SPRT
I purchased some SPRT. Admittingly Have been stunned to add this stock the last two days, under $2.40 avg price. The fundies have never looked better on this one.
I personally think GM improved in the quarter because they said they renegotiated hosting fees and lowered cost which I believe are sustainable. I think they could earn .32-.38 this year, which should get at least a 10 PE. so I think FV is $3.50 at least and probably being conservative, but want to be due to the high customer concentration which is the main risk here.
The balance sheet is super impressive with $2.00 in cash after that 10 million payment. Hence we are paying roughly .40 for a company that I think can earn almost that for the full year. I think the stock reaction has been absurd this week, and it is a screaming buy at these levels. But time will tell if I'm right I guess. But to me the fundies look a gazillion times better now that at any point since I have been following the stock. All is just my opinion, and I could always be wrong though.
