Monday, April 03, 2006
Dec. 2005 Stock Updates: Part II
12-22-05. Taser Int’l (TASR-$7.20) /$10.42/ 44.72%
BUY. “TASER Device Ends Armed Stand-Off…. Prevents Suicide…. Study Shows No Harm From Shock”—among the recent positive spins being dispensed by the IR Department at the Company.
To date, aggressive litigation defense to protect brand equity has resulted in a total of 12 cases dismissed or defense judgments in the Company’s favor. The 10Q Detective continues to view a continued record of successful litigation defense a key catalyst in driving both sales and the share price higher
Many of Taser’s prospective customers from the Law Enforcement and Corrections markets (core business markets) are showing signs of moving forward again with evaluation and implementation of TASER programs.
In FY ’05, the Company increased R&D spending $776,00, or 91%, to $1.6 million, compared to the prior year. First pay-off to drive incremental sales will be the TASER CAM, an audio-video capture device, which is in the final transition from development into production and is expected to begin shipping in the second quarter of 2006.
Technically, key price support remains at $7.93 per share—the stock’s 200-day moving average.
12-24-05. Nobility Homes (NOBH-$26.20) /$25.37 / 3.16%
NEUTRAL. Performance metrics—like operating margins & ROE—remain positive compared to its peer group, but the 3-5 year growth prospects of the manufacturing housing industry “bore us.” Discontinuing Coverage.
12-27-05. Sirius Satellite (SIRI-$6.99) /$5.06 / 27.61%
SHORT SALE. Higher promotional spending forced the radio broadcaster to post an unexpectedly wide loss this past quarter. Even with the “[Howard] Stern Effect, our readers made a nice three-month gain. CLOSEOUT.
12-29-05. Raser Tech. (RZ-$9.40) /$16.50 / (75.53)%
SHORT SALE. On April 3, 2006, Raser filed for an extension with the SEC for its FY ’05 -10-KSB form, citing corporate need to assess the impact of certain derivative accounting rules on some of its convertible preferred stock. Trailing-twelve month revenue was $0.006 per share—enough said!