Trading ended May 16, 2008 at less than 11% below the 52-week high of $5.09 for this small capital stock from the Technology Sector. The Price to Earnings Ratio remains below 12 even as the stock begins ascent to conquer its previous peak price. The Beta is 1.90. Total Debt is less than a fifth of equity. Most of the stock is available for retail trade. Interest Coverage has been well over 8 on a Trailing Twelve Months basis. The Net Profit Margin has approached 20% during the period, tripling the five-year average for this key business parameter in the process. Sales have rocketed annually by nearly a third during the Most Recent Quarter.
However, there are additional business benefits for a serious investor who examines the operations of this member of the Computer Storage Industry in minute detail. A Year-to-Date graph of the index for this industry presents a sorry picture, not dissimilar to a hopeless case in an intensive care medical ward. How does a company with a May 2008 market capitalization of less than $125 million succeed while celebrity stocks flounder?
The answer lies in walking the talk about delivering unbeatable customer values in order to generate cash profits. This company does vital things with elegance, simplicity, reliability, and economy. It makes electronic chips that can record vital information forever. This data can be accessed rapidly with low energy consumption. The chips are durable and can be used several times over. These are dreams that all computer users share. That is why this stock appears to have a wonderful future.
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