Stock finally getting some attention with upgrade today. I think the multiple on this is way too low with revenue and margins improving and debt being knocked down in half over the last year. Management seems more positive in their outlook on the cc yesterday. A lot of talk of "profit leverage" which means their serious about improving EPS instead of acquisitions in the near term. The GS analyst made a strong suggestion to do a buyback and management indicated they would sometime early next year. If they can get quarterly GAAP EPS around $.20 on a consistent basis and reduce the o/s shares by 10%, you'll see NEWP break above $20.
risingmoj: What do you think of NEWP's uv fiber laser potential after IPGP gets into the game in early 2014? Over 50% of NEWP's sales comes from slower growth stuff... tables, lenses, mounts, etc. COHR competes hard with NEWP in microelectronics, with COHR often winning. NEWP does have potential life-science breakthroughs, but would you put your chips on NEWP versus the others?
Jindo, I like all 3 of them. I was a COHR investor until 2011 and sold to buy NEWP and IPGP because I saw more near term upside in them. Unlike the high-power fiber laser market that is dominated by IPGP, the micro market is wide open for fiber since it is relatively new for those processes and there is no clear dominant player yet. I think it is too early to say who will do best. Both NEWP and COHR have a good history with semi and microelectronics, but if IPGP can produce a better, cheaper product they can steal share. I like NEWP over the next 6 month a little more than the other two.