We are still very early in the trading day, but KSW (NASDAQ:KSW) is flashing signs of emerging from its 6 week long consolidation in the high 6’s. The stock touched a new all time high of $7.75 on volume of over 31k shares early this morning, which is more than the average daily volume of the stock in recent weeks. After a long wait, it appears that investors are beginning to recognize the value that KSW’s stock represents, and the stock is finding some legs despite a lack of news.
As I’ve written in the past, I continue to believe that KSW is undervalued, especially considering its very strong cash position, impressive history of revenue and profit growth, and its $100 million backlog. Based on the signs of increasing investor interest in the stock, I am doubling my position in KSW, and I believe the stock has plenty of room to move higher from a valuation standpoint.