OneSpan Inc. (OSPN)

Our PAST TOP PICK with OSPN has triggered its stop at $12.  To remain disciplined, we recommend covering the position at this time.  This will result in a net investment loss of 21%, when combined with our previous guidance.    

We reiterate OSPN, developer of financial platforms providing security for electronic transactions with operations in Europe and the Middle East, as a TOP PICK.  It trades at 14x earnings, 2.5x book and supports a ROE of 19%.  We recommend trailing up the stop (from $10.00) to $12.00, looking to achieve $19.50 -- upside potential of 20%.  Yield 2.2%

This Boston based financial platform provider focuses on providing security services for electronic transactions and has diversified operations including Europe and the Middle East.  It trades at 10x earnings, 2.3x book and supports a ROE of 28%.  Recently reported earnings showed growing cash reserves on strong free cash flow, thanks to a 22% increase in subscriptions and and similar increase on EPS.  We recommend setting a stop-loss at $10.00, looking to achieve $19.50 -- upside potential of 32%.  Yield 0%

OSPN provides digital encryption applications for authentication purposes.  It is actively added quantum-resistant encoding, protecting financial and government customers from the highest level of hacking.  It trades at 10x earnings, 2.5x book and supports a 28% ROE.  We recommend setting a stop-loss at $11, looking to achieve $19 -- upside potential of 24%.  Yield 1.6%