ANK back up to near 52 week high on about 3 times average daily volume. -Looks bullish to me. Here's a stock that has decent earnings and even at 15 is yielding 5.3% compared to much lower average yields. -And there is still a chance for rate increase over the next year or so. -Still a cheap stock.
One last off topic post(for now). One other potential multiple bagger microcap, which I have a stake in, is RADA. This is a turnaround situation, which is picking up steam, though not reflected in its stock price, yet.
Radica Games is an electronic toy manufacturer, which has been a major player in the handheld electronic game category(still is), whose market collapsed about two years ago. They have, since, significantly diversified(see the Yahoo Expanded Business Description). Their cost cutting and changed business strategy are starting to pay off, as sales have increased quarter over quarter the last two quarters by 49 and 99%, and they have returned to profitability on a TTM basis. They have $22M in cash and no LT debt. I expect earnings to approach $1 per share in the next two years, and they currently sell for around $3.50.
Randy, DSWL is a Chinese mainland company, and pay a low tax rate to the PRC, which is subsidizing private enterprise in various ways. This is allowing DSWL to expand their production capacity relatively inexpensively. I do not expect their tax situation to change, although you may have information, I am not aware of. Their tax rate, in any case, in my opinion, is relatively unimportant in terms of their long term prospects.
Regarding DSWL, how do you feel about the large tax benefits that they've been getting in recent years, which run out I believe this year and next? My understanding is that they got a large tax break by virtue of being a foreign company, but those benefits had a 3-5 year life span which expires shortly. TIA.
-You're right, DSWL does look cheap-I'll put it on my watch list. You might also look at another of my holdings- it's RSC, a small electronic chain- much smaller than it's two main competitors- BBY and CC. -But it's making money, and sells at less than Book, and with a PE about 1/2 of both BBY and CC. It's near the low of the year. Owned it earlier, and sold for a good profit, and bought back again recently.
Nice to have the dividend increase announced today, which based on today's closing price equals a 6% yield. This makes it that much easier to patiently wait, while our undervalued little telecom gem gets recognized by the market.
-Agreed. This "little gem" has increased it's dividend 50% since I bought it, and coincidentally or not, that's about what the price has also appreciated. -With a 6% yield, and other good financials, this is still a cheap stock in any market; but a VERY cheap stock in this very high multiple market. This stock is almost as cheap now as it was when I bought it awhile ago.-Still can't understand why it is still so cheap.