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whyme2005

11/25/05 10:49 AM

#29089 RE: wadegarret #29088

Wade, Re: HAUP...this is based on my DD (BTW, my target is $8 in Feb 2006):


RECORD EARNINGS COMING UP....KEEP AN EYE ON THIS UNDERVALUED GEM....

Hauppauge (Nasdaq:HAUP) is the technological leader in the development and manufacturing of digital TV and data broadcast receiver products for personal computers. Hauppauge's flagship product, the WinTV family, is the leading branded TV card in the retail market.


INVESTMENT HIGHLIGHTS:

FLOAT: 5M shares
P/E: 14
P/S: 0.4
Cash: $8M or 90c/share
Debt : ZERO
Projected 2005 Revenues: $85M ($65M IN 2004)
Projected 2005 Net Income: 26 - 30c/sh (2004 was 19c/sh)
Current Market Cap : $33M


HAUP's chart shows a a steady improvement over the last week or so. Haup is poised to breakout any day now, specially when low-float momo players decide to join in the fun...:

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

Undervalued, and under the radar, HAUP is starting to move back up ahead of its 4Q and FY 2005 earnings report to be released in December. This will be a record year for HAUP and the stock is likely to gain substantially from today's prices.

Historically, HAUP has rallied in the November - March time frame. This year the rise will be steeper because HAUP is trading at extremely depressed value even with the recent gains, and because the year end results will be phenomenal compared to those achieved in 2004.

So far in the first 9 months of fiscal 2005 HAUP has already accumulated 24c/share net income vs. 19c/share in the entire 2004. Revenues for the first 9 months of 2005 have reached $65M already matching the revenue for full year 2004!!

Besides reporting a record year in net income and revenues, HAUP will likely provide a strong guidance for 1Q 2006. 1Q is usually a blockbuster quarter for HAUP but this year it will likely be another record Quarter. HAUP has released 3 fantastic new products at the start of 1Q 2006 just in time for the Holiday season. For HAUP, fiscal 1Q ends on December 31.

HAUP has recently unveiled 3 new products that will likely cause 1Q 2006 earnings results to break all-time records. 1Q is usually reported about 8 weeks after 4Q. Historically, HAUP has rallied in the November - March time frame.

Jim Cramer, on his sindicated TV show, said today (Thursday, November 24, 2005)...

"BOTTOM LINE: MOST IMPORTANT, WHEN INVESTING, INVEST IN COMPANIES WITH CASH AND ZERO DEBT..."

He did not say HAUP specifically, but HAUP with $8M cash (90c/share cash) and ZERO Debt, certainly meets that important criteria.


ABOUT HAUP:

Hauppauge Digital, Inc. (NASDAQ:HAUP - News) is the worldwide leading developer and manufacturer of analog and digital video, TV and data broadcast receiver products for personal computers. These video boards allow PC users to watch television on their PC screens, receive digital TV, record TV to a computers hard disk and create both still video images and digital video movies. Hauppauge's flagship product, the WinTV family, is the leading branded TV card in the retail market.

The Company is headquartered in Hauppauge, New York, with administrative offices in New York, Singapore, Taiwan, Ireland and Luxembourg and sales offices in Germany, London, Paris, The Netherlands, Sweden, Italy, Spain, Singapore and California. The Company's Internet web site can be found at http://www.hauppauge.com.


Always Do your DD