Value Microcaps Motherboard

[stanu78]

MSGI you are right that stock doesn't always go up even when earning is up and PE is low.. especiall with microcap stock.. it can be true (as you pointed out some example like SWTX, and probably true also for PDGE)...

I think in the end (if we are patient enough and have time) the price will match their performance... either teh stock has to go up or the company will staryt using the reatined earnings to pay dividend or buy back shares...

if the stock didn't go up for now it's probably investing public is not so optimistic on the sustainability of those earnings..

case in point on SWTX.. I think they are worrying on the fast increase in revenue (which is good) but dropping profit margin significantly on several line of their products... that worries a lot of people... I'm picking SWTX as an example..
but if you know for sure or have strong feeling due to your DD that earning and profit margin is sustainable (not even talking about growth in profit) then SWTX and PDGE is definitely a good buy (I am not familiar with te other stock you mentioned)

but in the long run the stock price will 100% reflect the performance of the company... the discrepancy in the short term is a blessing for us the bargain hunters... who are lurking around looking for the best deal out there..

Stan