INTT 3 forward PE hot sector
INTT has reached 52 week highs but is still trading at a huge discount to peers in the semconductor test sector.
-The sector is BOOMING driven by computer upgrades induced by Windows 7. LTXC, TER, and AMKR have posted the best results in years, and have risen 500%.
-INTT just pre- announced $.14 EPS for Q1 2010. Q1 bookings increased 30% to $14 million.
-Since sales have been strongly correlated with prior quarter bookings, $14 MILLION SALES AND $.25 EPS FOR Q2 2010 ARE REALISTIC PROJECTIONS. These results are far stronger than when INTT traded for $8 in 2005.
-INTT trades at a P/S ratio of 0.6 compared to the Industry average of 2.4 If INTT traded at even HALF the sector average it would be $7.
-The most successful U.S. hedge fund- Renaissance Technololgies, owns INTT. Renaissance has an army of engineers and MBA's scouring for undervalued stocks.
-INTT has slashed costs to the bone by rationalizing facilities.
-INTT has a tightly held 8 Million float that is 38% instituitional owned.
-In short, INTT has all the ingredients to go much higher in a very short time frame.
HIGHLIGHTS:
- Profitable
- 8 MM share float
- 35 MM market cap
- $50 MM + revenues
- Last PR: $.14 EPS and Healthy increase in backlog.
- Last PR: Revenues and net income will be go up this quarter. Profitable again.
- Last CC: Customers, new and old, expected to ramp up production in 2010.
- Traded at $8+ in 2005
- Major players in sector (AMKR LTXC TER) have gained up to 500% in 2009 while INTT is still under the radar.
- Frequently mentioned as acquisition candidate because of heavy industry consolidation.
- Company hiring at all worldwide locations due to ramp up in order and backlog growth.