Value Microcaps Motherboard

[southacresdave]

Hweb...EDAC...I'm not going to lay judgment on the new acquisition until I can read the 10Q. I like where EDAC should be able to exceed $20M/Q in revenue, but they definitely need to get their margins back up. It will be interesting to see if they can reduce costs and leverage the customers to increase organic growth more.

The big thing with EDAC that is hurting them is the delays in the Boeing 787 and 747-8 (both are using the Ge GEnx engine which EDAC does work on). Once Boeing gets their act together, EDAC will have business lined up for 15 years.

I'm always a bit disappointed with management in that they release earnings so late in the day, never explain much in their pr's, and never do conference calls. It's tough figuring out what is actually happening with them.

I think in the long run EDAC is a great investment. In aerospace, I also like LMT under $75 (and selling covered calls against it as a side money maker) and CVU. I only own EDAC (and not the others) because I like to torture myself!!

I did sell Zagg though (rode it from sub $1 and sold above $7). Bought a bunch of WEMU with the profits.

Dave