Interested in gaining exposure to technology companies? Do you prefer high-growth stocks? Interested in companies with high liquidity? You might be interested in this list.
EPS growth (earnings per share growth) illustrates the growth of earnings per share over time. The 1-Year Expected EPS Growth Rate is an annual growth estimate, where the growth projections are made by analysts, the company or other credible sources.
The Current ratio is a liquidity ratio used to determine a company's financial health. The metric illustrates how easily a firm can pay back its short obligations all at once through current assets. A company that has a current ratio of one or less is generally a liquidity red flag. Now this doesn't mean the company will go bankrupt tomorrow, but it also doesn't bode well for the company, and may indicate that it could have an issue paying back upcoming obligations.
The Quick ratio measures a company's ability to use its cash or assets to extinguish its current liabilities immediately. Quick assets include assets that presumably can be converted to cash at close to their book values. A company with a Quick Ratio of less than 1 cannot currently pay back its current liabilities. The Quick ratio is more conservative than the Current Ratio because it excludes inventory from current assets, since some companies have difficulty turning their inventory into cash. If short-term obligations need to be paid off immediately, sometimes the current ratio would overestimate a company's short-term financial strength. In general, the higher the ratio, the greater the company's liquidity (i.e., the better able to meet current obligations using liquid assets).
We first looked for technology stocks. We next screened for businesses that have high future earnings per share growth forecasts(1-year projected EPS Growth Rate>25%). We next screened for businesses that have strong liquidity (Current Ratio>2)(Quick Ratio>2). We did not screen out any market caps.
Do you think these stocks will trade at a higher valuation? Use our screened list as a starting point for your own analysis.
1) Agilysys Inc. (AGYS)
Agilysys Inc. has a 1-Year Projected Earnings Per Share Growth Rate of 130.30% and Current Ratio of 2.47 and Quick Ratio of 2.27. The short interest was 2.53% as of 05/24/2012. Agilysys, Inc., together with its subsidiaries, provides information technology (IT) solutions to corporate and public-sector customers primarily in North America. It operates in three segments: Hospitality Solutions Group (HSG), Retail Solutions Group (RSG), and Technology Solutions Group (TSG). The HSG segment offers application software and services that streamline management of operations, property, and inventory for customers in the gaming, hotel and resort, cruise lines, food management services, and sports and entertainment markets.
2) Affymetrix Inc. (AFFX)
|Industry:||Scientific & Technical Instruments|
Affymetrix Inc. has a 1-Year Projected Earnings Per Share Growth Rate of 52.20% and Current Ratio of 4.52 and Quick Ratio of 3.67. The short interest was 6.67% as of 05/24/2012. Affymetrix, Inc. engages in the development, manufacture, sale, and servicing of consumables and systems for genetic analysis in the life sciences and clinical healthcare markets primarily in the United States, Europe, Japan.
The company provides integrated GeneChip microarray platform, which includes disposable DNA probe arrays (chips) consisting of nucleic acid sequences, certain reagents for use with the probe arrays, a scanner and other instruments used to process the probe arrays, and software to analyze and manage genomic or genetic information obtained from the probe arrays.
Affymetrix also offers GeneTitan, an instrument system that runs genotyping and gene expression array plates; and GeneAtlas, an instrument for low-to-medium throughput that provides hybridization and array processing with microwell-based labware, as well as a line of multiplex assays to serve the discovery and the validation markets.
3) Acorn Energy, Inc. (ACFN)
Acorn Energy, Inc. has a 1-Year Projected Earnings Per Share Growth Rate of 142.60% and Current Ratio of 5.99 and Quick Ratio of 5.82. The short interest was 1.67% as of 05/24/2012. Acorn Energy, Inc., through its subsidiaries, provides technology driven solutions for energy infrastructure asset management worldwide.
Acorn Energy offers sonar and acoustic related solutions for energy, defense, and commercial markets with a focus on underwater site security for strategic energy installations and other acoustic systems, as well as develops and produces real-time embedded hardware and software.
The company also develops and markets remote monitoring systems to electric utilities and industrial facilities, which are used in a range of utility applications, including outage management, power quality monitoring, system planning, trouble shooting and proactive maintenance, and condition monitoring; and provides the intelligence to transmission and distribution network operators.
4) Altera Corp. (ALTR)
|Industry:||Semiconductor - Specialized|
Altera Corp. has a 1-Year Projected Earnings Per Share Growth Rate of 26.90% and Current Ratio of 4.07 and Quick Ratio of 3.96. The short interest was 1.85% as of 05/24/2012. Altera Corporation, a semiconductor company, designs, manufactures, and markets programmable logic devices (PLD), HardCopy application-specific integrated circuit (ASIC) devices, pre-defined design building blocks, and associated development tools.
The company's PLDs consist of field-programmable gate arrays (FPGAs) and complex programmable logic devices (CPLDs), which are standard semiconductor integrated circuits or chips to perform desired logic functions in the electronic systems; and HardCopy structured ASIC devices that comprise transition customer designs from high-density FPGAs to low-cost non-programmable implementations for volume production.
Altera's products primarily include Stratix series high-end, system-level FPGAs; Arria series mid-range transceiver and embedded processor equipped FPGAs; Cyclone series low-cost transceiver and embedded processor equipped FPGAs; MAX series CPLDs; and HardCopy ASICs. The company's products also comprise intellectual property cores in hard and soft forms that are pre-verified building blocks that execute system-level functions; and development tools consisting primarily of the Quartus II software for design entry, design compilation, design verification, and device programming.
5) Applied Micro Circuits Corp. (AMCC)
|Industry:||Semiconductor - Integrated Circuits|
Applied Micro Circuits Corp. has a 1-Year Projected Earnings Per Share Growth Rate of 121.30% and Current Ratio of 2.85 and Quick Ratio of 2.50. The short interest was 7.07% as of 05/24/2012. Applied Micro Circuits Corporation, a semiconductor company, together with its subsidiaries, designs, develops, markets, sells, and supports integrated circuits for processing, transporting, and storing information.
The company offers physical layer products, which transmit and receive signals in a high-speed serial format, and convert high-speed serial formats to low-speed parallel formats and vice versa; framer and mapper products that transmit and receive signals to and from the physical layer in a parallel format are used in high-speed optical network infrastructure equipment; and embedded processor products for wireless infrastructure, wireless LAN, residential, datacenters, and enterprises.
The company also offers packet processor ICs, which receive and transmit signals to and from the framing layer and perform the processing of packet and cell headers; and cell switching products that include packet routing switch fabric devices and queuing managers; and printed circuit board assemblies to OEMs. Its products are used in wireline and wireless communications equipment, such as wireless access points, wireless base stations, multi-function printers, enterprise and edge switches, blade servers, storage systems, gateways, core switches, routers, network attached storage, and transport platforms.
6) Anadigics, Inc. (ANAD)
|Industry:||Semiconductor - Integrated Circuits|
Anadigics, Inc. has a 1-Year Projected Earnings Per Share Growth Rate of 39.20% and Current Ratio of 4.71 and Quick Ratio of 3.76. The short interest was 3.42% as of 05/24/2012. ANADIGICS, Inc. provides semiconductor solutions to the broadband wireless and wireline communications markets. Its products include radio frequency (RF) power amplifiers (PAs), tuner integrated circuits, active splitters, line amplifiers, and other components.
The company's RF power amplifier products enable mobile handsets, datacards, and other devices to access third and fourth generation (3G and 4G) wireless networks utilizing international standards, including long term evolution (LTE), wideband code division multiple access (WCDMA), high speed packet access (HSPA), code division multiple access (CDMA), evolution data optimized (EVDO), and worldwide interoperability for microwave access (WiMAX).
7) Advanced Energy Industries, Inc. (AEIS)
Advanced Energy Industries, Inc. has a 1-Year Projected Earnings Per Share Growth Rate of 63.01% and Current Ratio of 4.73 and Quick Ratio of 3.67. The short interest was 5.39% as of 05/24/2012. Advanced Energy Industries, Inc., together with its subsidiaries, designs, manufactures, sells, and supports power conversion products that transform power into various usable forms.
The company offers thin-film deposition power conversion systems, including direct current (DC), pulsed DC mid frequency, and radio frequency power supplies, as well as matching networks and RF instrumentation; and thermal instrumentation products that provide temperature measurement solutions for applications in which time-temperature cycles affect material properties, productivity, and yield.
The company also offers solar power inverters, which provide a transformer-based or transformerless grid-tie photovoltaic (PV) solution to convert renewable solar power into electrical power, as well as integrated monitoring and performance measurement of PV installations.
8) ADTRAN Inc. (ADTN)
ADTRAN Inc. has a 1-Year Projected Earnings Per Share Growth Rate of 41.51% and Current Ratio of 5.50 and Quick Ratio of 4.16. The short interest was 9.52% as of 05/24/2012. ADTRAN, Inc. designs, manufactures, markets, and services communications network solutions that enable voice, data, video, and Internet communications across wireline and wireless networks worldwide.
The company's Carrier Networks division provides fiber and copper-based solutions for service providers to deliver voice, data, and video services to customers' premises and mobile network cell sites. Its products enable services, such as voice, VoIP, IP television, RF video, high speed Internet access, and data services based upon Ethernet, frame relay, TDM, and ATM networks, connecting the network with user components, such as switches, routers, gateways, integrated access devices (IADs), private branch exchanges (PBXs), and telephone key systems.
*Company profiles were sourced from Finviz. Financial data was sourced from Yahoo Finance.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.