Savvy Trades and Investments

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Congrats on CSPI. New 52-week high today of $14.96! I can't say I understand it. Stock dropped to the $11's earlier this month when they reported those lousy Q2 results. I thought that was the appropriate reaction. A Q2 loss on declining revenues. Their lowest revenues in many quarters. The top & bottom lines also dropped quite a bit sequentially...and you could buy CSPI in the $9's after the much better Q1 report three months ago.

I listened to the CC and didn't hear anything that great. The ARIA stuff sounds cool I guess, but I think it will be a small contributor to revenues. They'll only be competing with a million other cybersecurity products. The E2D royalties is what really drives profits for CSPI...and it sounds like those will be minimal for at least the rest of the year, which is disappointing.

I can't argue with the stock action though. Impressive recovery to new highs. I'd be selling as it seems like a gift to sell at these elevated prices after that weak Q2 report this month. If the stock stays up here, I think it might be an attractive short into the Q3 numbers as it looks like it will be another poor comp.