John Leonard, CFA
Special situations, micro-cap, contrarian, CFA

Micronet Enertec Technologies Is Attractive As The Valuation Has Not Caught Up With The Emerging Growth Story

(Editors' Note: This article covers a stock trading at less than $1 per share and/or with less than a $100 million market cap. Please be aware of the risks associated with these stocks.)

Key takeaways

  • Micronet Enertec Technologies (NASDAQ:MICT) trades at a mid single-digit EBITDA multiple despite strong growth prospects as the market has been slow to re-price the stock in light of a transformative acquisition.
  • As a result, MICT is still being valued as a low margin defense supplier rather than a higher margin and faster growing provider to the mobile resource management market.
  • The downside is limited by the high insider ownership and net cash position that represents 30% of the market cap.

Company overview


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