Morning - I have been on this board, reading, for almost six months or so and really enjoy the conversation (and very glad Fools stepped up to squash the political thread).
I wanted to bring NHTC to folks attention (I do not have any position). It is a stock that Saul and I discussed, off board, back in March and has subsequently posted continuing strong growth, margins, income, etc.
A fool posted a very nice summary of its business last July:
In the last full year comparison (2014 vs. 2013):
Rev: $124M versus $52M
Op Income: $20.8 vs. $4.2
Net Income: $20.4 (1.61 per share) vs. $4.1 (.36 per).
In Q1 of this year, it continued it’s growth and income trajectory captured here:
Rev: $40.7 vs. $23M (76%)
Op Income: $6.9M vs. $3.1M (122%)
Net Income: $6.7M (.54 ps) vs. $3.1M (.26)
Total Distributors: up 14% at 62,010
Upped Dividend 50% to .03 (still small dividend but nice sign they continue to pay and increase)
Announced $5M buyback - need to remember announce versus actual but another good sign.
In the Fool note there were two red flags mentioned:
- OTC stock - Now - back in Feb 2015 moved to Nasdaq
- Liquidity, avg in July 2104 was $230k, now $325k. Still small but moving in right direction.
Mgmt Team - primarily located in Dallas, Tx. CEO and CFO have been with company great than 10 years = stability.
Today - has a market cap of roughly $450M with PE of 18 (last March when discussed with Saul it’s PE was roughly 10). However, still really good against growth rates and earnings power.
I welcome additional discussion on this as I continue to do some additional research.