Savvy Trades and Investments

[SSKILLZ1]

ESCC

I’ve been buying ESCC the last couple of weeks under $1.00 in my opinion this is a pretty good hold for the upcoming earnings season. Here is what I like.

1) Their backlog was really up last quarter and I expect the usual strong q3 and q4 from this company. I wouldn’t be surprised if we see .20-.25 in q3 and q4 combined. Hence I feel the stock is very undervalued here sub $1.

2) Of course you have Kellogg who owns so much of it, which I see as a plus.

3) You also have a company that has more than half its market cap in cash, which is even more appealing.

Conclusion: I will continue to add shares on weakness, the knock for me here is the liquidity. But other than that I like ESCC a lot and I think it has a really good risk/reward at current levels. All is just my opinion, and I could always be wrong though.