Q: Pleasecomment on latest Q results releasesd this a.m.and going forward.Please advise on net income and Eps.Buy,Sell or Hold.Txs for U usual great services & advices, Great to see Peteron Market Call on monday
5i Research Answer:
There is no analyst coverag here, so no estimates. A record number of devices were shipped, with sales rising 64% to $5M. Recurring revenue rose 33%. Operating income rose 57%. EBITDA rose 35% to $0.665M. The stock sold off on the news, but with its large gains we suspect this was just profit-taking. The balance sheet remains strong with $4.8M cash. Commentary was very light but the comments from the company did sound very positive. We would see it as a HOLD. It remains small and higher risk than average.