ABAT - $3.50 purchase price. Today @ $4.19 but trending up nicely. This seems like an easy pick for me.
$9 1 year target price, which would be 28x an estimate of $0.32 for the year. Given the 100% Y-Y growth, 8 cent Q1 per earnings result, etc I could make the case for a higher price but, until I hear about expanded production capacity, which would likely crimp the EPS growth, I'll keep my estimates conservative. It would be dumb to imply a higher multiple given that I know additional capacity will likely be purchased/added, which would hurt EPS ...
2) Strong EPS Growth
3) Very strong backlog - Likely going to add capacity as well to fuel next stage of top-line growth
Revenues for the first quarter ended March 31, 2008 were a record $10,031,969 compared to $5,363,923 for the same 2007 period, an increase of approximately 87%. Advanced Battery Technologies realized net income of $3,848,478, representing $.08 per share, after $629,445 in taxes for the quarter ended March 31, 2008. For the quarter ended March 31, 2007, the Company's pre-tax income of $1,338,036 was identical to its net income, representing $.03 per share. The 2008 quarter represents about a 187% gain in net profit.
Mr. Fu added, "Our production capacity at current normal operating hours is about $45 million per year. With a backlog of approximately $57 million for delivery throughout the next 21 months we are confident we can continue to meet our aggressive targets going forward, while still developing company favorable options to increase added production capacity. This growth reflects the continued demand for our advanced PLI battery technologies and related products. In addition, we are optimistic for the balance of 2008 and beyond.
3) Hybrid Motorcycles. If you are going to be ECO friendly this is the route to go. HUGE export opportunity + growth opportunity throughout Asian economies.
Sales growth was Great!
Revenues for the third quarter of fiscal 2008 were $18.7 million, up 61.3% from $11.6 million in the third quarter last year. The increase in sales revenue is due to increased production and exports of low carbon hard-rolled steel coils and subcontracting income during the quarter.
This stock is trading its entire float of shares day in and day out. Anyone short the stock is getting crushed as the stock is getting more and more volume and going up on that volume. The weekly chart below indicates that the RSI can still go up for a bit before it is overbought so I will wait to sell any shares for the time being. Part of me wants to lock in some profits around $12 and let the stupidity decline but I will determine what I am going to do in a few days since the momentum on this is BEYOND amazing right now. I'll play it by ear. I expect the stock to take a "breather" before going higher into the $12, possibly $17 area.