Zeev's Turnips Patch-No Politics (ZEEV)

[habibees]

22-Mar-05
11:54 FORD Forward Industries -- why the stock is moving foward (11.00 +1.37)

With FORD having rocketed so much lately (up 250% since early Dec), we thought readers might me interested in more details on the story just for informational purposes, not to advocate buying/selling it up here. The co is a designer of custom carrying cases primarily for cell phones and home medical diagnostic equipment. It sells directly to OEMs and markets a line of Carry Solutions under the "Motorola" brand name.... The co is posting strong growth as it recently reported Q1 (Dec) total sales of $8.9 mln, up 98% yoy. Cell phone product sales grew even faster at 166% yoy, driven by sales of "in-box" cases for new launches of Motorola and Nokia phones. Also, the co is profitable as EPS rose to $0.21 vs just $0.03 in the yr ago period. The balance sheet is solid with $3 mln in cash and zero long-term debt... When Motorola (MOT) guided higer, everyone turned to compnent makers as secondary plays, but keep low-tech FORD on your mind as Motorola is its largest customer, at 25% of sales. Bottom line: high sales growth, exposure to Motorola, profitability, liquid stock and a small float of 3.8 mln makes FORD worth keeping on the radar screen. Even after the recent run-up, the stock trades at just 2x current sales (assuming 80% sales growth this year). Mkt cap $68 mln, avg vol 770K.