This stock is trading at a PE ratio of 7.89. It is priced only a touch more than it's book value with a PB ratio of just 1.10. These numbers indicate a stock with low expectations. Yet, when looking at the research, the analysts expect the earnings to grow at an 18.4% annual rate over the next 5 years. Thats more the double the expected growth rate of the S&P 500 which trades at a PE of about 26. All these numbers indicate exceptional value. This is a high growth stock that is selling at a bargain basement price. When the value in this stock becomes recognized it will undoubtedly take off. Patience is a virtue, and should be very rewarding in this case.
I am long to the tune of 5 figures on TWR because of the apparant value that you mention. However, I was also very long on SNRZ (Sunrise Assisted Living) which also had a huge short ratio. SNRZ tanked by 60% in one day after the company announced it would miss earnings by a substantial amount. Even though I hate the shorts, I am wary of their possible knowledge. TWR's short ration of 25% is huge - even larger than SNRZ had. Any thoughts on why?