RE:RE:RE:RE:RE:RE:RE:Symmetrical triangle breakout occurred yesterday?For those who sold all or part of their position; trading is a not an easy game and works if your goal is quick profits (knowing Q1 2023 was an easy beat) and you have a low conviction (due to lumpy rev. concerns).
After Q1 2024 was announced, profit taking took place with concerns that the stock had gone up too fast and 200% from recent lows in the .20 range, and that Q2 2023 rev. would be hard to match. Some hoped to buy back on the pullback and had several opportunities to do so in the low 60's (and almost .56 to close a technical gap)
My thoughts;
recent highs in 2023 of .50 were reached in April 2023 after Q2 was reached, at the recent .70, GSI was up 40% from that .50 high, and trading at 12X TTM earnings and perhaps 10X current earnings, valuations are more important that arbitrarily set enter and exit points for stock appreciation
with increasing "baseline" revenues, approaching around $6.5M, and the $5M contribution from SEPTA, GSI Q2 2024 rev. could easily match and exceed Q2 2023 rev
DD noted at the end of the Deep Dive interview that investors would be impressed with 2024 rev., in addition in the interview he hoped to maintain 20% margins.
Wolf Of Oakville
@WolfOfOakville
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Feb 14
It does look nice in that area. Up against a big quarter though.
Ebertite
@Ebertite
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Feb 14
Not an concern. They will have a $5M SEPTA contribution in Q2.
Wolf Of Oakville
@WolfOfOakville
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Feb 14
Yep, that’s half.
Ebertite
@Ebertite
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Feb 14
and the other half comes from baseline rev, how do you think they hit $9.8M in Q1 rev, with only $3.5M from SEPTA