Value Microcaps Motherboard

[whyme2005]

EXXA $3.2....NEW 2-YEAR HIGH...BREAKING OUT...RADAR IT....

EXXA posted a 19c/share net income on $43M in revenues (30% increase) last week. The new $45M/year DaimlerChrysler contract and the recent acquisition of Sellers Brothers are starting to have a strong effect in revenues and net income.

Today EXXA is one of AMEX largest % gainers.

http://stockcharts.com/gallery/?EXX/A

EXXA's numbers are mind boggling...for under $5 stock....it reminds me of BOOM before it exploded.

...60 - 80c/share annualized net income

...$45m/year multi-year contract with DaimlerChrysler

...$170M/Year in revenues

...Less than $40M market cap

...Only 4.7M share on the float

...Less than 12M total outstanding shares


The most difficult part about investing in EXXA is to figure out the symbol used by the various brokers. Etrade and Ameritrade use EXX.A..........Scottrade uses EXX/A..... MerrillLynch uses EXX'A. EXXA will go Nasdaq and that will increase liquidity and visibility tremendously.

EXXA's Chairman/CEO David Segal is very bullish about the future of EXXA's stock. He has recently added 102,700 shares to his 5M plus shares buying all those shares in the open market.


The 60+c/share annualized net income might actually be conservative. In addition to net income coming in from DCX, EXXA acquired Sellers Brothers from BK for a song in 1Q 2006. Sellers Brothers, a vinyl cover, seats, wallpaper..etc..manufacturer is now contributing to the top and bottom lines. The DCX work is maxed out and company expects this situation to continue for several more quarters.

Furthermore, EXXA is one the most profitable companies in the sector if they keep that up. If it was to be acquired, I can see someone paying more than $100M for it...or about 70% of sales...that equates to $10/share. For some reason the CEO keeps buying shares in the open market even though he own more than 40% of all O/S shares. I believe he expect something big to happen ..soon...the guy is in his late 60's.


do your DD before EXXA becomes a BOOM or a DXPE