DFNS CRUSHED!

I am NOT sellling 1 share at these prices! This is crazy!!

At .39 x 29 million shares = market cap of $11.3 million. They have already done $14.2 million in revenue for the 9 months and will probably be around $17 million for the year. That is .66 x Price to sales.

Book value is at .24 so you are only trading at 1.6x book value.

EPS is at .042 for the year so far. Which means you are trading at less than 10x PE. And if they added just .008 to the 4th quarter that would mean .05 for the year.

I look for DFNS to rebound and fill the gap it just created by the end of the year for sure but I would think quicker than that. I think a 20-25% move up in the next few weeks from these .39 prices is quite possible.

Of course if DFNS comes out and says sales will slow down and we have no new contracts down the pike things could change. But the downside at this point doesn't seem too much and the upside seems to be good.

If I wouldn't have bought all I could prior to the news release I would buy at these levels. The #'s don't add up for this not going up a bit.

Have a great trading day.
Steve Hoven
alleycatnews@alleycatnews.net

!remove