ENCO is one of the best buys I've seen since -oh, well nevermind. I don't like it when posters bring up names of other stocks. Speaking of names, what's with Yahoo continuing to list this board as Covalent Group? This company changed its name from Covalent to Encorium Group, Inc. in 2006.
yahoo has been screwed up with their message boards ever since they went to the "thread" format. they have gotten rather corporate over there. rather than someone admit they made a mistake and it just doesnt work for this type of message board - they have been doing everything possible to "convert" users to this format. i have noticed significant drops in every board i follow or post to. that is probably why they are behind in listing this still as covalent.
i agree this stock is a very good long term buy. right now, i still think it will be rather volatile in the short term. anything under $2.85 is a good short term buy and anything up to $4.10 is a pretty good mid term buy. if it wasnt for that $12MM contract that died due to their customer being bought out - i think we would have seen $8 on that last run. if they get back to $700-1MM in earnings in this latest quarter, i think the trend will go back to where it was when it went into the $6's last year. in the mean time, i think it is going to bounce around. my guess is they will come in at that range and the price will go back trading in the $3.50 range until the following quarter or some large contract win is announced. i have been buying under $3 again.
nice contract announcement today. other than the contract win which will begin immediately with the current quarter, i am more excited about the following quote:
"Kenneth M. Borow, M.D., Encorium Group's Chief Executive Officer, commented, "We are now beginning to hit our stride in new business development efforts. We expect additional new contract signings over the next several weeks as final decisions are made relating to numerous projects in our new business pipeline.""
This is a rather definitive statement to make in these times where every thing has a forward looking statement disclosure. I think this may have been the buying signal the market was looking for. Volume is increasing and the share price is following. Be nice if this is the news/trigger that finally gets this above $3 to stay.