a good rec. think this was the guy on the last quarterly cc. From George Santana of Ascendiant Capital today: We believe ABTL deserves an in-depth look, as the stock has yet to reflect the significant improvement in the company’s business. EV of $24mm values the company at a level that would be attractive to private equity potential acquirers, in our opinion. EV is 4.6 times forecast 2012 EBITDAS and 3.2 times forecast 2013 EBITDAS.
Operating leverage: Management contends that current level of operating expenditures is sufficient to support much higher revenues, a nod to the scalability of ABTL’s web-based business. Rebounding U.S. vehicle sales and increasing promotional activity should translate into higher revenues and even stronger growth in profits and cash flow.
Reiterate Strong Buy and maintaining our price target of $7.00, which is based on an EV multiple of 8x forecast 2013 Operating EBITDAS