Replies to post #215159 on ORIONS Money Stocks

[AugustaFriends]

DEXO - got in with 18,000 at 1.21

[AugustaFriends]

SR over 40% play already!!!

[AugustaFriends]

SR - Cash-rich local public companies

http://www.bizjournals.com/dayton/news/2012/10/08/slideshow-cash-rich-local-public.html?ana=yfcpc



When evaluating a company’s financial situation, cash can be a telling indicator of the company’s health.

The amount of cash and cash equivalents on hand at any given time often indicates how well a company can withstand a down period, and also gives hints about a company’s plans for the future.

“Healthy companies are going to have more cash,” said Steve Wenstrup, a principal with Centerville-based Tillar-Wenstrup Advisors.

Click here for a slideshow of the companies ranked by their cash levels.

Wenstrup said large companies stockpile cash primarily for three reasons:

• In anticipation of an acquisition;

• If they’re making money faster than they can spend it; and

• If they’re planning to give out a dividend.

Eleven Dayton companies have public financial statements that reveal their positions in terms of cash on hand as of the last quarterly report.

Wenstrup said if a company has 10 percent of their market capitalization’s worth in cash, they’re considered cash-rich.

In the Dayton area, the company with the most cash is data warehousing company Teradata Corp., with $821 million stored up. Meanwhile, the company with the highest ratio of cash to market cap is REX American Resources, which invests in alternative energy.

As of Sept. 30, REX had almost $64 million in cash on its books, which is almost 41.9 percent of its $152 million market cap.

Teradata on the other hand has a cash to market cap ratio of about 6.41, which indicates it is reinvesting its cash into its own growth, Wenstrup said.

Standard Register Co., a document services company, has the thinnest pockets of any public company in Dayton, with $756,000 in cash and cash equivalents. This represents 3.54 percent of the company’s market capitalization. The company has had a rocky past couple of quarters, experiencing a net loss of $1.1 million in the quarter ended July 31.