Savvy Trades and Investments

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I've been rebuying WSTG. A little surprised it's available back near $11. Solid Q1 earnings of .32/share. Excellent balance sheet with tangible book value over $9, including $3.19/share in cash. Plus you get a 6% dividend yield!

Kicker here is while Q1 was a tough earnings comp. They should report a much more favorable comp in Q2, mostly because of a hefty charge in the year ago Q2. Looks like they will pay $100K (if I'm reading the separation agreement right) in the current Q2 after the CEO left for personal health reasons. But I still think WSTG will post earnings of .30/share vs. a loss last year...which should send the stock back to $12-$14.

WSTG deserves to trade even higher than that, but fundamentals seem to be shunned by this market at the moment. Now it's all about how much top line growth do you have. If you're not profitable, who cares. Not exactly the ideal environment for our VM stocks. But I have a feeling earnings will matter again.