Appeared today in Wall Street's Best publication.
A dividend recommendation on OPXS and OPXXW ( especially the warrants)New Mid-Year Top Pick
Optex Systems (OPXS 1.05 - yield 7.62%)
and (OPXXW 0.40)
From S.A. Advisory | June 30 Daily Alert
Wall Street’s Best Dividend Stocks Editor’s Note: This stock
was recommended in Wall Street’s Best Investments as a
Top Pick in January. But since it now pays a dividend, we
are also adding it to Wall Street’s Best Dividend Stocks as a
Mid-Year Top Pick.
The common shares of Optex Systems (OPXS) and
(OPXXW) were our stock pick of the year featured in
the Wall Street’s Best Investments newsletter in January
2017.
Recently, the company declared a cash dividend of
$.08 during the next 4 (.02/q) quarters for both the
common and common stock purchase warrants. We
firmly continue our recommendation as we look for even
greater appreciation short and long term.
We’re not only looking for capital appreciation, but
now we have a very juicy dividend that serious investors
should not overlook while we wait for corporate growth.
The company is certified ISO 9001 2008. OPXS
manufactures optical sighting systems for DOD. It
provides these systems for Abram tanks, Bradley’s, LAV
and SAV and the Stryker family of vehicles. OPXS also
manufactures periscopes, rifle and surveillance sights
and night vision optics.
We rate both investment vehicles with a Strong Buy, but
strongly favor the warrants because of the super juicy
26% yield. The warrants are non-callable, expire 2021,
exercise price is $1.50 (only .50 out-of-the-money). The
available leverage owning the warrants offer the “cherryon-top”
scenario.
Management and the corporation have recently
purchased large blocks of stock. The corporation has also
retired a large block (700K shares).
Business has been booming for both the DOD and the
consumer side products. Current backlog is around $18
million and sales for current year should easily reach $20
million. At present, there are 10 million fully diluted and
outstanding shares.
If you desire exceptional yield, amazing leverage, short
and long-term capital appreciation, then OPXXW is the
only “pick-of-the-litter”!
William Velmer, S.A. Advisory, www.saadvisory.com,
949-922-9986, June 24, 2017
