Edac Technologies (EDAC)

[southacresdave]

Mike...nice board here....I saw EDAC being discussed on the VMC board in late January. Couldn't believe the stock wasn't higher (at $3.75 then). I have to admit that I did my fair share of mopping up what was available then. I've added on to it (including last week) in the lower $4 range when it dipped.

I see it as nice solid small company. Would be worth $7-9 if they continue doing what they are doing (and get off the OTC BB). Just patience needed.

For Q, I could nitpick. Margins were ok, but would have liked to see them around 18%. The 4th Q tax rate was lower than normal so that helped numbers a bit. But it was good to see administrative costs at only $700K. I see margins improving as the revenue goes up some more. I can easily see the $11M being duplicated for 1rst Q. The increased backlog (and desire to buy more equipment for future growth) indicates that management sees strong possibilities.

I think we've got a winner here. I'd love a KRSL thing to occur, but in this current market I'd just love a stock that holds it's value!

Dave