Tel-Instrument Electronics Corp. (TIKK)

[pmony5]

TIK DD post as yesterdays PR left many confused. First off the sequential drop in guidance of 5.5 mill $$$ is the same guidance the CEO gave for the 4th Qtr & came in at 6.45 mill $$$. He is ultra conservative & knowing their contracts I come up with approx 6.2 Mill $$$ for Q1.BTW the 1st Qtr tends to be their seasonally lowest Qtr. TIK reports in 3 weeks & will report Non-GAAP EPS of approx .28 cents and GAAP earnings of approx .16 or .17 cents imo. The difference is all Non Cash charges mostly tax expense as TIK has almost 14 million in NOLS that will offset tax expense for the next 5 years +. TIK is up against 3 million in Q1 & 3.5 mill in Q2 so both the next 2 Qtr's will show 100% rev increases & be highly profitable. For the upcoming year TIK should easily do 50 to 60% Revenue growth and produce $1.20 to $1.40 Non-GAAP EPS again only Non Cash items backed out.

CEO is keeping his word as 1 new product out & more to come this year, also he is now confident to state that 28 NATO countries will HAVE to go to Mode 5 test sets and the U.S.A has only just begun and will be major dollar buyers for years to come as well. How rare is it for a company to have such a great forward outlook reaching not a few quarters but several Years and barrier to entry is ZERO no new competition coming into TIK's niche...

Insiders owning over half the shares outstanding & continue to buy via Form 4's filed leaves a tiny float so when TIK does get appreciated it will move fast & hard. I mean what will a stock with years of growth trading at 4X's EPS be in a few weeks or a few months ???

Catalysts are always a stock prices best friend & finding a co. like TIK that has been losing money for years and has turned it around to grow & become profitable & in TIK's case very profitable is always a recipe for major share price appreciation especially when no one paying attn YET !!!! It's amazing once a co. starts showing big profits it never takes long for them to be found. GLTA & make $$$$$$$$$$$$$$$$$$$

LINK to S/A Article with more DD

http://seekingalpha.com/article/2985606-tel-instrument-over-500-percent-upside-just-to-reach-fair-value-based-on-guidance