Socket Mobile: A Growth Stock Priced As A Value Play (Plus Management Interview)

Discussion in 'Stocks' started by Nicholas Bodnar, Apr 11, 2016.

  1. With the recent blow-out quarter, Socket Mobile's stock price has ran up. However, on a valuation perspective, the company is still cheap.

    Topline growth is hidden by a declining legacy business. Going forward, investors will start to see the company's revenues grow.

    The recent swing into profitability has a high probabilistic chance of continuing. High fixed costs are gone and FCF will start to churn.

    A growth stock with a P/E ratio of ~10.00x suggests the market price is irrational.

    Management interview.

    Full report can be found here

    http://seekingalpha.com/article/396...k-priced-value-play-plus-management-interview
     
  2. nursebee

    nursebee

    Nicholas, What is your investing thesis such that you have interest in this company?
    Why this company and not others?
    What is your track record investing (not writing)?