TRADE IDEA: CETX

8/15/17

Good Morning!

Our new trade idea, CETX, has released breaking news this morning that could be an additional catalyst for upside opportunity.

Thus far CETX has not presented us with upside, however we are continuing to monitor the opportunity.

As a reminder, CETX needs to hold its lows from yesterday and rally above the 20 day moving average for further upside potential.

Cemtrex Appoints Former Sony Product Development Executive as VP of Advanced Technologies Subsidiary

Farmingdale, NY, Aug. 15, 2017 (GLOBE NEWSWIRE) — Cemtrex Inc. (Nasdaq: CETX, CETXP, CETXW), a world leading industrial and manufacturing company, today announced the appointment of Joe Novelli to VP of Cemtrex Advanced Technologies Inc., to pursue the development and commercialization of proprietary and collaborative Internet of Things (“IoT”) and wearable technology products.

Cemtrex’s Chairman and CEO Saagar Govil commented, “Joe provides us with a deep skillset in product development and commercial market experience that we need in order to successfully bring the technologies our team has envisioned to fruition.  He has a proven track record of bringing cutting edge products to market effectively for some of the leading companies in the consumer technology market. I am confident that with Joe’s guidance, we are on the right path to successfully launch our proprietary technologies into the market.”

For more than 20 years, Novelli has held numerous positions at Sony Electronics and Sharp as a developer of new products and market opportunities for a broad line of electronic products. Prior to joining Cemtrex, Novelli was VP of Solutions Planning for Sony’s Digital Paper Solutions division. Under his leadership, Sony developed and launched an advanced new tablet called Digital Paper, offering a realistic paper like screen for reading and annotation of documents. Novelli was also VP of Strategic Product Planning for Sony Audio products, as well as VP of Wireless Platform in Sony’s Digital Reading Business Division, where he developed Sony’s flagship ebook reader and ebook service. 

“It is exciting to join Cemtrex at this stage in the Company’s history, as the company looks to expand its activities to develop proprietary technologies. The size of the Company will allow us to be nimble and aggressive when addressing opportunities and challenges as they are presented,” stated Novelli.  “I look forward to working with the team on developing some of the product concepts they are already working on. The IoT and Wearable markets are rapidly growing areas and I believe Cemtrex is in an ideal position to be competitive in such markets. The addressable markets for these products are significant, as they offer broad commercial and consumer appeal.”

The Cemtrex Advanced Technology subsidiary is leveraging the Company’s existing design and engineering experience in developing advanced electronic products for third parties to develop new products and solutions, both proprietary and in partnership with other companies, for IoT and wearable applications.  The Company plans to pursue collaborative partnerships with OEMs that are looking to incorporate intelligence and connectivity into their everyday products such as: furniture, consumer wearables, industrial safety wearables, and other consumer devices. Cemtrex will look to focus on developing systems, hardware solutions for both consumer and industry applications, and software solutions.

Source: Yahoo Finance

—————————————–

8/14/17

I would like to bring to your attention a new trade idea, one that I believe could provide you with increased upside potential.

Trade Idea: Cemtrex, Inc. (NASDAQ: CETX)

Highlights:

  • CETX is currently trading at 3.25, below its 20 and 50 day moving averages.
  • CETX has a 20 day moving average of 3.33 and a 50 day moving average of 3.43.
  • In the event that CETX can rally and close above the 20 day moving average, there exists increased upside potential.
  • CETX has a RSI of 38, suggestive of potential for increased upside opportunity.
  • CETX has a history of providing investors with increased volatility and has traded as high as 8.41 in 2017.
  • CETX reported earnings today which appear to suggest another catalyst for potential upside opportunity.
  • According to the earnings, CETX has $13.2 million in cash/cash equivalents as of June 30th, 2017, while only having a market capitalization of $33 million (according to Yahoo Finance as of 8/14/17). Could be indicative of potentially significant undervaluation.

About CETX:

Cemtrex Inc. (CETX) is a global, diversified industrial and manufacturing company that provides a wide array of solutions to meet today’s technology challenges and is rapidly growing through acquisitions.

Cemtrex provides: manufacturing services of advanced custom engineered electronics, industrial contracting services, monitoring instruments for industrial processes and environmental compliance, and equipment for controlling particulates, hazardous pollutants and greenhouse gases used in carbon trading globally.

Recent News:

Cemtrex Reports Financial Results for the 2017 Fiscal Third Quarter

Farmingdale, NY, Aug. 14, 2017 (GLOBE NEWSWIRE) — Cemtrex (Nasdaq: CETX, CETXP, CETXW), a world leading industrial and manufacturing leader, today reported its financial results for the three-month and nine-month periods ended June 30, 2017.

“We maintained strong topline growth in the third quarter of fiscal 2017, with total revenue increasing 13% to $27.8 million, while remaining profitable. Our ability to drive steady revenue growth is evident when looking out over the past couple of years. Our revenue has increased from $42 million to $56 million to $86 million for the nine month periods ended June 30, 2015, 2016 and 2017, respectively,” stated Saagar Govil, Chairman and CEO of Cemtrex. “We are focused on continuing to grow our business through the acquisition of new, high quality customers, as well as expanding organically through our existing customers. In April 2017, we received a record number of new incoming orders for a single month, totaling over $21 million. Included in these orders is a $15 million, three year agreement with one of our existing customers, which is the single largest order we have ever received.”

“In addition, we announced the establishment of our new subsidiary, Cemtrex Advanced Technologies along with its first development product, an advanced ‘smart desk.’ It is an exciting time at Cemtrex as we leverage our deep experience in electronics development and manufacturing and focus on bringing to market proprietary technologies that we believe are revolutionary. Our initial products, in line with the innovative ‘smart desk’, will embrace the concept of bringing the workspace environment up to speed with technological advances.”

“Cemtrex is strategically positioned to continue growth organically and through acquisitions. With $13.2 million in cash and cash equivalents we are consistently evaluating growth opportunities to advance our businesses. This is a pivotal time for the company as we see a strong pipeline in new and existing customers as well as new product development under our subsidiary. We continue to scale the business with shareholder value as a core focus on going,” concluded Mr. Govil.

Fiscal 2017 Third Quarter Business Highlights and Financial Highlights

  • Total Revenue for Q3 2017 increased 13% to $27.8 million, compared to $24.7 million for Q3 2016. This increase was primarily due to the acquisition of Periscope on May 31, 2016.
  • Industrial Products & Services (IPS) Revenue for Q3 2017 increased 8% to $13.5 million, compared to $12.5 million for Q3 2016. The increase was primarily due to increased shipment of goods and execution of projects.
  • Electronics Manufacturing Services (EMS) Revenue for Q3 2017 increased by 17% to $14.3 million, compared to $12.2 million for Q3 2016. This increase was primarily due to the acquisition of Periscope, an electronics manufacturing solutions business. 
  • Gross Margin for Q3 2017 was 36%, compared to 33% for Q3 2016. 
  • Operating Margin for Q3 2017 decreased to 5.1% compared to 6.9% for Q3 2016. This is attributable to an increase in operating expenses of 31% to $8.5 million, compared to $6.5 million for Q3 2016, which includes an increase of sales, marketing and professional service costs for the 2017 period. 
  • Net Income for Q3 2017 was $1.2 million or $0.11 per share, compared to $1.4 million, or $0.16 per share for Q3 2016. This decrease was due to increase sales and marketing expenses in the third quarter, and loss on disposal of assets.

Nine Month 2017 Financial Highlights 

  • Total Revenue for the nine months ended June 30, 2017 increased 54% to $87.7 million, compared to $56.9 million for the same period in 2017. This increase was primarily due to the acquisitions of Advanced Industrial Services (AIS) and Periscope.
  • IPS Revenue for the nine months ended June 30, 2017 increased 27% to $42.0 million, compared to $33.2 million for the same period in 2016. The increase was primarily due to increased shipment of goods and execution of projects.
  • EMS Revenue for the nine months ended June 30, 2017 increased 93% to $45.7 million, compared to $23.7 for the same period in 2016. The primary reason for increased sales was due to the acquisition of Periscope. 
  • Gross Margin for the nine months ended June 30, 2017 was 33%, compared to 31% for the same period in 2016. 
  • Operating Margin for the nine months ended June 30, 2017 decreased to 4.3% from 5.4% in the same period of 2016. This increase was primarily due to an increase of sales, marketing and professional service costs for the 2017 period. Operating expenses increased 68% to $24.8 million, compared to $14.8 million for the same period in 2016 due to the increase from the acquisitions of AIS and Periscope. 
  • Net Income for the nine months ended June 30, 2017 increased 2% to $3.0 million, or $0.26 per share, compared to $2.9 million, or $0.36 per share for the same period in 2016. This increase was primarily due to the acquisitions of AIS and Periscope. 

Balance Sheet as of June 30, 2017:

  • Cash and Cash equivalents were $13.2 million or $1.28 per share.
  • Book value was $3.49 per share.

Source: Yahoo Finance

You need to evaluate the chart in real-time and establish for yourself whether it is an appropriate trade opportunity for you or not.​​​​​​​

If you are not familiar with my trading guidelines, please read them below.

These trading guidelines are designed to give you a starting point to develop your own personal trading philosophy and approach.

Since every traders/investors circumstance is different, make sure you create a personalized approach that works for you and always consult a financial adviser (not me).

Happy Trading!

Ultimate Stock Alerts 

—————————————————

Trading Rules [Please Review Before Taking Any Action]:

  1. Do not invest more than you are willing to lose. No one likes to consider the worst case, but it’s always a risk that exists. Rule of thumb – if you cannot sleep at night as a consequence of your investment, then you have over invested.
  2. Keep calm. Do not chase. Decide for yourself if you like the trade. If you are not comfortable with the perceived risks, stay out. Timelines are to be decided by you. Approach methodically, and seek technical confirmation for direction. Always trade with a strategy in mind.
  3. Never use market orders. Only use buy and sell limit orders. Protecting your investment is more important than missing gains. Use “trailing stop %” or “trailing stop limit” orders. Personally I prefer mental stops while actively managing trades rather than entering your stop into your brokerage account.
  4. Cut losses quickly when day/swing trading. It’s better to acknowledge being wrong than to have false hope. Sometimes you will be wrong in doing so, often times it will save you. It all depends on your entry.
  5. Actively manage all your investments & trade during market hours only. Trading during pre/post market hours carries greater volatility/risk.

DISCLAIMER

This report/release is a commercial advertisement and is for general information purposes ONLY. We are engaged in the business of marketing and advertising companies for compensation. Never invest in any stock featured on our reports/releases unless you can afford to lose your entire investment. The track record, gains, upside or losses are all hypothetical and should not be considered as a basis for investment.

This report/release is not a solicitation or recommendation to buy securities of the advertised company. An offer to buy or sell securities can be made only by a disclosure document that complies with applicable securities laws and only in the States or other jurisdictions in which the security is eligible for sale. Reports/releases distributed through disseminated reports/released are not disclosure documents. If you are considering purchasing any securities of an advertised company, you should read and review, if and to the extent available, any information concerning a marketed company available at the web sites of the U.S. Securities and Exchange Commission (the “SEC”) at www.sec.gov;the Financial Industry Regulatory Authority (the “FINRA”) at www.FINRA.org and your State Securities Administrator. We also strongly recommend that you read the SEC advisory to investors concerning Internet Stock Fraud at www.sec.gov/consumer/cyberfr.htm, as well as related information published by the FINRA on how to invest carefully. You are responsible for verifying all claims and conducting your own due diligence.

You agree and acknowledge that any hyperlinks to the website of (1) a client company, (2) the party issuing or preparing the information for the company, or (3) other information contained in our disseminated reports/releases is provided only for your reference and convenience. We are not responsible for the accuracy or reliability of these external sites, nor are we responsible for the content, opinions, products or other materials on external sites or information sources. If you use, act upon or make decisions in reliance on information contained in any disseminated report/release or any hyperlink, you do so at your own risk and agree to hold us, our officers, directors, shareholders, affiliates and agents harmless. You acknowledge that you are not relying on us, and we are not liable for, any actions taken by you based on any information contained in any disseminated report/release or hyperlink. You also acknowledge that we are not an investment advisory service, a broker-dealer or an investment adviser. You acknowledge that you will consult with your own advisers regarding any decisions as to any company mentioned herein.

We have not determined if the statements and opinions of the message are accurate, correct or truthful. The profiles we publish are compiled from publicly available information, which include, but are not limited to, no cost online research, magazines, newspapers, reports filed with the SEC or information furnished by way of press releases. Because virtually all information relied upon by us in preparing an Issuer profile comes from a public source which has been made public directly from the Issuer, the information is not confirmed with a second source.

The purpose of this report/release, like any promotion, is to provide publicity for the client company, its products or services. Owners and operators of UltimateStockAlerts.com have been compensated forty thousand dollars cash via bank wire, earned upon receipt, for distribution of our opinions and publicly available information for CETX from Sunrise Media on 8/9/17. Previously, owners and operators of UltimateStockAlerts.com have been compensated a total of sixty five thousand dollars cash via bank wire, earned upon receipt, for distribution of our opinions and publicly available information for CETX. Owners and operators of UltimateStockAlerts.com hold no stocks or bonds in mentioned companies as of 8/15/17. You should not rely on the information presented; you should do independent research to form your own opinion and decision. Information contained in our disseminated reports/releases does not constitute investment, legal or tax advice upon which you should rely. The purchase of high-risk securities may result in the loss of your entire investment. Owners and operators of UltimateStockAlerts.com own several newsletters, therefore you may receive our emails featuring companies at different times.

You are receiving this report/release because you subscribed to received it at our website or through a third party site.  All of our newsletters include an “unsubscribe” link, and you can remove yourself at any time from our newsletters by clicking on that “unsubscribe” link. You can also contact us at info@ultimatestockalerts.com to change your information at any time.  By your subscription to our profiles, the viewing of this profile and/or use of our website, you have agreed and acknowledged the terms of our full disclaimer which can be read at any time at www.UltimateStockAlerts.com/Disclaimer.

Full disclaimer can be read at www.UltimateStockAlerts.com/Disclaimer.

The Private Securities Litigation Reform Act of 1995 provides investors a ‘safe harbor’ in regard to forward-looking statements. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, goals, assumptions or future events or performance are not statements of historical fact may be “forward looking statements”. Forward looking statements are based on expectations, estimates, and projections at the time the statements are made that involve a number of risks and uncertainties which could cause actual results or events to differ materially from those presently anticipated. Forward looking statements in this action may be identified through use of words such as “projects”, “foresee”, “expects”, “will”, “anticipates”, “estimates”, “believes”, “understands”, or that by statements indicating certain actions & quote; “may”, “could”, or “might” occur. Understand there is no guarantee past performance will be indicative of future results.

 

Leave a Reply

Your email address will not be published. Required fields are marked *

bonus

Free Guide To Become A Successful Trader/Investor

lock We Never Sell Or Share Your Email

No Hidden Fees. Unsubscribe Anytime.