Yeah I was happy to pick up some CSPI around $5.50 on Friday. Stock shot up to $7+ a few weeks ago after their strong Q4 report. I was pretty excited about the board addition earlier this month. Thanks for the additional info. This certainly caught my attention...
From the 1/4/16 PR:
"As Senior Product Manager – Cloud at Google, Mr. Azeri is responsible for the pricing, packaging and discounting strategy across Google’s Cloud Platform business. In addition, Mr. Azeri is responsible for structuring and negotiating custom deals for large enterprise clients."
Lots to like on CSPI along with this huge board add. Could buy the stock for the juicy 8% dividend yield alone. Plus they've got an excellent balance sheet with over $3/share in cash. Last quarter CSPI posted their highest revenue growth in years. And based on the backlog increases in the 10K (below), that top line growth should continue in Q1. Earnings probably only a few pennies vs. a year ago loss. But they will be getting royalties from 5 more planes this year. If that revenue is recognized over 2 quarters, those have the potential to be .20-.30 EPS quarters. Looking forward to what should be some favorable comps coming up. Think the stock has a terrific chance of getting back to the $7's in the coming months, if not higher.
From the 10K:
Backlog
The backlog of customer orders and contracts in the HPP segment was approximately $1.6 million at September 30, 2015 as compared to $0.2 million at September 30, 2014. Our backlog can fluctuate greatly. These fluctuations can be due to the timing of receipt of large orders often for purchases from prime contractors for sales to the government. It is expected that all of the customer orders in backlog will ship within the next twelve months.
Backlog
The backlog of customer orders and contracts for the TS segment was approximately $10.1 million at September 30, 2015, as compared to $6.6 million at September 30, 2014. Our backlog can fluctuate greatly. These fluctuations can be due to the timing of receiving large orders for third- party products and/or IT services. It is expected that all of the customer orders in backlog will ship and/or be provided during fiscal year 2016.
