Value Microcaps Motherboard

[Knowledge is King]

abh3vt, about ACRG...

Revenue growth is actually accelerating at ACRG. FY03 revenues rose 4%, FY04 8%, and 6-mos FY05 17%. Now, back to my WSO comparison, here's some ratios computed with WSO trading at $35: price/book 2.33, price/sales .72, price/earnings 20.3.

Now, applying these ratios to ACRG leads to the following stock prices: $3.59, $12.77, $6.09 --- significant upside remains...

As for a "fair" P/E, I've got to believe management will have this stock off the bulletin board in the next six months. Combining that fact with EPS acceleration ($.04 in FY02, $.06 in FY03, $.20 in FY04, and $.29 through only 6 mos. of FY05) suggests to me that a P/E of 20 would not be unreasonable. Hence, I still see 100% upside here...