Stockchase Opinions

Robert McWhirter Minacs Worldwide MXW-T PAST TOP PICK Mar 13, 2006

Minacs World is up 38% . It was the subject of a takeover. (Emphasis on was) They like the underline business and it ranks well on the model. The stock is cheap. He continues to own and has added to his position.
$5.300

Stock price when the opinion was issued

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DON'T BUY
Not a fan of the company or management. Could be a while for any rise.
DON'T BUY
Had some difficulties 2 years ago but have now been turning around. by cutting operational costs. Margins have been growing to about 10/11%. Wouldn't buy at this time as it is getting a bit ahead of itself.
WEAK BUY
Provides the guts to the GM OnStar program. Ranks 144 out of 700 in the database. Earnings estimates have been unchanged over the last 90 days. Earnings are expected to grow from $0.29 to $0.50 for '06. The challenge is that this is a grow big or go home induistry. Extremely high concentration with GM which is why it is trading at a low PE.
TOP PICK
A big caveat is that this is a small cap, relatively illiquid company. On a price to cash flow basis it is trading at approximately 5 X trailing. On an EBITDA basis it is approximately 3 X trailing. There is only one analyst that covers this company. Have just announced signing of some new contracts. Operating leverage its huge.
TOP PICK
Minacs Worldwide has been a previous pick. Recommending again because he feels it has lots of opportunity. "It is a good place to hide".
TOP PICK
(A Top Pick Jan 12/06. Up 35%.) Is still cheap. New management is helping to turn around the company. They may also be up for sale.
TOP PICK
(A Top Pick Mar 13/06. Up 7.8%.) Feels there is still a good opportunity for both earnings improvement and a change of ownership. Has recently continued to add to his position. 30/50% of their business is with General Motors (GM-N) but even if GM stubs its toe, contracts with Onstar would continue to be honoured. Would not rush out and put new money in right away.
PAST TOP PICK
(A Top Pick Jan 12/06. Up 41%.) Have announced a buyout for a cash.
PAST TOP PICK
(A Top Pick June 21/06. Up 1% at the time of takeover at $5.50.) A huge concentration of their business was with General Motors (GM-T).