ePlus stock is up ~46% the last 12 months. That's a winner in my book. ePlus sales increased 4.3% during the quarter, which compares favorably to their closest competitor in terms of equity market cap, Insight Enterprises (NSIT), which reported a 1% sales decline in North America during the quarter. ePlus does need to focus on managing expenses but today's press release indicates that they are now addressing the issue. ePlus paid a cash dividend of $2.50 last December which was a nice Christmas present. The CEO owns more than 25% of the stock, so that's someone who is playing to win.
You and I have posted on this message board for probably 10 years. I know you never liked Phil.
But he's done pretty well with this company. The share price used to be in the 8 to 10 range. They had that one mess with some restatement of earnings that took more than a year, despite having no material impact on the financial position of the company. Otherwise they've grown it. I made money on it for the three or four years I held shares. I wish I would have held on a couple of extra years.
The latest quarter doesn't show much spice. But it wasn't bad either. EPlus is a very stable company.
In what has become a difficult year for companies to plan their future spending due to ongoing political indecision, the Global Technology analysts at J.P. Morgan have lowered their IT spending forecast. They have lowered their estimate for 2013 down to a gain of 0.3% from 0.6%. What should pop out here for longer-term investors is that they see very encouraging signs for 2014, with IT spending rising by 3.6% next year.
What's with the big drop today? Don't see any news (the most recent was several days ago, and favorable). A bit steep to be blamed on the debt ceiling. Maybe just small investors unaccustomed to limit orders?