaiment/consumer electronics' giant D&M Holdings. D&M owns industry flagships such as Denon, Marantz, McIntosh, Boston Acoustics, Snell Acoustics, Escient, and Replay TV. D&M Holdings acquired Denon and Marantz in 2002; McIntosh in 2003; Replay TV in 2004; Boston Acosutics and Snell in 2005.
Replay TV is a big part of D&M current and future growth plans. So much so that D&M mentions Replay TV, and Hauppauge Digital, on page 34 entitled "Growth Opportunity" of its 58-page November 16, 2006 "FY2006 Interim Financial Results."
Here is the link for D&M's PowerPoint presentation....look for "Latest Presentations" in the middle of the page after you agree the disclaimer terms of the main page:
http://www.dm-holdings.com/eng/ir/
In addition to Replay TV, HAUP has inked significant recent OEM deals with many well known companies in the digital TV and computing entertainment world. Now HAUP's products are more compact and powerful than ever often packaged in memory sticks for use on PC's and mobile devices. With broader broadband use and more computing power, HAUP is poised for phenomenal growth.
HAUP's product line-up is growing exponentially. In its most recent 10Q, the company stated:
".....Our R&D departments in New York and Taiwan have been teaming together to deliver an impressive series of new products....Together, the R&D team is scheduled to introduce 20 new products in fiscal 2006....."
HAUP $6.35 Keeps moving Up Relentlessly.....
Undervalued HAUP, with only 4.5M shares on the float, will likely reach new highs after its new product line-up is announced late this week or next week. HAUP gained 50% on over 10M shares traded after its 2005 announcement at this time last year.
http://stockcharts.com/gallery/?haup>
HAUP is a profitable company growing about 20%/year.......HAUP is cash rich and has no long-term debt. HAUP is still trading at a very low P/S ratio of 0.7 P/S. The potential pps appreciation form this point forward is significant.
Known short and long-term catalyts for further PPS gains:
- A new and potentially lucrative deal with Replay TV. Replay TV and HAUP offer an inexpensive and more powerful alternative to TIVO. This Replay TV news release last month explains the Replay TV/Hauppauge bundled offer:
http://www.replaytv.com/press_release/11192006.asp>
- HAUP will report record earnings the week of December 18. HAUP's $76M in revenues for the first 9 months of 2006 already match the total of $78M for the entire 2005. Net income reported for the first 9 months of 2006 is 25c/share, almost doubling the 14c/share reported for all of 2005.
- HAUP will launch new products at the Consumer Electronics show in Las Vegas in early January 2007.
- HAUP will report 1Q 2007 earnings in February 2007. 1Q includes holiday sales and is HAUP's strongest quarter of the year. The benefit of the Replay TV deal and new products will start affecting HAUP's to and bottom lines starting in 1Q 2007 accelerating its already robust growth .
It's no wonder why HAUP always goes up from November - February each year. This year however, HAUP is stronger than ever before and will likely reach new all-time highs in weeks ahead. Since HAUP is at the threshhold of potentially phenomenal growth, it is likely that once it goes above double digits it will keep moving up. Institutional interest has increased significantly in recent months
Regarding the Replay TV/HAUP deal, Replay TV and HAUP are now teaming to go after TIVO and others in the sector. Replay TV provides the software and Hauppauge provides the hardware and additional software. Together they provide more flexibility and power than TIVO, including the use of mobile devices, and a fraction of the TIVO's cost.
Replay TV is owned by multi-billion dollar entertaiment/consumer electronics' giant D&M Holdings. D&M owns industry flagships such as Denon, Marantz, McIntosh, Boston Acoustics, Snell Acoustics, Escient, and Replay TV. D&M Holdings acquired Denon and Marantz in 2002; McIntosh in 2003; Replay TV in 2004; Boston Acosutics and Snell in 2005.
Replay TV is a big part of D&M current and future growth plans. So much so that D&M mentions Replay TV, and Hauppauge Digital, on page 34 entitled "Growth Opportunity" of its 58-page November 16, 2006 "FY2006 Interim Financial Results."
Here is the link for D&M's PowerPoint presentation....look for "Latest Presentations" in the middle of the page.
http://www.dm-holdings.com/eng/ir/>
In addition to Replay TV, HAUP has inked significant recent OEM deals with many well known companies in the digital TV and computing entertainment world. Now HAUP's products are more compact and powerful than ever often packaged in memory sticks for use on PC's and mobile devices. With broader broadband use and more computing power, HAUP is poised for phenomenal growth.
HAUP's product line-up is growing exponentially. In its most recent 10Q, the company stated:
"Our R&D departments in New York and Taiwan have been teaming together to deliver an impressive series of new products....Together, the R&D team is scheduled to introduce 20 new products in fiscal 2006.."
HAUp $6.3..up and up. Good market...bad market..it does not matter. There are several reasons why i believe that the best is yet to come for HAUP.
http://stockcharts.com/gallery/?haup
- Huge deal with Replay TV. Replay TV and HAUP offer an inexpensive and more powerful alternative to TIVO.
- HAUP will unvail its line-up of digital TV tuners/products before the holidays. Many of its existing products are already available with Microsoft's Vista.
- HAUP will report record earnings the week of December 18. HAUP's $76M in revenues for the first 9 months of 2006 already match the total of $78M for the entire 2005. Net income reported for the first 9 months of 2006 is 25c/share, almost doubling the 14c/share reported for all of 2005.
- HAUP will launch new products at the Consumer Electronics show in Las Vegas in early January 2007.
- HAUP will report 1Q 2007 earnings in February 2007. 1Q includes holiday sales and is HAUP's strongest quarter of the year.
It's no wonder why HAUP always goes up from November - February each year, This year however, HAUP is stronger than ever before and will likely reach new all-time highs in weeks ahead.
In addition to all the above,
HAUP is a profitable company growing about 20%/year.......HAUP is cash rich and has no long-term debt. HAUP is undervalued even with its most recent gains trading at a 0.6 P/S. HAUP is explosive with only 4.5M shares in the public float. Want more??
Replay TV and HAUP are now teaming to go after TIVO. Replay TV provides the software and Hauppauge provides the hardware and additional software. Together they provide more flexibility and power than TIVO, including the use of mobile devices, and a fraction of the TIVO's cost.
Additionally, Replay TV has a strong presence in Asia and has a huge marketing power being part of a large conglomerate like D&M Holdings.
HAUP's deal with ReplayTV is a very big deal for HAUP, and it appears that it is also a BIG DEAL for D&M Holdings, a japanese multi-billion dollar conglomerate that owns Replay TV.
D&M focuses on the home media/entertainment segment.. D&M owns industry flagships such as Denon, Marantz, McIntosh, Boston Acoustics, Snell Acoustics, Escient, and Replay TV. D&M Holdings acquired Denon and Marantz in 2002; McIntosh in 2003; Replay TV in 2004; Boston Acosutics and Snell in 2005.
Replay TV is a big part of D&M current and future growth plans. So much so that D&M mentions Replay TV, and Hauppauge Digital, on page 34 entitled "Growth Opportunity" of its 58-page November 16, 2006 "FY2006 Interim Financial Results."
Here is the link for D&M's PowerPoint presentation....look for "Latest Presentations" in the middle of the page.
http://www.dm-holdings.com/eng/ir/
Now take a look at Replay TV's website....look for the title "How do I Control it?".....and you'll see Hauppauge's name prominently displayed.
http://www.replaytv.com/tv_on_my_pc.asp
In addition to Replay TV, HAUP has significant OEM deals with many well known companies including Microsoft. Why would these companies be interested in doing business with little (but rapidly growing) Hauppauge Digital?....I believe it is because they all recognize the quality and innovation of Hauppauge products, a poineer in the area of digital and analog TV tuners for PC's. This is even more important now than ever with the ever growing use of broadband worldwide and the increased power and affordability of PCs. Now HAUP's products are more compact and powerful than ever often packaged in memory sticks for use on PC's and mobile devices.
HAUP's product line-up is growing exponentially. In its most recent 10Q, the company stated:
"Our R&D departments in New York and Taiwan have been teaming together to deliver an impressive series of new products....Together, the R&D team is scheduled to introduce 20 new products in fiscal 2006...”
HAUP $6.0...NEW DVRs in VISTA PLATFORM...TEAMED UP WITH REPLAY TV TO GO AFTER TIVO....
Profitable Co. growing at 20%/year.......cash rich.......no debt...trading at 0.6 P/S.......25c/share net income 9 months 2006.....only 4.5M shares in float.
Huge deal with Replay TV......new line-up of digital TV tuners will be released before the holidays.....record earnings in December....Lots of reasons for bullishness.
http://stockcharts.com/gallery/?haup
Replay TV and HAUP are teaming to go after TIVO. Replay TV provides the software and Hauppauge provides the hardware and additional software. Together they provide more flexibility and power than TIVO, including the use of mobile devices, and a fraction of the TIVO's cost.
Additionally, Replay TV has a strong presence in Asia and huge marketing power being part of a large conglomerate like D&M Holdings. All the hardware sales through Replay TV will require very little sales/marketing expense for HAUP.
There are rampant rumors going around that D&M Holdings, owner of Replay TV and other well-known consumer electronics brands could potentually acquire HAUP based on its acquisition history.
In an acquisition scenario, it is reasonable to believe that that HAUP could fetch form $15 to $20/share based on a conservative 1.5 to 2 times sales. HAUP is cash rich, has no debt, is growing, has tremendous products, and great and growing reputation.
Slide 37 of D&Ms presentation to investors shows D&Ms aquisition history. The slide shows that they've acquired Denon and Marantz in 2002; McIntosh in 2003; Replay TV in 2004; Boston Acosutics and Snell in 2005.....and then they have....NEXT????....hmmmm.
HAUP's deal with ReplayTV is a very big deal for HAUP whether or not an aquisition is in the picture....and it appears that it is also a BIG DEAL for D&M Holdings, a japanese multi-billion dollar conglomerate that owns Replay TV.
D&M focuses on the home media/entertainment segment.. D&M owns industry flagships such as Denon, Marantz, McIntosh, Boston Acoustics, Snell Acoustics, Escient, and Replay TV.
Replay TV is a big part of D&M current and future growth plans. So much so that D&M mentions Replay TV, and Hauppauge Digital, on page 34 entitled "Growth Opportunity" of its 58-page November 16, 2006 "FY2006 Interim Financial Results." Why would D&M mention this opportunity if it did not mean some serious growth potential?
Here is the link for D&M's PowerPoint presentation....look for "Latest Presentations" in the middle of the page.
http://www.dm-holdings.com/eng/ir/
Now take a look at Replay TV's website....look for the title "How do I Control it?".....and you'll see Hauppauge's name prominently displayed.
http://www.replaytv.com/tv_on_my_pc.asp
Expected HAUP catalysts for the next few weeks:
* HAUP usually unveils several new products at this time of the year. A product release a year ago lifted the stock 50%.
* 4Q 2006 and FY 2006 earnings to be released in December will show a 20 - 30% year over year revenue increase. Net income reported for the first 9 months of 2006 is 25c/share, almost doubling the 14c/share reported for all of 2005.
* HAUP usually goes up big during the Consumer Electronics Show held yearly in early January in Las Vegas, Nevada.
* HAUP reports its biggest quarter of the year in February. The first quarter of every year reflects Holiday sales.
This year HAUP is stronger that ever:
- Highest revenue and net income in company history for first 9 months of 2006. Revenues of $76M in 9 months compared to $78M the previous year.
- 90c/share cash. Zero long term debt
- Many recent OEM deals with quality companies like Replay TV, Microsoft, etc.
- HAUP's product line-up is growing exponentially....in its most recent 10Q, the company stated: .."Our R&D departments in New York and Taiwan have been teaming together to deliver an impressive series of new products. Together, the R&D team is scheduled to introduce 20 new products in fiscal 2006."
HAUP $5.94 keeps moving up despite a very bad market.
http://stockcharts.com/gallery/?haup
HAUP $5.7...Deal with Replay TV could be huge...
As it does every year at this time of the year, HAUP (Hauppauge Digital, Inc.), is starting a rally that usually lasts until February (see the weekly chart which is the lower of the two):
http://stockcharts.com/gallery/?haup
This year HAUP started to go up sooner than usual because of stronger than expected 3Q 2006 results. The uptrend was temporarily broken, but last week it regained most of what was lost on relatively high volume.
HAUP's deal with ReplayTV could be a big deal....and it appears that it is also a big deal for D&M Holdings, a japanese multi-billion dollar conglomerate that owns Replay TV. D&M focuses on the home media/entertainment segment.. D&M owns industry flagships such as Denon, Marantz, McIntosh, Boston Acoustics, Snell Acoustics, Escient, and Replay TV.
Replay TV is a big part of D&M current and future growth plans. So much so that D&M's mentions Replay TV, and Hauppauge Digital, on page 34 entitled "Growth Opportunity" of its 58-page November 16, 2006 "FY2006 Interim Financial Results." Why would D&M mention this opportunity if it did not mean megabucks in its future?
Here is the link for D&M's PowerPoint presentation....look for "Latest Presentations" in the middle of the page.
http://www.dm-holdings.com/eng/ir/
Now take a look at Replay TV's website....look for the title "How do I Control it?".....and you'll see Hauppauge's name prominently displayed.
http://www.replaytv.com/tv_on_my_pc.asp
Expected HAUP catalysts for the next few weeks besides the Replay TV bonus:
* HAUP usually unveils several new products at this time of the year. The CEO already said that will release several new products in coming days/weeks. A product release a year ago lifted the stock 45%.
* 4Q 2006 and FY 2006 earnings to be released in December will show a 20 - 30% year over year revenue increase per CEO's comments last month during the annual meeting. Net income reported for the first 9 months of 2006 is 25c/share, almost doubling the 14c/share reported for all of 2005.
* HAUP usually goes up big during the Consumer Electronics Show held yearly in early January in Las Vegas, Nevada.
* HAUP reports its biggest quarter of the year in February. The first quarter of every year reflects Holiday sales. This year the company expects strong sales of some of its key products.
Interestingly, on 11/20 CEO Plotkin filed that he has acquired 200,000 HAUP shares at $4.96. He now owns 958,000 HAUP shares....or about 10% of all outstanding shares.
This year HAUP is stronger that ever:
- Highest revenue and net income in company history for first 9 months of 2006. Revenues of $76M in 9 months compared to $78M the previous year. Nine month net income of 25c/share compared to 14c/share for the previous year.
- 90c/share cash
- Zero long term debt
- Strong and diverse array of quality products gaining market share worldwide thanks to the simultaneous boom of HDTV, broadband usage, and computer power.
- Strong already in the US and Europe. Gaining market share in the lucrative China/Asia market
- Many recent OEM deals with quality companies like Microsoft, etc.
Even after last week's gain, HAUP is only trading at an undervalued P/S ratio of 0.6......Projected 2006 revenues of $90M+ and only $50M market cap!!!!
Last month Kenneth Plotkin, the Company's Chairman of the Board, Chief Executive Officer, President and Chief Operating Officer said that the Company expected net sales in excess of $90 Million for the fiscal year ended September 30, 2006. He also said that based on certain sales channel market information currently available to the Company, sales of the Company's WinTV-HVR 950 hybrid video recorder product were expected to be relatively strong for the upcoming holiday season. As a reference, revenues for 2005 were $78M.
The Hauppauge WinTV HVR 950 is a small, compact USB device that is capable of viewing and recording both SD and HD TV. The HVR 950 is that it is a self powered USB device. It does not need an external power source to operate, and also comes with a small TV Antenna that is capable of receiving SD (NTSC) and HD (ATSC) over-the-air signals. It is also capable of receiving other NTSC signals, which allows one to view the cable at one's residence.
In the most recent 10Q, the company stated: .."Our R&D departments in New York and Taiwan have been teaming together to deliver an impressive series of new products, including two new multimode TV tuners, the triple TV format WinTV-HVR-3000 and the quadruple TV format WinTV-HVR-4000. The WinTV-HVR-4000 is Hauppauge’s first product with high-definition satellite TV reception. In addition, two new dual tuner digital TV receivers, the WinTV-NOVA-T-500 and the new WinTV-NOVA-T-USB2 diversity digital TV receiver, were introduced. Together, the R&D team is scheduled to introduce 20 new products in fiscal 2006.”
Always do your DD and invest at your own risk.