Seeking Alpha
Editor's notes: LRAD's improving business prospects and a high probability of an exceptional fourth quarter make fund manager Valuable Insights think shares offer an asymmetric risk/reward profile. 40% short-term upside.

While we are constantly looking for unique, original stock ideas, we also avidly read those of others. When one appears interesting, we start from scratch, and do our own work on it. Recently, we read about LRAD Corporation (LRAD) in an SA Alpha-Rich article by Devon Shire and a brief follow-up last week. Below, we further elucidate several of his points, including quantifying the potential EPS impact of business wins, and also add a couple of additional ideas that strengthen the bull case. We conclude that shares offer limited near-term downside, but a realistic, short-term path to 40% upside (or $2 a share vs. $1.39 close on Friday), and potential for far greater heights should the...

Only subscribers can access this article, which is part of the PRO research library covering 3,775 different stocks.
Growing numbers of fund managers and other investment professionals subscribe to Seeking Alpha PRO for equity research that is unavailable elsewhere, so they can: