Q: After the last Q results DCBO had a big jump that withered to half. Would you consider it a good point to add? Is the story still intact ie any positive/negative news from the company that you see?
5i Research Answer:
We continue to like DCBO here. From a technical standpoint, the jump following earnings created a price 'gap', which has been filled over the past month, and it now looks to be bouncing off of this level.
It trades at a high forward earnings multiple of 50X, but its forward growth estimates are strong, and its recent earnings results blew away estimates. Guidance was raised at its recent report, and its long-term upward trajectory remains in tact. We continue to like DCBO here.