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Stockchase Opinions

Benj GallanderMagnetek Inc.MAGTOP PICKJul 15, 2011

Drive systems for elevators, leading in their field. Got a hit when recession was on. 2 competitors, much larger are in same geographical location.
$1.87

Stock price when the opinion was issued

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(Top Pick July 15/11, Down 12.56%) Sold it when they announced consolidation. Zero debt. Beautiful company.
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(A Top Pick Jan 4/11. Down 14.51%.) When they announced a stock consolidation, he decided to get out and did so at $10.20.
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Just sold his holdings last month when they talked about a stock consolidation. Usually, after a stock consolidation, the stock goes down and overall they are bad for investors.
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Slight possibility that it could be de-listed. Market capitalization is under $50M ($43M). They have until June to get into compliance. He thinks there is a reasonable probability they will be above by June. Backlog has gone up 113% year over year. Revenues rebounded nicely since recession. They have some legal and environmental concerns with companies they sold but gave indemnity.