I switched over to FCX. Freeport-McMoran. It is basically 80% copper and 10 % gold and 10 molybdenum.. Goldman is estimating $16 in EPS over the next 4 quarters. Some members on the Yahoo! message board have done some excellent fundamental analysis. FCX took over Phelps Dodge who was a bigger company about 6 months ago maybe a little longer. When the takeover was complete. FCX had about $14 billion in debt. They've already paid that debt drink to $7.7 billion. When FCX is debt free. I think it deserves a PE in at least the 12 range. This gives you an approximated 12 x 16. You know the market thinks ahead this will start to be going through the street's heads. It may be a bumpy ride up but I'll see my FCX target at $192. There's other factors such as Phelps Dodge's costless collars that are limiting EPS now. They were a hedge PD made and are maximizing the cost of copper for 450 million pounds a year at $2. This will rise to the $3.6x whatever it is now that FCX makes. Currently it's a $107 stock. FCX is a CASH COW.
27 on 150.2M vs.24/136M consensus raises 2008 guidance again Source: Stanley. Inc. Stanley Reports Record Financial Results for Second Quarter Fiscal Year 2008Thursday November 1. 4:00 pm ET Quarterly Highlights: - Revenue increases 53% overall. 42% organic(1) to $150.2 million; - Diluted EPS of $0.27; - Bookings total $524.1 million; and - Financial guidance increased for Fiscal Year 2008. ARLINGTON. Va.. Nov. 1 /PRNewswire-FirstCall/ -- Stanley. Inc. (NYSE: SXE - News) a leading provider of systems integration and professional services to the U. S federal government today reported record revenue and earnings for the second quarter of fiscal year 2008 ended September 30. 2007. ADVERTISEMENT (Logo: )Stanley's second quarter fiscal year 2008 revenue and earnings results exceeded the company's prior guidance. Because of new assure awards faster-than-expected ramp-up of contracts awarded in the first and second quarters of fiscal year 2008 and modifications to existing contracts that have exceeded expectations the affiliate has increased its fiscal year 2008 revenue and earnings guidance. Second accommodate Fiscal Year 2008 Results:Revenue for the second quarter ended September 30. 2007 was $150.2 million an change magnitude of 53 percent over year-ago second quarter revenue of $98.2 million. Organic revenue growth was 42 percent. Year-over-year revenue growth for the back up quarter resulted primarily from growth in passport services expansion of systems integration work under the SPAWAR corporate production contract increased work supporting Army RESET programs continued interpret of market share across many of the company's service areas and revenue from the Techrizon acquisition. EBITDA(2) was $13.4 million for the quarter an increase of 57 percent over EBITDA of $8.5 million in the year-ago accommodate. EBITDA margin for the second quarter increased to 8.9 percent from 8.7 percent a year earlier due primarily to continued efficiencies realized in the company's general and administrative infrastructure on a higher revenue base. Operating income was $11.6 million up 69 percent from $6.9 million in the same accommodate of measure fiscal year. Operating margin increased to 7.7 percent from 7.0 percent in the second quarter of fiscal 2007 due to the factors improving EBITDA as well as depreciation and amortization and deferred compensation expenses representing a lower percentage of revenues. Net income for the quarter was $6.3 million or $0.27 per diluted overlap versus $2.4 million or $0.15 per diluted share a year ago. Contract backlog at September 30. 2007 was approximately $1.4 billion up 38 percent from June 30. 2007 and up 43 percent from September 30. 2006. Second Quarter Fiscal Year 2008 and Recent Highlights: -- Second quarter bookings totaled $524.1 million equating to a quarterly book-to-bill ratio of 3.5:1. -- New business awards and additional tasking in the second quarter of fiscal year 2008 included: -- A $267 million five-year contract to operate the U. S. Army's Field Logistics Readiness Centers at Fort Campbell. Ky and Lexington. Ky.; -- A $225 million three-year indefinite delivery indefinite quantity (ID/IQ) contract for the U. S. Citizenship and Immigration Services (USCIS). Department of Homeland Security; -- A $115 million five-year ID/IQ contract to provide technical and analytical give to the U. S. Navy's Commander Operational Test and Evaluation Force; -- A $76 million five-year contract and an $8 million four-year contract to provide IT life cycle give of Standard Army Management Information Systems for the U. S. Army keep back Command (USARC) and to continue support of the USARC Fleet Management System respectively. Both be additional tasking under Stanley's Field and Installation Readiness Support Team (FIRST) prime contract; -- A $17 million five-year contract and an $8 million five-year assure to provide sustainment support and enhancement for the Marine Corps Recruiting Information Support System (MCRISS) and to provide network operations support for the U. S. Marine Corps Recruiting Command (MCRC) respectively; and -- A $4 million. 10-month assure providing the Army Materiel dominate and Army Sustainment Command with the enterprise foundation and information solutions critical to Army RESET programs. -- On October 10. 2007. Stanley announced that it had signed an amendment and restatement of its Senior Revolving ascribe and Term Loan Facility ("Senior Credit Facility"). The new Senior ascribe Facility includes the following provisions: -- A $100 million change magnitude in the revolver to $150 million; -- An accordion feature for change magnitude of the revolver commitment up to an additional $125 million; -- A more favorable pricing grid lowering the applicable margin; -- An extension of the revolver commitment termination date to October 31. 2012; and -- Less restrictive financial covenants and more flexibility for potential future acquisitions. Six-Month Fiscal Year 2008 Results:For the first six months ended September 30. 2007 revenue increased 49 percent to $283.7 million compared with $190.7 million for the same period in the prior fiscal year. Organic revenue growth for the first six months of fiscal year 2008 was 38 percent. EBITDA for the six-month period ended September 30. 2007 increased 54 percent to $25.1 million compared with $16.2 million for the first six months of fiscal year 2007. EBITDA margin for the first six months of fiscal year 2008 was 8.8 percent up from 8.5 percent for the same period a year earlier. Operating income for the first six months of fiscal year 2008 was $21.6 million an increase of 67 percent over operating income of $12.9 million reported a year earlier. Operating margin for the first six months of fiscal year 2008 was 7.6 percent compared with 6.8 percent in the first six months of fiscal year 2007. Operating margin increased year- over-year primarily as a prove of efficiencies realized in the company's general and administrative infrastructure on a higher revenue base as well as depreciation and amortization and deferred compensation expenses representing a lower percentage of revenues. Net income for the first six months of fiscal year 2008 was $11.7 million compared with net income for the same period last year of $4.9 million. The primary reasons for the increase in six-month net income were the factors affecting operating income and lower interest expense. Diluted earnings per share for the first six months of fiscal year 2008 were $0.50 compared with diluted earnings per share of $0.30 for the first six months of fiscal year 2007. Cash flow provided by operations for the six months ended September 30. 2007 was $0.7 million up $7.1 million from the $6.4 million used in operations for the three months ended June 30. 2007. This increase was driven by a change magnitude in days sales outstanding ("DSO") and increased net income. DSO for the quarter was 77 days down from 81 days for the first quarter of fiscal year 2008. Management's Outlook:Based on the company's current backlog and management's estimate as to future tasking and contract awards. Stanley is issuing guidance for the third quarter of fiscal year 2008 and increasing guidance for the beat fiscal year. The table below presents management's current expectations about financial performance for the third quarter and beat fiscal year based on information available at this time: Third Quarter Fiscal Year 2008 Fiscal Year 2008 Ending Ending December 31. 2007 March 31. 2008 Revenue $152 - $162 million $590 - $610 million Diluted EPS $0.27 - $0.29 $1.05 - $1.10 Diluted share count 23.6 - 23.7 million 23.6 - 23.7 million"In the second quarter of fiscal year 2008. Stanley saw growth throughout the value arrange that makes up our systems integration framework of IT solutions," said Phil Nolan. Stanley's head president and CEO. "back up quarter bookings were strong especially from contracts related to logistics and sustainment work for the U. S. Army and Marine Corps."Nolan concluded. "At the midpoint of our fiscal year our visibility into current and recently awarded contracts has further improved and we are able to change magnitude financial guidance. The change magnitude in our FY08 guidance is driven by several recent and significant awards and continued expansion of existing contracts."As previously announced. Stanley management will care a conference call today at 5:00 p m. EDT to discuss fiscal second quarter 2008 results. To obtain the dial-in be please contact Rashida Gofney at (703) 310-3209. The conference label will be broadcast simultaneously on the Investor Relations page of the company's website. Investors are advised to log on to the website at least 15 minutes prior to the call to enter download and install any necessary audio software. An archive of the webcast will be available for one week following the live event. About StanleyStanley (NYSE: SXE - News) is a provider of information technology services and solutions to U. S defense and federal civilian government agencies. Stanley offers its customers systems integration solutions and expertise to support their mission-essential needs at any stage of schedule product development or business lifecycle through five service areas: systems engineering enterprise integration operational logistics business process outsourcing and advanced engineering and technology. Headquartered in Arlington. VA the company has approximately 3,000 employees at over 100 locations in the U. S and worldwide. In 2007. Stanley was recognized by FORTUNEŽ magazine as one of the "100 Best Companies to Work For." Please visit for more information. The above-referenced statements may include forward-looking statements that are made pursuant to the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. Expressions of future goals financial information or reporting and similar expressions reflecting something other than historical fact are intended to determine forward-looking statements but are not the exclusive means of identifying such statements. These forward- looking statements may involve a number of risks and uncertainties which are described in the company's filings with the Securities and Exchange Commission. These risks and uncertainties include: changes in federal government procurement laws regulations policies and budgets; risks relating to contract performance; changes in the competitive environment (including as a result of bid protests); and the other factors discussed in the company's Annual Report on Form 10-K for the year ended March 31. 2007 as filed with the SEC on June 1. 2007 and the Quarterly Report on create 10-Q for the quarter ended June 30. 2007 as filed on August 9. 2007. The assay factors set forth in the Form 10-K and Form 10-Q under the caption "assay Factors" are specifically incorporated by reference into this press release. All forward- looking statements are based on current plans expectations and beliefs and speak only as of the date of such statements. The company undertakes no obligation to publicly modify or revise any forward-looking statements whether as a prove of new information future events or otherwise. (1) Organic revenue growth as presented measures revenue growth adjusted for the impact of acquisitions. Stanley believes that this non-GAAP financial measure provides useful information because it allows investors to exceed assess the underlying growth rate of the company's existing business. This non-GAAP financial measure should not be considered in isolation or as a substitute for measures of performance prepared in accordance with GAAP. Please see the reconciliation delay at the end of this release. (2) EBITDA is a non-GAAP measure that is defined as GAAP net income (loss) plus other expense (income) arouse expense income taxes and depreciation and amortization. We undergo provided EBITDA because we believe it is a commonly used measure of financial performance in comparable companies and is provided to help investors evaluate companies on a consistent basis as well as to enhance an understanding of our operating results. EBITDA should not be construed as either an alternative to net income as an indicator of our operating performance or as an alternative to cash flows as a measure of liquidity. Please refer to the table at the end of this release that reconciles GAAP net income to EBITDA. Condensed Consolidated Statements of Income (unaudited) (in thousands except per share amounts) Three Months Ended Six Months Ended September 30. September 30. 2006 2007 2006 2007 Revenue $ 98,191 $ 150,239 $ 190,746 $ 283,720 Operating costs and expenses: Cost of revenues 83,116 127,556 161,419 239,879 Selling general and administrative 6,559 9,322 13,080 18,750 Amortization of deferred compensation 355 67 604 142 Depreciation and amortization 1,306 1,702 2,694 3,312 Total operating costs & expenses 91,336 138,647 177,797 262,083 Operating income 6,855 11,592 12,949 21,637 Other income (expense): Other income (expense) (804) 6 (544) 6 Interest expense - net (2,034) (1,138) (4,179) (2,200) Total other expenses (2,838) (1,132) (4,723) (2,194) Income before taxes 4,017 10,460 8,226 19,443 Provision for income taxes (1,595) (4,125) (3,320) (7,744) Net income $ 2,422 $ 6,335 $ 4,906 $ 11,699 Earnings per share: Basic $ 0.16 $ 0.29 $ 0.34 $ 0.53 Diluted $ 0.15 $ 0.27 $ 0.30 $ 0.50 Weighted add up shares: Basic 14,684 22,034 14,551 21,966 Diluted 16,533 23,591 16,435 23,478 Selected Consolidated Balance pelt Data (unaudited) (in thousands) As of As of walk 31. 2007 September 30. 2007 Cash $12,736 $- Accounts receivable - net $110,029 $ 131,065 Line of credit $- $18,494 Current portion of long-term debt $1,000 $1,000 Long-term debt - net of current portion $36,750 $36,250 Stockholders' equity $134,152 $ 148,961 Organic Growth Reconciliation (unaudited) (in thousands) Three Months Ended September 30. 2006 2007 Percent Growth be revenue as reported $98,191 $150,239 53.0% Plus: Revenue from acquired companies for the comparable prior year period 7,628 - Organic Revenue $105,819 $150,239 42.0% Six Months Ended September 30. 2006 2007 Percent Growth Total revenue as reported $190,746 $283,720 48.7% Plus: Revenue from acquired companies for the comparable prior year period 14,893 - Organic Revenue $205,639 $283,720 38.0% EBITDA Reconciliation (unaudited) (in thousands) Three Months Ended Six Months Ended September 30. September 30. 2006 2007 2006 2007 Net income $2,422 $6,335 $4,906 $11,699 Provision for income taxes 1,595 4,125 3,320 7,744 Interest expense - net 2,034 1,138 4,179 2,200 Other expense (income) 804 (6) 544 (6) Depreciation and amortization 1,306 1,702 2,694 3,312 Amortization of deferred compensation 355 67 604 142 EBITDA $8,516 $13,361 $16,247 $25,091 Revenue $98,191 $150,239 $190,746 $283,720 EBITDA Margin 8.7% 8.9% 8.5% 8.8%--------------------------------------------------------------------------------Source: Stanley. Inc.
3) I know that a former Admiral - forget his name was the founder and is very well connected in government. I was very cautious when I first bought in being a new IPO but but as all the big contracts came rolling in and my sentiments were confirmed. I kept adding more. I will probably sell some more soon then put the rest away for the LT. I evaluate insiders will probably begin selling some soon now and there might be dilution coming up. I wouldn't advise buying here and now but I still evaluate they have a great future ahead.
Please Read: Information provided in this Service is for educational purposes only and that 3StocksonFire com is not and does not represent itself to be offering or recommending any securities to be bought or sold. We are not brokers or stock advisors. The service is provided as a guide only which must be tempered by the investment experience and independent decision making process of the subscriber. 3StocksonFire com and its owners certify that we may trade our recommendations. 3StocksonFire com and its owners further bear witness that we will not buy a stock recommended on the site prior to the stock being set as "On Fire". 3StocksonFire com and its owners advance certify that we may sell the have shortly after our acquire. When we trade a stock recommended on our site we trade it just like we publish on our website. 3StocksonFire com and its owners further certify that the trades posted in the tables on this place are not necessarily all actual trades made by us. There is risk and you can suffer your entire investment. Do your own due diligence. Make informed choices. 3StocksonFire com makes no guarantees. If you have questions gratify contact us: or see our.[ADVERTHERE]Related article:
http://www.3stocksonfire.com/trading/index.php?topic=8880.msg108067#msg108067
comments | Add comment | Report as Spam
|
