On Liquidity in Small Cap Value Stocks – Why it is Seldom a Problem?

Small cap stocks generally have a liquidity problem. This is one of the reasons why most investors stay away from small cap stocks. This is also one of the reasons why good undervalued stocks are easier to find in this asset class. The market for highly liquid stocks is also normally highly efficient. The price… [Read More]

Portfolio Company $NEI Acquired at 85.8% Premium to Last Close

The saga of Network Engines (NEI) comes to an end with the agreement today with Unicom Systems to acquire the company for $63.2 m in an all cash deal and take it private. The price offered at $1.45/share is 85.8% above the closing price of NEI yesterday at $0.78/share. I recommended and purchased Network Engines… [Read More]

Portfolio Company Getting Acquired at 48% Premium

Tii Network Technologies (TIII) is a small communications company that accepted an offer of $33 m from Kelta Inc on Monday. This offer values company’s shares at $2.15/share which is a 48% premium to the stock’s closing price on Friday. Based on the assets, I feel that this acquisition is a good price for Kelta… [Read More]

Exited $UVV: 10.94% Gain in 8 Months

I initially purchased UVV (Universal Corp) in the Value Stock Guide portfolio on Oct 13, 2011 at an average cost of $41.03/share and sold out of the entire position on May 10, 2012 at $45.72/share. Including commissions, the average capital gains amounted to 10.94%. UVV has also paid $0.98/share in dividends in the interim. Including… [Read More]

Westell Technologies ($WSTL) Stock is Trading Close to Its Cash Value

Westell Technologies stock (WSTL) can be bought for close to the cash on its books. With a profitable business, this net-net stock can be a great undervalued investment for patient investor. The catalyst to move this stock forward will be the management’s strategy to put its cash to use to grow its OSP segment either organically or through acquisitions.

VSE Corp ($VSEC) Stock – Cheap: Yes, Undervalued: Perhaps Not

rev-eps

VSE Corp (VSEC) provides engineering and consulting services to the Federal government in the USA, primarily to the Department of Defense and the US Postal Service. These include maintenance of defense equipment, naval ships, logistics support, field engineering, IT support and consulting, and foreign military sales support. The company was founded in 1959 and is… [Read More]