It's not often one thinks about investing in a company from hauppauge NY! It was this NATO contract that caught my eye...HAUPPAUGE, N.Y., Jan 23, 2007 (BUSINESS WIRE) -- Globecomm Systems Inc. , a global provider of end-to-end value-added satellite-based communications solutions, announced today that the Company has received a $13.1 million notice of award from NATO to provide additional systems in support of a multi-national global positioning satellite-based (GPS) friendly force tracking system (FTS). Globecomm previously announced a $7.8 million contract from NATO to design and install a GPS FTS, bringing the combined contract value to $20.9 million. Now I have been tracking the stock and it has marked $9.53 then $10.65 then $11.37. Now the idea was for me to get in around $10.00 but alas it did not crest back and allow that. Now a dilemma. Earnings this Wed. Do I get in before or after?. Does the stock gap and run? Or do I get in and then it goes to freakin $10.00 where I wanted it in the first place? Vol Friday 186,000 vs 76,000 average* GCOM $11.37 plus 51 cents or 4.7% (that sounds better doesn't it?) Closed at the high. From management QTR1: Globecomm's $78 million in first quarter contract announcements, with the potential to reach $90 million with follow-on options, represents the strongest quarterly contract activity in the Company's history and provides Globecomm with solid momentum and visibility entering the second quarter. As a result, the Company has increased previously issued annual revenue and earnings guidance. David Hershberg, Chairman and CEO of the Company, indicated, "In particular, we are excited to have been selected for inclusion in two significant Indefinite Delivery / Indefinite Quantity (IDIQ) U.S. Government contract vehicles: 1) The Department of The Navy Space and Naval Warfare Systems Center to provide portable satellite communications terminals and 2) The U.S. Army Worldwide Satellite Systems $5 billion program for the next five years to provide government agencies with turnkey commercial satellite systems and associated support services for satellite terminals, including all hardware, software, services and data to operate terminals. The Company is now included in five IDIQ programs and on a GSA schedule. These contracting vehicles are critical to Globecomm's continued success in the government marketplace." During the quarter, Globecomm also announced a significant contract award with a major media production and entertainment company. The Company is currently expanding the Long Island International Teleport and designing and constructing a state-of-the-art media operations center for the customer inside the Globecomm world headquarters. "This is a critical contract in positioning Globecomm as an evolving leader in the satellite-based broadcasting marketplace," said Mr. Hershberg. He concluded, "The first quarter business mix included projects with greater gross margins than traditionally experienced by the Company. With that said, the revenue level achieved in the first quarter was in line with internal expectations. The future is bright for the Company and we look forward to an exciting year." Folks This Is My Play Of The Week!
Well folks as promised- I'm in- although in a small way (500 shares). I have a wiggy feeling on the market so it's with some chagrin I will be holding this overnight for earnings. I could get smoked. We shall see...
I'll follow ya SI - just got filled for 500 @ 10.95. Being a part of an old LI family (Amityville), I'll support my neighbor and roll the dice on the earnings. I'm also playing the CSCO earnings tonight. I have a feeling that something will get smoked that's for sure.
That's right where I got it Topdown. When I add up all the recent contract wins I just don't see how GCOM can't guide higher... I had a firewood delivery today to my apartment so I will knock on wood as I say that!
so your thinking oversold ? last week most of my stocks were green going into earning... this week is different....even CSCO is red. Good Luck with this....!
Alright Earnings In And I Don't See It Moving After Hours! OUTRAGE ALERT* Folks read this earnings report- it's the cleanest one I've read yet in my book! I'm not kidding, these guys are for real I'm throwing a damn PE on them I'm guessing 30 something... Globecomm Systems Announces Record Revenues for Fiscal 2007 Second Quarter and Six-Month Financial Results Tuesday February 6, 4:10 pm ET -- Earnings Per Diluted Share increased 83% to $0.11 in the Second Quarter of Fiscal 2007 as Compared to Earnings Per Diluted Share of $0.06 in the Second Quarter of Fiscal 2006 -- Revenues Increased 22.8 % in the Second Quarter of Fiscal 2007 as Compared to the Second Quarter of Fiscal 2006 HAUPPAUGE, N.Y.--(BUSINESS WIRE)--Globecomm Systems Inc. (NASDAQ: GCOM - News), a global provider of end-to-end satellite-based communications solutions, today announced financial results for the Company's fiscal 2007 second quarter and six-months ended December 31, 2006. ADVERTISEMENT Fiscal Year 2007 Second Quarter Results Revenues for the Company's fiscal 2007 second quarter increased 22.8% to a record $36.7 million, compared to $29.9 million in the same period last year. Revenues from ground segment systems, networks and enterprise solutions increased by 25.4% to $28.4 million driven by continued success in the government marketplace. Revenues from data communications services increased 14.5% to $8.4 million revenue mainly in life cycle support services in the government marketplace. Overall, revenues in the government marketplace as a percentage of total revenues increased to 62% for the three-months ended December 31, 2006 from 56% in the same period last year. Net income for the Company's fiscal 2007 second quarter increased 92.7% to $1.8 million, or $0.11 per diluted share, compared to net income of $0.9 million, or $0.06 per diluted share, in the second quarter of fiscal 2006. The increased revenue and increase in gross margin percentage drove the increase in net income. The increase in gross margin was mainly driven by the ground segment systems, networks and enterprise solutions' pre-engineered systems product line in the government marketplace. Fiscal Year 2007 Six-Month Results Revenues for the Company's fiscal 2007 six-months ended December 31, 2006 increased 5.0% to a record $62.4 million, compared to $59.5 million in the same period last year. The increase in revenues was driven by a 19.9% increase in revenues by the data communications services business segment primarily driven by increased life cycle support services, along with an increase in telephony service revenue. Revenue for ground segment systems, networks and enterprise solutions remained relatively consistent compared to the same period last year. Overall, revenues in the government marketplace as a percentage of total revenues increased to 62% for the six-months ended December 31, 2006 from 52% in the same period last year. Net income for the Company's first six-months of fiscal 2007 increased 55.5% to $2.7 million, or $0.17 per diluted share, compared to net income of $1.8 million, or $0.11 per diluted share, in the same period last year. The increased revenue and an increase in the overall gross margin percentage of the Company drove the increase in net income. The increase in gross margin is due to increased revenue in the government marketplace in both the life cycle support services and pre-engineered systems product line in the data communications services and ground segment systems, networks and enterprise solutions business segments, respectively. Management's Review of Results David Hershberg, Chairman and CEO of the Company, said, "Globecomm continues to gain traction in the government marketplace in both the ground segment systems, networks and enterprise solutions, and the data communications services business segments, which is resulting from the ability to provide turnkey systems and related services under one roof. For example, in the second quarter, the Company announced a multi-year life cycle support services contract from Harris Corporation to sustain the Federal Aviation Administration FTI-SAT program by supporting equipment previously deployed by Globecomm at forty-three sites across the United States. We are increasingly seeing requests for these types of turnkey services and have the infrastructure in place to rapidly respond to such requirements." Mr. Hershberg continued, "During the quarter, the Company received a contract for multi-band Auto-Explorer terminals, which allow for ease of operation on both commercial and military satellites. This is a very important contract as it sets the foundation for the development of future multi-band terminals, including Ka-Band to support communications to and from the next generation of military satellites slated for launch in the next eighteen months. Additionally, the Company received a follow-on contract from NATO to provide additional systems in support of a multi-national global positioning satellite-based friendly force tracking system (FTS). We are hopeful that there will be additional FTS requirements in the future and look to expand the Company's current relationship with NATO." Management's Current Expectations for the Fiscal Year Ending June 30, 2007 Globecomm continues to expect record consolidated revenues for fiscal year 2007 in excess of $145 million, or at least a 15% increase over fiscal 2006, and record earnings per diluted share in excess of $0.45 per share, representing at least a 67% increase over fiscal 2006 earnings per diluted share, excluding a net non-recurring gain in fiscal 2006 in the amount of $0.02 of earnings per diluted share. > Damn. Common. Maybe there's not enough action or something... I hate afterhours. Geezs if there's a trading goddess in the world shine they light on thee This OUGHT TO BE UP $1.70. I'm hitting the booze and the Afghani.
I'm looking at the pre and I see no trading on GCOM. Last night may have been a misprint (I hope) I'm eyeing that 10:00 am conference call- I'd say by noon we are looking at $11.70 but it's just a guess at this point.
It finally moved a bit the last hour of trading. I agree with you Stoney, this should be trading over 12. Just not enough eyes on it. Even today, the day after earnings, it only traded 147K shares or so. I snagged some more for my IRA today, but I'm gonna dump the shares in my trading account later this week. It seems like a great long-term hold, but not enough action for trading. I especially like how they are positioned for IPTV - That is the future.
Topdown I was thinking about doing the same thing except I don't have an IRA! My wife does though.... I have a very good feeling about this stock and lets give it a day or two here before you switch out. I totally agree it's an eyeball issue... as well as Globalstar (similar sounding name) crashing yesterday I'm sure did not help. The Q2 contracts are really HUGE for this company a couple follow-onns and people will no longer be able to ignore this little powerhouse. In the summer I take a house in Fire Island for July & August weekends- I might just swing by GCOM's building and give them a shout out or kick in the pants whatever management deserves at the time! The main thing is (1) we took a risk on earnings and did not get killed (2) we are actually positioned in a very interesting company (3) If this closes out the week at $12.10 it's going to look pretty good in the paper....
Down 1% today - Makes absolutely no sense. I got 1K shares in my IRA for long term and on Stoney's suggestion I will hold on to the shares in my trading account for a few more days. Looks like it has established a bottom at around $11, but IT BETTER GET TO 12 SOON (I yell at my computer screen). Stoney, you confuse me about your Fire Island comment. In the same paragraph you talk about your "wife". I know F.I. used to be a haven for those in "alternative lifestyles". I haven't been up there in over 20 years so maybe things have changed? As a kid I spent many a summer day on the beaches of Robert Moses Park and my uncle always spent the weekends on his boat on Gilgo. Good memories. My Grandfather used to tell stories about taking a row boat to F.I. to fish and camp out there when he was a kid (before there was a bridge).