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Archive for the ‘Small Cap Thoughts’ Category

Analytical Chemist submits:

Newly profitable small-cap biotechnology company DUSA Pharmaceuticals (DUSA) is an investment with fantastic return opportunities. With rapidly increasing sales and its greater than 80% gross margin leading to even more rapidly growing profits, investors may want to join in the chant: D-U-S-A! D-U-S-A! DUSA is an integrated dermatological biotechnology company whose main products treat the common skin condition actinic keratoses (AK), precancerous lesions caused by sun exposure. AKs are responsible for more than 8 million visit to dermatologists and other skin care physicians annually. This figure is significantly higher than 2003’s 5.2 million visits. It is estimated that the direct costs of AK are greater than $1 billion annually.

Levulan PDT is used to treat non-hyperkeratoic AK of the face or scalp. AKs are precancerous lesions caused by sun exposure. Levulan PDT is applied with DUSA’s Kerastick. Exposure to DUSA’s BLU-U light source converts the application into the drug actually

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31 Undervalued Small Caps

Posted by admin On April - 11 - 2011

Rash Menaria submits:

Following is a list of 31 companies with a market cap between $200-1000 mn, consensus EPS growth rates for 2011 and 2012 greater than 50%, and a PEG ratio of less than 0.5.

Tkr

Company Name

EPS Current Yr Growth (%)

EPS Next Yr Growth (%)

EPS Current Yr PE/Growth

EPS Next Yr PE/Growth

Market Cap (mil)

FLWS

1800FLOWERS.COM

400

146.67

0.16

0.18

204.76

FTEK

FUEL TECH INC

225

74.95

0.17

0.3

213.07

CPWM

COST PLUS

89.66

69.09

0.21

0.16

224.62

SEH

SPARTECH

129.17

92.73

0.15

0.11

226.27

GRB

GERBER SCIENTIF

220

243.75

0.28

0.07

247.37

PULS

PULSE ELECTRONIC

207.41

62.65

0.11

0.22

252.67

SAIA

SAIA INC

540.63

74.47

0.04

0.17

263.69

BIOS

BIOSCRIP INC

114.29

200

0.27

0.05

268.7

LF

LEAPFROG

135.71

95.45

0.17

0.12

279.82

CDI

CDI CP

1400

68.89

0.02

0.29

290.42

RENT

RENTRAK CORP

1053.33

92.05

0.04

0.26

298.46

INSP

INFOSPACE INC

412.5

84.15

0.1

0.28

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Kapitall submits:

If you’re looking for small cap ideas, the following list might interest you.

Here we present 4 stocks priced under $3 that have seen significant improvements in analyst rating over the last three months.

Mean analyst ratings of 1 indicates a “buy” recommendation, whereas a rating of 5 indicates a “sell” recommendation – therefore, the rating becomes more bullish as it approaches 1.

Do you agree with the analyst consensus? Use this list as a starting-off point for your own analysis.

click for expanded image

List sorted by change in rating.

1. Capstone Turbine Corp. (CPST): Industrial Electrical Equipment Industry. Market cap of $474.74M. Current price at $1.93. Over the last three months, the average analyst rating improved from 1.25 to 1. The stock is a short squeeze candidate, with a short float at 12.88% (equivalent to 5.97 days of average volume). The stock has had a good month, gaining

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Mind C.T.I.: An Undervalued Micro Cap Gem

Posted by admin On April - 11 - 2011

Ron Sommer submits:

MIND C.T.I. (MNDO) is a small micro-cap gem. The company provides software solutions to various types of communications providers. It has a rock solid balance sheet, a low PE and delivers a high-yield dividend. The company’s activities are described as follows:

Mind C.T.I. Ltd. develops, manufactures, and markets real-time and off-line billing and customer care software for various types of communication providers. The company offers billing and customer care solution supports multiple services, including voice, data, and content services, as well as prepaid and postpaid payment models in a single platform. It also provides a workflow engine to support the creation and execution of business processes, such as order management, trouble ticket, and debt collection. In addition, the company offers an integral point of sale solution that comprises dealer, store, and cashier management and sales processes. Further, it provides professional services, primarily to billing and customer care customers, consisting of

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Alfred Little submits:

Chinese RTO Puda Coal, Inc (PUDA) Chairman Ming Zhao transferred the ownership of PUDA’s sole Chinese operating entity, Shanxi Puda Coal Group Co., Ltd (“Shanxi Coal”), to himself in 2009 without shareholder approval according to official government filings. Then, in 2010, Zhao sold 49% and pledged the other 51% of Shanxi Coal to CITIC Trust Co., Ltd (“CITIC”), a Chinese private equity fund, for RMB245 million ($37.1 million).

Zhao then recklessly leveraged Shanxi Coal by borrowing RMB3.5 billion ($530.3 million) from CITIC at an incredibly high 14.5% annual interest rate (including fees) to finance the development of its coal mines. PUDA shareholders are completely unaware of these transactions that decimate the value of its U.S. listed shares.

Background – An Industry Facing Government Mandated Consolidation

According to PUDA’s 2010 10-K filing:

In order to improve production efficiency, workplace safety and to reduce coal mine accidents, the Shanxi provincial government issued

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