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American Electric Technologies (NASDAQ:AETI) is a global provider of power delivery solutions to traditional and renewable energy industries. Founded in 1946 with 310 employees, AETI's mission is to empower traditional and renewable energy companies to provide the world's expanding energy requirements. Their power delivery infrastructure solutions include products, construction and services to generate, distribute and utilize electrical power.

"Just as Cisco Systems (NASDAQ: CSCO) makes the network infrastructure solutions (switches and routers) that enables the performance and reliability of the internet industry, AETI makes the power infrastructure solutions (switchgear and inverters) that enables the performance and reliability of the energy industry." Corporate website

Customers include oil and gas companies. Furthermore, other areas are traditional power generation, transmission, co-generation, alternative energy industry, including wind, geothermal, biomass and solar.

YTD negative price performance of -38.38%: this may be viewed as an opportunity. Additionally, AETI's operations continue to outperform their industry peers. Moreover, revenue for the fiscal year ended December 31, 2013 reported on March 4, 2014 was up 21% from 2012. Income improved 480% to report NI of 2.50 Million. Lastly, fourth quarter revenues were 18.10M up YOY 21% and 3% from Q3 2013 record revenues.

Additional reasons to consider AETI:

Growing GP% compared to 2008 to 2012, increasing ROIC with a current value of 17.43%, increasing sales YOY change = 20.60%, YTD stock performance of -38%, stable share count with a clean capital structure, high insider ownership of 48.00%, strong financial position, F score of 7 indicating a solid company.

Possible Negatives, insider selling, debt increasing although manageable:

Market Cap: 49.25M Enterprise Value: 49.10M

Price/Sales: 0.72 , Price/Book : 1.86

Enterprise Value/Revenue: 0.72 , Enterprise Value/EBITDA: 16.47

Profit Margin: 4.97% , Operating Margin: 3.04%

Return on Assets: 2.89% , Return on Equity: 11.78%

Revenue: 68.30M , Revenue Per Share: 8.52

Qtrly Revenue Growth: 20.60% , Gross Profit: 11.82M

EBITDA: 2.98M

Total Cash: 1.73M , Total Cash Per Share: 0.22

Total Debt: 1.57M

Current Ratio : 2.42 , Book Value Per Share:3.30

52-Week Change: -0.81%

52-Week High: 11.21 52-Week Low (May 12, 2014): 5.67

Shares Outstanding: 8.01M , Float: 4.82M

% Held by Insiders: 48.01%,% Held by Institutions: 9.20%

Short % of Float: 0.90%

Owned Real Estate;

Beaumont, Texas T&S manufacturing and storage: 9 Acres and 85,000 square feet

Bay St. Louis, Mississippi , M&I manufacturing: 3 Acres, 11,000 square feet

Keystone Heights, Florida AAT offices and manufacturing: 9.70 Acres, 67,500 square feet

Xian, Shaanxi, China BOMAY Electric Industries offices and manufacturing: 4.1 acres 100,000 square feet

Disclosure: No Position in AETI

Editor's Note: This article covers one or more stocks 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.

Source: Micro Cap Value With Strong Growth: American Electric Technologies, Inc