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  • SIGA Technologies: Uncovering Hidden Value In Bankruptcy
     • Wed, Feb. 11 SIGA 46 Comments

    Summary

    • After an $195 million unfavorable court ruling against SIGA, the company's stock has been slammed and SIGA has filed for relief under the Chapter 11 bankruptcy code.
    • Investors are most likely selling on panic and ignoring that SIGA's bankruptcy is non-insolvency driven, and primarily filed to allow an orderly appeal against PharmAthene.
    • With only $2.5 million of outstanding debt, $110 million of cash on the balance sheet, and another $165 million expected, SIGA's equity should remain unscathed in a worst-case scenario.
    • As the government's primary supplier of the Smallpox antiviral, SIGA has tremendous upside as it looks to renew its contract sometime over the next year or two.
  • Knight Therapeutics: Minimal Downside For This Misunderstood Company
    Thu, Jan. 29 KHTRF 4 Comments

    Summary

    • Knight Therapeutics is a spin-off run by former Paladin Labs CEO, Jonathan Goodman, who grew Paladin's share price 100x over approximately 20 years.
    • With Mr. Goodman's excellent track record, Knight has the potential to increase market value by many multiples over the next few years as it acquires and licenses various pharma products.
    • Downside risk is minimal, with Knight trading at only a 5% premium to its downside valuation.
    • Due to the large volume of transactions completed after the third quarter, many screeners do not accurately reflect Knight's current value.
  • PDF Solutions: More Room To Run Following Recent Stock Appreciation
    Wed, Jan. 21 PDFS Comment!

    Summary

    • As predicted it my previous article, PDF Solutions was able to re-sign its two problematic contracts relatively quickly, resulting in a 30% jump in the stock in one day.
    • The stock still has more then 65% upside as its financials should begin to re-calibrate starting with its next earnings report on Feb 5th.
    • Investor pessimism should begin to disappear as the company continues to exceed expectations.
  • PDF Solutions: Potential For A Quick Double Following Market Overreaction
       • Nov. 18, 2014 PDFS 4 Comments

    Summary

    • Down 50% over the past year, PDF Solutions has the capability to double in the next 12 to 18 months.
    • The company is well positioned to take advantage of the growing gap between fabless providers and foundries.
    • PDFS presents a very asymmetric investment opportunity with only 4% downside in a worst case scenario.
  • Ascent Capital: Industry Consolidation, Low Valuation, And Potential Acquisition Candidate Warrant 65%+ Upside
       • Oct. 3, 2014 ASCMA 4 Comments

    Summary

    • Down 30% from its 52-week high, investors are underestimating the earnings power of this free cash flow machine whose financials are obscured by accounting.
    • Industry consolidation and the growth of the smart home provide numerous growth opportunities for this asset-light company.
    • Management could be setting the company up for a sale to a large cable company looking to expand its offerings into security and home automation.
    • Trading at a 32% discount to ADT, and only 10.7x of my 2015 steady-state free cash flow estimate, shares could hit over $100.
  • Wabtec Corporation: Growing Faster Than The Market Rally
    Mar. 21, 2013 WAB 4 Comments
  • Don't Buy Sony Over The PS4 Hype
    Feb. 22, 2013 SNE 6 Comments
  • Lockheed Martin: An Excellent Long-Term Dividend Play
    Jan. 31, 2013 LMT 26 Comments
  • Why Western Union Will Destroy Its Competition
    Jan. 28, 2013 WU 17 Comments
  • Pitney Bowes Is A Ticking Time Bomb
    Jan. 15, 2013 PBI 52 Comments
  • EZCorp Filled With Value
    Jan. 14, 2013 EZPW 28 Comments
  • Coach: Undervalued And Growing Rapidly
    Jan. 8, 2013 COH 34 Comments
  • Google's 1 Serious Problem
    Jan. 4, 2013 GOOG 8 Comments
  • Gentex Corp: Undervalued With Huge Potential
    Jan. 2, 2013 GNTX 20 Comments
  • Berkshire Hathaway: Undervalued And Ready To Jump
    Dec. 31, 2012 BRK.A, BRK.B 44 Comments