Q: Please comments on the earning. Is it considering cheap valuation to add at current price level?
thanks!
thanks!
5i Research Answer:
EPS of 8c mostly matched estimates (8.2c); revenue of $196M was 1% better than expected. EBITDA of $40.4M was 11.5% better. Results were good, and guidance was raised. MDA also won a very large contract which adds significantly to earnings/revenue visibility. The stock has had a very big run; at 28X earnings it cannot be called cheap, but we think momentum can continue. We can't comment on position size but think it is buyable for aggressive investors, though we would not expect the same pace as recent gains.