IEC Presentation
There have been a lot of references to IEC here recently. The following is their latest company presentation. Despite having only a slightly higher revenue, they seem to be on track to make over $.50 in earnings this year. Their PE multiple seems to be around 10x. Clearly, one of the issues for us investors will continue to be the high number of outstanding shares. However, if Adeptron can scratch out $.05 per share in earnings this year, we should reasonably be at a share price of $.50.
In terms of the presentation, the point that I find quite interesting is that a large part of IECs revenue growth is from the military sector. 3 years ago only 1% of their revenue was from this sector. It is now 50% of their revenue. Adeptron has miltiary and aerospace certification. It has just received a contract from a major aerospace and miltiary OEM that could conceivably growh significantly.. I wonder what percentage of its revenue will be from this sector in 3 years.
By the way, Adeptron has locations in the US and Canada. The Ottawa plant is the one certified for military manufacturing. Is it possible Adeptron could get US military orders either directly or indirectly through an OEM? Or is it more likely they will be limited to orders from the Canadian military?
https://www.iec-electronics.com/documents/investor/Investor%20Presentation%20August%202009%20Final.pdf