NTG Clarity Networks Inc. (NCI.V)Ashraf Zaghloul, CEO
(905) 305-1325
Email:
azaghloul@ntgclarity.com NTG Clarity Networks Inc. is a provider of telecommunications engineering, networking and related software solutions and training services in Canada and Internationally. NTG Clarity has offices in Toronto and Cairo, Egypt.
The pros - Gross margin of 41% in Q1
- Has been profitable in the last 4 quarters
- Working cap of 1.5M$ (.06$/share)
- Book value of 0.05$/share with No goodwill or intangibles on the books - Market cap hovering around 1M$
- Long term debt of only 481k
- Have not seen any lawsuits pending
- 24.6M shares outstanding with NO options below 10 cents, thus provides them a serious incentive to see the price above that level
- Insider ownership is about 23%
The cons - Illiquid
- No investor relation exposure yet
- Insider buying would be a big plus for the share price
What makes this company interesting in my opinion? Revenues in 2007 was 6.3M$, compared to 5.3M$ in 2006 (a 20% increase). They view the international marketplace as an area of substantial growth due to deregulation of the telecommunication sector and the licensing of new mobile operators. Several bids and proposals have been made for overseas contracts and NTG is anxiously awaiting the outcome in Q3/Q4. In my opinion, this is why the current summer period is ripe for grabbing low priced shares before any significant contract announcement. It is worth noting that costs are well contained and management has enviable contacts, in Saudi Arabia for example.
P.S. The above is simply my personal understanding and not to be construed as investment advice. Do you own due diligence.
