Bolt Technology Corp.: Small Cap Wonder

May.19.09 | About: Bolt Technology (BOLT)

I was running some stock screens over the weekend to get some new and fresh ideas. One stock that caught my interest was Bolt Technologies (NASDAQ:BOLT). Perhaps I am a day late with this pick, as the stock is up 8% as I write this. Nevertheless...

What I find interesting with Bolt is the balance sheet. The company, with a market cap of $95 - $100 million, has only $4 million in total liablities (as of 3/31/09). For the same period, cash was $24 million and total assets were $68 million. That is impressive.

Bolt is a developer and manufacturer of marine based oilfield services equipment. As we all know, this industry is taking a hit b/c of the decline in oil (and subsequently, oil exploration). Yet, the company is still profitable and earning close to $3 million per quarter.

I am not sure how much the decline in energy prices will impact this company. However, I do find this stock compelling simply based on the numbers.

I believe this is an interesting stock to keep on your radar, especially if oil prices keep rising. Please be aware that BOLT is a small cap stock and may be subject to volatility.

Disclosure - I bought 100 shares this morning to keep on my radar.