Savvy Trades and Investments

[hweb2]

GENC did have an earnings PR yesterday morning:

https://finance.yahoo.com/news/gencor-releases-third-quarter-fiscal-120000617.html

Numbers were mediocre at best. But not as bad as the stock dropping from $16 a couple weeks ago to $12.50 today imo. Backlog was unusually high last year. And GENC is still hiring to meet increased demand so doesn't exactly sound like the end of the world here.

From the earnings PR:

Product engineering and development expenses increased $144,000 to $781,000 for the quarter ended June 30, 2018 due to increased staffing to meet the higher demand for our products.


I'm in no rush here. Let them throw the stock away. To the $11's. Maybe $10's. Balance sheet should offer some support, but who knows where. The current funk in their business could last for a few more quarters. But GENC should remain solidly profitable. Eventually steel costs will moderate and infrastructure spending will pick up again.