The price of this stock is 75% off it's high so it's still pretty cheap. This is the best first quarter that I've ever seen. The first quarter is usually their slow quarter. Having a 66% earnings growth over Q1 2008 in a down economy is impressive.
No surprise. Only surprise is that they suspended the stock buyback program when the stock price was floating around $3 a share. Purpose was to pay down $3 million in debt. F-in stupid if you ask me. They buy back stock when the price is $18 per share and get scared off when it hits $3??????
I still hope it pulls back to $3 per share so I can get in with some more cash. Economic recovery still has miles to go so it's possible.
Agreed it was stupid to buy back stock at $18, especially with debt. No doubt some smooth-talking investment banker talked them into that one. At this point, however, I'm guessing they want to pay down the credit line a bit so they have some cushion on their covenants if the economy continues to get worse. It's the prudent move and once they're more comfortable they can resume the buyback. The buyback was a big mistake and now they have to pay the piper. If you don't like the past decisions of the board, you should vote your shares with Vicuna. Also, we shareholders should insist on more stock ownership by mgmt and the board, and not just through free grants.
No way this stock goes back to $3 unless we have the depression everyone was talking about in Feb. The company is throwing off enough cash to pay down all its debt by the middle of next year. After that, at $3 bucks they could buy back every share outstanding in less than 3 years.
I'm looking for $6 bucks tomorrow. We'll break above the 200-dma, which will also attract some of the momentum crowd (for better or worse) and just maybe we'll have a nice run for a few days.