What's Got the Bulls so Excited? SUPG, FSIN, DEER
SuperGen (SUPG) Gains Nearly 10% in 2-Months; Fushi Copperweld (FSIN) Well Positioned as Cables Connect China; Deer Consumer Products (DEER) Gains Over 27% in 10-Weeks.
Trends, Observations, and Exclusive Opinion
Three SmallCaps Taking the Markets by Storm
SUPG: Management Spent Sept on the Road Talking with Investors
FSIN: Gets ‘Market Outperform’ Initial Coverage from Researchers
DEER: Co Mgmt On the Road in Sept with Wells Fargo's Sales Force
First up this morning we have SuperGen Inc., (SUPG) http://www.supergen.com/ currently trading in the $2.32 range. SUPG has a 52-week high of $3.80 set on 04-15-10 with current trailing twelve month revenues of $46+ million and a positive ttm diluted EPS of +$0.15. SUPG has $0 debt. On Aug 11 when SUPG was trading in the $2.11 range, I wrote that the Co was a ‘Buy on the Dips’ consideration for me, partially based on its strong Q2 turnaround. SUPG has gained 9.95% since then, but is well-off its high and I’m sticking with that earlier consideration for the time being. I like that SUPG mangement was at three different conferences/forums in Sept talking to investors and colleagues. SUPG develops therapies to treat patients with cancer. SUPG products in research and development include Amuvatinib, a multi-targeted Tyrosine Kinase Inhibitor that is specific for mutant forms of c-kit, PDGFRa, and FLT3; SGI-1776Pim Kinase Inhibitor, a novel, orally administered, small molecule anticancer compound that blocks the pro-survival activity of Pim kinases, allowing these potentially malignant cells to self-abort; and the SGI-110DNMT1 inhibitor that is in pre-clinical development stage.
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Next up this morning we have Fushi Copperweld Inc., (FSIN) http://www.fushicopperweld.com/ currently trading in the $9.56 range. FSIN has a 52-week high of $12.94 set on 04-09-10 with current trailing twelve month revenues of $227+ million and a positive ttm diluted EPS of +$1.22. I like those earnings. I also like that FSIN has only $187k in debt and $73+ million in cash. I wrote on FSIN a long time ago and thought I’d revisit the Co. FSIN makes and sells bimetallic wire products, principally copper-clad aluminum (CCA) and copper-clad steel (CCS). Its CCA and CCS conductors are used as a substitute for solid copper conductors in applications where specific electrical or physical attributes are necessary. FSIN primarily serves end-user applications in the telecommunication, electrical utility, and transportation markets. FSIN sales are pimarily in North America, Europe, North Africa, the Middle East, and China. FSIN is based in Beijing, China. Earlier this month Rodman and Renshaw initiated coverage on FSIN with a ‘market outperform’ rating. $3 and change off its 52-week high, FSIN would be a strong ‘Buy on the Dips’ consideration for me.
Finally this morning we have Deer Consumer Products Inc., (DEER) http://www.deerinc.com/ currently trading in the $10.97 range. DEER has a 52-week high of $18.97 set on 11-23-09 with current trailing twelve month revenues of $117+ million and a positive, ttm diluted EPS of +$0.68. I like those earnings. On Aug 31 when DEER was trading in the $7.99 range, I wrote that at $11 off its high, DEER was a ‘Buy on the Dips’ consideration for me. DEER has gained 37.29% since then. The Co remains 8 off its high and I’m sticking with that earlier consideration. DEER makes and sells home and kitchen electronic appliances in China. Its ‘brand’ is a household name; like Black and Decker is in the U.S. In late-Sept DEER pulled off a feat. The Co initiated a week long non-deal road show across multiple U.S. cities through Wells Fargo Securities. DEER’s senior management traveled with Wells Fargo's sales force; meeting with their investment clients. The well received meetings were with some of the largest U.S. mutual funds and other large institutional investors.
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Dennis Askew is a paid contributor of the SmallCap Network. Dennis Askew's personal holdings should be disclosed above. You can also view SmallCap Network's complete disclaimer and disclosure.
