the info below suggests otherwise
and that the info below the info above, is of no consequence or relevance
Saturday, March 17th, 2012
APII is possibly the most undervalued company on the OTC market.
APII’s history up to a few months ago is unimportant as the recent business developments are what caught my eye.
APII recently announced management changes, acquisitions of a new subsidiary and some significant news related to these changes:
Early this year, APII acquired Core Wafer Systems, a company partnered with NYSE:A (Agilent Technologies), and with revenue streams from NYSE: WD and NASDAQ: STX. A description of Core Wafer Systems business operations is included below.
APII also just announced major new management changes. The new Chairman of the Board, Thomas Stafford, is a decorated General & former astronaut involved in a moon landing. He is also on the board of directors of NASDAQ:STX, a company that does business with CWS.
www.jsc.nasa.gov/Bios/htmlbios/stafford-tp.html
With an outstanding share structure of just 26.7 million shares, and projected revenues this year of 14 million, and 28 million next year, you can see why APII’s tiny market cap of $5,000,000 is undervalued. The management team and projected revenues caught my eye.
The chart is also in a strong breakout pattern.
Core Wafer Systems is a company that offers proprietary software and hardware that is used in the testing and data mining of today’s most commonly used hard drives, memory, magnetics, and other advanced semiconductor and nanotechnology-based device components.
CWS ensures these components created by leading semiconductor manufacturers like TSMC, IBM, Western Digital, Seagate, and ON Semiconductor leave the factory in a working state, are tested and proven, are manufactured correctly, and won’t suddenly fail for the end consumer.
CWS is an integrated partner of the world’s premier measurement company, Agilent Technologies, by which they’ve been able to create technology that far surpasses the capabilities of their main competitor. Sharing a market expected to be worth more than $38 billion, that competitor has been on a steady decline due to their lack of system and product upgrades that conform to constant advances in the fast-paced world of manufactured semiconductors.
The company is now present in over 90% of the fabrication facilities around the globe as a result of its solidified strengthened position with Agilent and their test equipment. In addition, CWS has never failed to turn a profit over the last eleven years.
Core Wafer has two major business units: Semiconductor and Nanotechnology and Magnetics Test Systems and solutions. Both divisions offer software for extracting, analyzing and interpreting the test data they conduct for their customers.
Magnetics Test Systems customers include Multi-Dimension Technology Co. Ltd. (CHINA), Seagate, and Western Digital.
Semiconductor and Nanotechnology division customers include Applied Materials, TSMC (Taiwan), Winbond (Taiwan), Sematech International, Global Foundries, National Semiconductor (now part of TI), Texas Instruments, US Department of Defense, Fujitsu (Japan), Intel, ON Semiconductor, Charter Semiconductor (now a part of Global Foundries).
While CWS has historically registered around $4 million in annual sales, Action Products expects the company to generate more than $14 million during 2012 (pro forma). The company attributes the extraordinary growth to several advantageous factors, including major upgrades being rolled out to new and existing customers CWS has developed in response to demands relating to the cyclical advances in semiconductors, nanotechnology, and magnetics industries perpetually experience.
Looking further ahead, the company expects top-level revenue growth to exceed $142 million over the next 48 months due to facilities acquiring new testing equipment to meet demands introduced by more complex components, reduce testing time per component, and companies in Thailand replacing and upgrading their damaged equipment from the massive flood in 2011. Pro forma year-over-year projections are $28 million for 2013, $42 million for 2014, and $58 million for 2015.
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