From a financial viewpoint, ArmorGroup can be seen as a good deal. At the time of the contract announcement its stock was the equivalent of $1.03 per share, just below the net tangible asset value of $1.06 per share, and well below the stated book value of $1.47. Its dividend yield is more than 4%.
That's wrong. The deal the author refers to is an extension of a contract in Afghanistan announced earlier this month. The stock price, net tangible asset value, stated book value and dividend yield mentioned were true when I recommended the stock last September. But they have not been the case for all of 2007, much less at the time of the contract announcement.