Value Microcaps Motherboard

[whyme2005]

PDEX $3.58..HUGE VOLUME...12% GAIN YESTERDAY...

Great day for PDEX yesterday. Huge volume and a nice steady gain of 12% for the day. Some huge blocks were bought....the largest of 200,000 shares at $2.27!!

http://stockcharts.com/gallery/?pdex


The institutional investors that attended the ROTH Conference last week are starting to buy big time!!

See ya at $5 plus soon.


**** SIGNIFICANT PDEX EVENTS LAST WEEK *****

9/6/2005...PDEX REPORTED RECORD 9c/sh 4Q and 20c/sh FY 2005 NET INCOME. .

9/6/2005...PDEX SEES 2006 NET INCOME of 26 - 30c/share ON 30% REVENUE GROWTH.

9/8/2005...PDEX PRESENTED AT ROTH CAPITAL INVESTORS' CONFERENCE.


Great PDEX presentation at the Roth Capital Partners Investors' Conference yesterday. What impressed me the most was slide 22 of the presentation. This slide shows the incredible turnaround starting in 2002 when it lost money, and the steady increase in earnings year after year. Specifically, in 2003 the company earned 2c/share, 13c/share in 2004, 20c/share in 2005....and a conservative 26 - 30c/share in 2006 per the guidance given on 9/6/05 (presentation at website www pro-dex com):

Slide 22 also shows the steady upwards trend in revenue growth with a temporary flatening of the curve in 2005. Keep in mind that PDEX exited high-revenue low-margin ventures during the year. 2005 closed with a record 51.2% gross margin.

Another impressive fact is that the projected 26 - 30c/share is fully taxed!!

Most profitable microcaps use loss carry-forwards that inflate their real net income. Not PDEX!

Furthermore, the 26 - 30c/share fully-taxed net income is conservative because it does not include any potential revenues from: 1) current project-development work, 2) any acreetive income from potential acquisitions, and 3) royalty income which is certainly coming from its ozone-generator project.

Rest assured that the big-pocketed institutional investors that attended the Roth Conference today will invest heavily on this undiscovered gem. The last time they presented at Roth, the pps gained over 70% at an steady clip over a period of about a month.

Don't forget that PDEX will release big 1Q 2006 results in about a month!!


***ON TUESDAY, SEPTEMBER 6, 2005 AH, PDEX REPORTED RECORD 4Q NET INCOME AND STRONG OVERALL 2005 RESULTS...IT ALSO GAVE A FANTASTIC GUIDANCE FORWARD:


** RECORD 4Q 2005 NET INCOME OF 9c/SHARE and FY 2005 NET INCOME OF 19c/SHARE!!

** PDEX PREDICTS 26 - 30c/SHARE NET INCOME IN 2006

** PDEX SEES 20 - 30% REVENUE GROWTH for 2006!!

** PDEX ENDED THE YEAR WITH $2.6M IN CASH AND ZERO DEBT!!

** RECORD FULL-YEAR GROSS MARGIN OF 51.2% IN 2005!!

** RECORD BACKLOG AT THE END OF 2005 !!


***** 9/6/2005 EARNINGS HIGHLIGHTS:

- Record 4Q net income of 9c/share. Compared to 5c/share in the prior year and 3c/share the prior quarter.

- 4Q Revenues of $4.4M. Up 19% over prior year, and 35% over the previous quarter.

- Net Income OF 9c/share Up 112% for the Quarter, 65% for the Year

- 2005 Gross Margin of 52%, up from 48% the prior year.

- 2005 net income of 20c/share compared to 13c/share in 2004, and 2c/share in 2003.

- Order backlog at the end of 2005 of $7.9 million compared to $5.1 million at the end of 2004.

- Backlog of $7.9M an increase of 52% over the $5.1M backlog at the end of 2004.

- Cash and cash equivalents of over $3M with ZERO debt!!


***** 9/6/2005 GUIDANCE HIGHLIGHTSs:

- 26 - 30c/share net income for FY 2006

- $16 - $18M revenues for a 20 to 30% Revenue growth for YF 2006

- 50% revenue growth for 1Q 2006 to little over $4M. This corresponds to 6c to 8c/share net income. 1Q 2006 results will be announced next month (this per the CC).


PDEX has a flat cost structure that is leveraged for highly profitable revenue growth. PDEX is truly an undiscovered gem.....but not for long.

TARGET: $5 PLUS WITHIN 2 MONTHS


ALWAYS DO YOUR DD