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Bobwins

06/04/13 10:34 AM

#442 RE: Bobwins #440

NCI.v/nywkf +.05 to .21 NTG is very cheap, even at .21.

But it's doubled in two days so there could be a pause and trading volume is an issue when the dust settles from these big contract announcements.

First qtr with any $$ from the new contracts will be Q2 ending 6/30. That will be reported mid August but won't be a full qtr. Still it should give us an indication of the profit margins for NTG on these new contracts. Gross margins have varied depending on whether they were selling licenses to software at very high margins or combinations of equipment and software. So will the new contracts be in the 50% margin range or closer to 40%. That will make a huge difference in net. Also how much help do they have to hire to complete these contracts? All questions that can't be answered until we see more info.

Still NCI.v is very cheap and profitable before all this good news so that should provide a basis for future upside. My original concerns were trading liquidity and a/r quality. Again, we need more time to see if those two issues improve.