Analysts expect DWCH to post 6c per share on Nov. 17 on record revenues. Last year it reported 5c/share.DWCH is a profitable low-float (2.4M float), 4.5M cash, no debt, software company that provides Sarbanes Oxley and other hot software solutions.
DWCH has a history of running big into earnings and has gapped a buck or more in the past after earnings. Last quarter Datawatch reached $5.48 up from $3.88 after 3Q 2005 earnings were announced on July 25.
Datawatch develops a full suite of software products widely used in the Accounting, Compliance (Sarbanes_Oxley), Goverment, and Healthcare industries.
http://stockcharts.com/gallery/?dwch
DWCH is up again in pre-market today.
Hey voip, I've been watching you DWCH for an entry point. Hard stock to figure out. There was a poster at the DWCH that posted something that makes alot of sense. I Have an order to buy big at $4. Even if it dips a little under $4, DWCH is a real bargain at $4 IMO. Hre is what that guy/gal wrote.
DWCH posted 11c/share on record revenues. Beat analysts by 80% margin.....2.4M float..$1/share cash cash.....ZERO debt.....will fly to $6+
Also, insiders paid $4.5/sh on Friday..link below....
11/17/05 EARNINGS SUMMARY:
- 4Q 2005 Revenues: $5.7M vs. $5M in 4Q 2004
- 4Q 2005 Net Income: $617K or 11c/share vs. $266K or 5c/share
- Analysts expected revenues of $5.6M and net income of 6c/share
- Cash position: Increased to $4.9M in 4Q 2005 or $1/share from $4.3M in 4Q 2004, a 20% increase.
- Long Term Debt....ZERO
- Float......2.4M shares
- Market cap of $22.5M...
- Undervalued P/S ratio of 1.0. Industry average is over 3.
- Steady revenue growth year after year...quarter after quarter.
- Projected revenue for 2006 of $24M
- Projected net income for 2006 40c - 50c/share
- Undervalued forward P/E of about 10 for a growth company entering new markets
The CC was very upbet. The bottom line: DWCH growth in revenues and profitability will continue into 2006 and beyond at an accelerated pace.
Fair valuation of DWCH is at least $8/share based on conservative ratios of 20 P/E and 2.0 P/S.
The street will realize this soon, and with a float of only 2.4M, DWCH might just be the best buy in the market under $5.
Insiders obviously know that. They made a strong statement in that regard buy converting 27,000 shares at $4.5 on November 19.......or bout 5% premium over the closing price on November 18.
http://www.pinksheets.com/quote/filings.jsp?symbol=DWCH
The change in business model that the company decided to implement in 2004 to grow revenues and eventually the bottom line is finally paying off.
You can easily see below the sequentially stronger results in every quarter of 2005:
4Q 2005: Rev. $5.7M, net income of 11c/share
3Q 2005: Rev. $5.6M, net income of 6c/share
2Q 2005: Rev. $5.1M, net income of 0c/share
1Q 2005: Rev. $5.0M, net LOSS of 3c/share
Revenues for 2005 were $21.5M vs. $19.3M in 2004 and $17.7M in 2003. DWCH is on a path to increase revenues to about $24m in 2006.
DWCH announced late last year that it would implement a new business plan and increase sales and marketing expenses. This resulted in a temporary drop in net income from 19c/share in 2004 to 14c/share in 2005. However, 2006 net income is going to grow exponentially based on what was demonstraded in the last 2 quarters.
DWCH CEO had this to say earlier this year about the growth-oriented business plan:
...."The upfront cost of selling and implementing these projects is absorbed currently, but the recurring revenue stream will be recognized over the period that the service is provided. We believe this model will provide a more predictable stream of future revenue as the customer base expands...."
It is obvious that the company is executing its business plan eaxactly as planned in a focused, and efficient fashion.
Don't forget that 1Q 2006 earnings results will be announced in less than 2 months from now. With the current momentum, the Q/Q revenue and net income comparables will be staggering. Remember that DWCH posted a loss in 1Q 2005 and is expected to post double-digit net income in 1Q 2006.
Notice that DWCH traded a lot higher in the past even though the fundamentals today are stronger than ever. In fact, 4Q 2005 was the strongest quarter since 2000.
http://stockcharts.com/gallery/?DWCH
I believe that with continued successful excecution of its business plan and based on new products in growing markets, DWCH will be trading in the $15 -$20 range within a year.
Here is the 4Q earnings release:
http://biz.yahoo.com/prnews/051117/neth013.html?.v=33
DWCH might very well turn into the CKCM of 2006
Datawatch develops a full suite of software products widely used in the Accounting, Compliance (Sarbanes_Oxley), Goverment, and Healthcare industries. For instance Datawatch Monark software helps automate financial reporting by combining and mining totally separate databases to produce seamless reports. This software is widely used in Sarbanes-Oxley compliance reporting and is one of the fatest growing revenue streams for datawatch.
Hey Voip, your DWCH is starting to move up. I am in at $4.05.
Good luck
Hey Voip, I couln't resist the temptation and I bought at $4.21 before the closing. The filing last week that 3 insiders paid $4.5 per share for 27,000 share made my decision easy. I figured that if insiders are willing to pay more than the market rate, they should know better. Besides, I've bever seen insiders pay more than the market rate. It this uncommon?
Hey, are still in DWCH?
Great DD on two prior posts on this thread. This one sounds like a real winner. Thank you
Triple clone user:
voipssimo = timewarner = havesomebucks
users banned, topic locked.
best regards,
ps: thanks for reporting
DWCH is starting to move up ahead of its 1Q 2006 earnings release:
http://stockcharts.com/gallery/?dwch
DWCH will release its 1Q 2006 earnings in January (per 4Q CC) about 3 weeks AHEAD of last year. When DWCH announces a release date in a few days, the stock will fly just like it did when 4Q earnings date was announced. This time however the expectations are a lot higher because of the blowout 4Q earnings.
Highlights:
- Record earnings expected (rev & net income)in 1Q 2006 based on recent trends.
- 11c/share net income on record revs in 4Q. 4th consecutive quarter of revenue and income growth
- Tiny 2.4M share float. 5M total outstanding shares
- $1/share cash
- Zero debt
- Currently trading at P/S of 0.8. Peers trade at 3++
- January effect......
BOTTOM LINE......MANY...MANY CATALYSTS FOR A EXPLOSION TO $6+ IN JANUARY IMO
Take a look at the exponential growth during 2004 capped with a 11c/share net income on record revenues. Analysts estimated 5c/share net income:
http://finance.yahoo.com/q/is?s=DWCH
DWCH has a sterling balance sheet featuring $1/share cash and ZERO debt:
http://finance.yahoo.com/q/bs?s=DWCH
The yearly revenue growth is impressive as well with $17M in 2003, $19M in 2004, and $21M in 2005.
I estimate revenue for 2006 to increase 20 to 30% compared to 2005.....net income of over 40c/share.
I expect DWCH to surpass $10/share after the 2nd quarter of 2006 because that would be 3 quarters in a row with double-digit net income.
FOR MORE DETAILS GO TO:
http://dwchtoten.blogspot.com/
ALSO CHECK OUT WSCI $3.7....STRONG EARNINGS TO BE NEXT WEEK:
http://wscitofive.blogspot.com/
Another low-float gem likely to be a huge gainer after 1Q 2006 earnings in January is RMI:
http://rmishines.blogspot.com/
ALWAYS DO YOUR DD
The good old wiseman pump n dump?
I'd tend to avoid this pick..
No one is telling you to buy. Do your own unbiased and objective DD and you'll at least eliminate it as an investment opportunity based on your personal investment criteria and not on innuendo or other emotional reason.
Wiseman or no wiseman this one is a screaming buy at these prices.
good luck
OK.
This is my last post on this thread until DWCH reaches $5. It is about to breakout now. That's all I'll say.
This link gives you a starting point for your own DD.
http://dwchtoten.blogspot.com/
"This is my last post on this thread until DWCH reaches $5".
Why make a statement when you are not going to honour it ? Keep pumping.
maybe if the chart had more structure and it traded more than 12k shs a day it would get more attention
Thank you for the tips on DWCH and WSCI. I am already ahead on both of them. Excellent info on those blogs. Thank you again.
Hey New,
It looks like DWCH will breakout today.
and the wiseman is back >:D muahahahahahaha
Bull, how could you be up on DWCH and WSCI on newnewbie's tips when you just registered on Dec. 27, 2005, (that would be yesterday ! )?
Folks, this is the same Modus Operandi from wiseman213 who was booted in early fall.
Same stocks, same game, same deception as before, and I hope the same result follows.
Nice shake this morning. I had a GTC at $3.85 and it got filled while I was in a meeting. Obviously those sneaky MMs saw a large stop-loss order and went fishing. Very often I hate them when they do that. In this case, I could not thank them enough for the gift I've got today.
Nice post from Yahoo. It hits it on the head.
If you are going to invest in small caps, and can stomach some volatility, DWCH has to be one of the best I've seen out there.
While volume has slowed down, this has been consistent with the lack of volume in the sector as a whole. When the large caps lose steam, money often starts to flow into small cap plays.
The timing to get into DWCH is the best in the current market environment, the timing is greater enhanced as the company is likely to post successive growth over the next several quarters.
The early earnings release (3 weeks ahead than last year) is usually an optimistic barometer for the stock. Risk levels have settled down since the stock has landed in the $3.80 to $4.00 range.
Upside is more likely at this point than downside. Product line is meeting a high demand industry, especially in health care. Company has also maintained profitability and should have around 27% sales growth.
My goodness, this thing is so volatile. I just can imagine how explosive it will be after good earnings. I got in yesterday under $4. Thank you for the tip.
januaryeffect & bulllissimo : emails:
[email protected] and
[email protected] ....
Coincidence ? I think not...Reported to Moderator !
Costa,
You should be buying this gem instead of inventing stuff mariconcito.
DWCH will be a $6 stock within a month.
Readers be aware that wiseman213, bullissimo, vopiissimo, januaryeffect, and newnewbie may be the same entity or group. Wiseman213 was booted for registering as two users and then playing off one another as two different individuals, pumping low float stocks, all from the same ISP. Now it appears he (they) are back. Remember the movie "Sybil"?
[wiseman213, bullissimo, vopiissimo, januaryeffect, newnewbie and whomever else you may be lurking as]. You cheated, got caught, and are not trustworthy.
You have no credibility, no trust, you are being deceptive. You have also been reported to the moderator.
CHELMSFORD, Mass., April 30, 2007 /PRNewswire-FirstCall via COMTEX/ -- Datawatch Corporation (NASDAQ-CM: DWCH), a leader in Enterprise Information Management, today announced results for its second quarter and year-to-date fiscal 2007.
Revenues for the quarter ended March 31, 2007 were $6,149,000, up by 14% when compared to $5,394,000 for the quarter ended March 31, 2006. Net income for the second quarter fiscal 2007 was $424,000 or $0.07 per diluted share, up 87% when compared to $227,000, or $0.04 per diluted share, for the second quarter fiscal 2006.
Revenues for the six months ended March 31, 2007 were $11,925,000, up by 18% when compared to $10,141,000 for the six months ended March 31, 2006. Net income for the six months ended March 31, 2007 was $458,000 or $0.08 per diluted share, up 57% when compared to $291,000 or $0.05 per diluted share, a year ago.
"We are pleased by the strong revenue growth in the second quarter, and year-to-date, when compared to the first half of fiscal year 2006," said President and CEO Robert Hagger. "We achieved revenue increases from most product lines this year-to-date, with the bulk of growth in the quarter and year-to-date coming from Datawatch|BDS, our Integrated Document Archive and Retrieval System (IDARS). As expected, Monarch desktop revenue was lower in both periods as we approached the release of a new version on February 27. Monarch revenue improved in the last month of the quarter following the introduction of version 9. There are clear signs that the company's strategic focus on the Enterprise Information Management (EIM) space is beginning to pay off," added Hagger.
Organizations are increasingly aware of the need to leverage all sources and types of information in the enterprise in order to make better business decisions and to meet today's strict compliance challenges. Datawatch's document archive and workflow capabilities, combined with its Monarch report and data mining analytic technology makes the Company uniquely positioned to deliver on the need for the right information in the right place at the right time.
For the last two consecutive quarters, revenue from enterprise-scale products accounted for more than 50% of the Company's sales reflecting the rising importance of information management on a corporate-wide scale.
Operating margins on maintenance contracts and the supply of professional services improved compared to both the three and six month periods ended March 31, 2006, due to the addition of the Business Document Server (BDS) product line acquired in May 2006. Sales & marketing costs remained in line with last year. Engineering and product development expense increased to $1.5 million year-to-date from $855,000 in the same period last year, as the Company absorbed the cost of supporting the new BDS business, and invested in new product innovation.
"Cash balances, net of borrowings, grew from $862,000 on September 30, 2006 to $2.3 million on March 31, 2007," said Murray Fish, Chief Financial Officer. "On April 21, 2006, Datawatch entered into a financing arrangement with Silicon Valley Bank and secured a $3 million line of credit for additional working capital purposes for a 12 month period. On February 9, 2007, the Company elected to repay $1 million, the total amount outstanding under its line of credit. Datawatch does not plan to renew the line of credit because we believe that our current cash balances are sufficient to meet the Company's needs for working capital and anticipated expenditures for at least the next 12 months," added Mr. Fish.
As previously announced, Datawatch will host a live webcast to discuss its second quarter of fiscal 2007 financial results today at 2:00 p.m. (EST). The webcast can be accessed at: http://www.vcall.com/IC/CEPage.asp?ID=115911. Please register at least 15 minutes early and download any necessary audio software. An archive of the broadcast will be available for 30 days following the call.
ABOUT DATAWATCH CORPORATION
Datawatch Corporation (NASDAQ-CM: DWCH), a leader in Enterprise Information Management, helps companies make better decisions and solve business problems by simplifying access to information. Unique among EIM vendors, Datawatch transforms the massive amounts of data and documents generated inside or outside a company into actionable insight, without any changes needed to existing systems. Datawatch customers benefit from the right information, in the right context, at the right time. More than 20,000 organizations worldwide rely on Datawatch products including its market- leading Monarch report and data mining solutions. Founded in 1985, Datawatch is based in Chelmsford, Mass. with offices in London, Sydney and Manila. For more information, visit www.datawatch.com.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
Any statements contained in this press release that do not describe historical facts may constitute forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Any such statements contained herein are based on current expectations, but are subject to a number of risks and uncertainties that may cause actual results to differ materially from expectations. The factors that could cause actual future results to differ materially from current expectations include the following: risks associated with the uncertainty of the current economic climate; risks associated with fluctuations in quarterly operating results; Datawatch's dependence on its principal products; risks associated with international sales; risks associated with distributor sales; risks associated with acquisitions; an unfavorable result in any litigation; market acceptance of new products; dependence on the introduction of new products and possible delays in those introductions. Further information on factors that could cause actual results to differ from those anticipated is detailed in various publicly-available documents, which include, but are not limited to, filings made by Datawatch from time to time with the Securities and Exchange Commission, including but not limited to, those appearing in the Company's Form 10-K for the year ended September 30, 2006 and Form 10-Q for the quarter ended December 31, 2006. Any forward-looking statements should be considered in light of those factors.
SOURCE Datawatch Corporation
Datawatch Investor Relations, +1-978-441-2200 Ext. 8323,
[email protected], or
Lisa G. Kilpatrick, Marketing Communications Manager of Datawatch Corporation,
[email protected]; +1-978-441- 2200, Ext. 824, or +1-978-453-4443, or
Stacey L. Mann of Greenough Communications, +1-617-275-6523, or mobile,
+1-617-699-4853,
[email protected] http://www.datawatch.com
Copyright (C) 2007 PR Newswire. All rights reserved ********************************************************************** As of Thursday, 04-26-2007 23:59, the latest Comtex SmarTrend? Alert, an automated pattern recognition system, indicated a DOWNTREND on 08-30-2005 for DWCH @ $3.71. For more information on SmarTrend, contact your market data provider or go to www.mysmartrend.com SmarTrend is a registered trademark of Comtex News Network, Inc. Copyright ? 2004-2007 Comtex News Network, Inc. All rights reserved.
"DWCH" Threads have been Merged.
Please use the search before starting new threads on a Stock Pick.
Chances are a thread already exist.
So why not post whatever you have to comment about on that pick to that thread.
"Simplicity" My fellow traders. ;D
All history on a stock pick in 1 thread is awesome. ;)
Just trying to get threads together,so we don't have a numerous amount floating around on the same stock. :( ::)
Thank You....and good luck with all your trades....make some $$$ ;)
Quote from: Ramsburg on November 20, 2005, 09:31:35 PM
Triple clone user:
voipssimo = timewarner = havesomebucks
users banned, topic locked.
best regards,
ps: thanks for reporting
This would have been a nice thread,
Many users in this thread were banned from 3SOF!
The List:
voipssimo
timewarner
havesomebucks
newnewbie
bulllissimo
januaryeffect
I am going to unlock this thread. This is a good stock to follow.
We can make it a good thread from this point on fellow traders here @ 3SOF !! ;)
A word to the wise or "a heads up" Don't try to be a "pumper", >:D
Here @ 3SOF, this is a great site. Lot's of good and knowledgeable stock traders. ;D
People like the ones in this list, "Will not be tolerated !" >:D
Let's take it from here fellow 3SOF traders and make it a great Thread. ;)
After Hours: $4.57 +0.15 (+3.39%) as of 4:15pm ET on 04/30/07
Chart looks like,
Its heading up...may bounce around but by the stats and chart below it looks good to me.
Recent CandleStick Analysis:
Bullish
Apr-26-2007 Hammer
Apr-25-2007 DOJI
52wk Range: 1.60 - 3.89
Volume: 383,867
Avg Vol (3m): 12,142.9
Technicals
Record Price High
Record Price Break Out
Percentage Gainer
Last Price Quote is:
30.02%above 13-day MA
41.18%above 50-day MA
RS Rating: 98
Fundamentals
Earnings Expected on Apr 30
Key Data:
Market Cap (M): $19.59
P/E Ratio: 26.93
PEG Ratio: N/A
Next Earnings: 07/24/2007
Last Analyst Rating: N/A
Another nice little move north today.......
52wk Range: 1.60 - 4.71
Volume: 361,774
Avg Vol (3m): 17,754
Technicals
Record Price High.............. ;D
Percentage Gainer
Last Price Quote is:
41.03%above 13-day MA
57.17%above 50-day MA
RS Rating: 99
Fundamentals
Key Data:
Market Cap (M): $19.59
P/E Ratio: 26.93
PEG Ratio: N/A
Next Earnings: 07/24/2007
Last Analyst Rating: N/A
50c/SH CASH....ZERO DEBT...DOUBLE-DIGIT GROWTH....35c/sh NET EXPECTED IN 2008.....TRADING AT 1 P/S
TARGET: $10+ IN 2008
DWCH will report strong 4Q and record FY 2007 shortly. DWCH has a float of 4M shares, strong cash position, ZERO debt, and is currently trading at a P/S of about 1 with a $26M market cap.
Per analysts' estimates and last CC comments 4Q will be a near record quarter for DWCH capping a record year revenue-wise:
- 4Q 2007 Revenues est. $6.2M compared to $5.3M in 4Q 2006
- 4Q 4007 Net Income est. of 6c/share compared to a 10c/share loss in 4Q 2006
- FY 2007 Revenue est: $25M compared to $21M in 2006
- FY 2007 Net Income est. of 20c/share vs. a 10c/share loss in 2006
**** For FY 2008, DWCH is expected to produce revenues from $27M - $32M and net income from 30c/share to 40/c share ***
- DWCH has 50c/share cash and ZERO debt
- DWCH is trading at a P/S of about 1.0 compared to its peers trading close to 3.
Commenting on 3Q 2007 quarter's results, President and CEO Robert Hagger said,
"We are very pleased with the results for both the current quarter and year to date. The investments we have made in strengthening the management team and in sales and marketing are now paying off. The market for Information Management and Document Storage requirements, combined with the need to turn data into actionable information through Business Analytics is growing, and we are poised to take advantage of these dynamics."
The quarter saw a strong boost to revenues with the continued adoption of Monarch Version 9.0, the company's report mining and analysis solution, which was released in February. The latest release of Monarch provides improved Microsoft Office Excel capabilities, is compatible with the new Microsoft Windows Vista operating system and Microsoft Office 2007 product suite, and integrates with Microsoft Office SharePoint Server. In addition to strong sales of Monarch V9, the quarter saw the closing of four enterprise orders in excess of $100,000 each.
During the third quarter, Datawatch announced the release of two new products, Datawatch|MailManager and BDS|Workflow. In addition, the company held its annual user conference in Orlando, Florida. The event showcased Monarch V9 as well as the Enterprise suite of solutions and hosted a record number of attendees.
"We continue to invest in product and infrastructure, focusing on execution and the market opportunity in front of us" said Ken Bero, chief operating officer. "We are very pleased with the quarter's results and satisfied with our position as we enter the last fiscal quarter of this year."
ABOUT DWCH:
DWCH makes data mining, business intelligence, and help desk software. Its products include Monarch, for extracting and manipulating data from ASCII or HTML files; Monarch Data Pump, a data replication and migration tool used to populate and refresh data marts and data warehouses; and Monarch|RMS, Web-based report mining and analysis. Subsidiary Auxilor provides its Visual|Help Desk software, an IT support and help desk application for IBM's Lotus Domino platform
Once Again for the same old nonsense :(
oscar2519, You have been ask. Now consider this you only warning.
Cease with all the capital letters in the title of the threads you start, and do not create new threads when one already exist !!
"DWCH" Threads have been Merged.
Please use the search before starting new threads on a Stock Pick.
Chances are a thread already exist.
So why not post whatever you have to comment about on that pick to that thread.
"Simplicity" My fellow traders.
All history on a stock pick in 1 thread is awesome.
Just trying to get threads together,so we don't have a numerous amount floating around on the same stock.
Thank You....and good luck with all your trades....make some $$$
Oscar. What is your price target after earnings? Thank you
vonager69, Again.......
"DWCH" Threads have been Merged.
Please use the search before starting new threads on a Stock Pick.
Chances are a thread already exist.
So why not post whatever you have to comment about on that pick to that thread.
"Simplicity" My fellow traders. ;D
All history on a stock pick in 1 thread is awesome. ;)
Just trying to get threads together,so we don't have a numerous amount floating around on the same stock. :( ::)
Thank You....and good luck with all your trades....make some $$$ ;) ;D
Nice volume.....up 9%. Once it breaks $5 DWCH will be off to the races
The $5 wall is gone......Blue skies ahead
I'm seeing some resistance at $5.20 on the level 2.
WS,
There were resistances at $4.75 and $5 today as well. The only reason DWCH did not go past $5.35 it's because of a short trading day.
have a great football weekend!!
http://stockcharts.com/charts/gallery.html?dwch
Looks like the long-term upward trend (lower chart) will resume. DWCH held up really well the nasty market of late. But it is obvious that there are a lot of investors on the sidelines ready to jump in.
I expect that the rally started today will continue on Monday and after earnings on Tuesday. This is a growth story that is just about to get discovered. Once institutions notice it and it starts getting analyst coverage it could zoom past $10 very quickly.
what do you think the EPS will be for next quarter?
WSB,
The following is just MY opinion based on my DD on this company....always do your own DD before you invest.
I expect that DWCH will report 5 - 7c/share net income on Tuesday compared to a loss of 10c/share in 4Q 2006. Furthermore, I expect that DWCH will report between 8 -10c/share in 1Q 2008in about 6 - 8 weeks. I also expect that guidance for 2008 will be very bullish. This means that DWCH should start to move up steadily unlike the past when it deflated after a good quarter. This time DWCH is showing steady growth on both the top and bottom lines. And don't forget that with the January effect, undervalued profitable low floaters usually go up steadily.
1Q is usually the strongest for DWCH because they sell a lot to companies working on Sarbanes Oaxley compliance. Furthermore, DWCH has released several new products and upgrades in the last 3 months and those revenues will start showing in 1Q.
What has me very excited is the fact that the company will present on 11/28 at an institutional investors' conference....a day after earnings....and they will be talking about new opportunities resulting from the recent industry consolidation......the acquisitions of MOBI, COGN, BOBJ, etc.. New CEO Bero was Vice-President of sales and marketing for BOBJ prior to joining DWCH. He was responsible for growing sales from $35M to over $70M is just 3 years. I believe that he feels that the consolidation has left some customers out in the cold, or maybe he feels that becoming bigger the usual competitors will be slower to respond to customer needs.
FYI. DWCH was featured last Thursday among IBD best-under $10 list. IBD rates the BI software sector A+.
Competitor ACTU is also on the list. The BI sector products' services are recession-proof according to IBD
DWCH $6 UP 1.2 IN PM....BLOWOUT EARNINGS....14C/SHARE NET INCOME ON RECORD REVENUES
TARGET: $15
ONLY 3.5M SHARE FLOAT...
STEADY DOUBLE-DIGIT PROFITABLE GROWTH....
STRONG BALANCE SHEET with 60c/SH CASH and ZERO DEBT.
***** TODAY'S EARNINGS RESULTS****
Datawatch Corporation Reports Results for Fourth Quarter and Fiscal Year End 2007
Tuesday November 27, 8:00 am ET
-- Year-over-Year Quarterly Revenue Grows 29%
-- Annual Revenue Increases 21%
-- Company Returns to Profitability with $1.7M in Annual Net Income
CHELMSFORD, Mass.--(BUSINESS WIRE)--Datawatch Corporation (NASDAQ-CM: DWCH), a leader in Enterprise Information Management (EIM), today announced results for its fourth quarter and fiscal year ended September 30, 2007.
Revenues for the quarter ended September 30, 2007 were $6,851,000, up by 29 percent when compared to $5,326,000 for the quarter ended September 30, 2006. Net income for the fourth quarter of fiscal 2007 was $829,000, or $0.14 per diluted share, compared to a net loss of $(530,000), or $(0.10) per diluted share, for the fourth quarter of fiscal 2006.
Revenues for the year ended September 30, 2007 were $25,259,000, up by 21 percent when compared to $20,811,000 for the year ended September 30, 2006. Net income for the year ended September 30, 2007 was $1,669,000, or $0.28 per diluted share, compared to a net loss of $(555,000), or $(0.10) per diluted share, for the year ended September 30, 2006.
As of September 30, 2007, the company had $3,841,000 in net cash and cash equivalents, an increase of $1,979,000, or 106 percent, compared to September 30, 2006. In February 2007, the company also completely paid down its loan of $1,000,000 and has no long-term debt.
Commenting on the year-end results, President and CEO Robert W. Hagger said, "We are very pleased with the double-digit revenue growth we experienced in both the current quarter and the full fiscal year. Our strong management team has been built with future company growth in mind. Over the past year, we have strategically reorganized the business; centralizing development, support and services to prepare us for this growth. Since Ken Bero, COO and senior VP of sales, joined us from Business Objects in June 2006, he and his team have done a tremendous job helping me to reposition the company."
"Datawatch's leadership position in the EIM market allows us to take advantage of the increasing intersection of Business Intelligence and Content Management, as evidenced by strong sales and critical strategic partnerships with companies including Microsoft, IBM and Hyland Software," said Mr. Bero. "It's clear from the traction we are realizing in the market that customers benefit from our ability to turn existing business documents and reports into live, actionable data for analysis and better business decision making.
"During the year, Datawatch significantly enhanced its product portfolio with easy-to-use products that help customers improve business intelligence across the organization with dramatically reduced time, cost and complexity. New products include an e-mail archiving solution, Datawatch|MailManager, which helps organizations maximize e-mail storage efficiency, manage the e-mail lifecycle, and fulfill regulatory and e-discovery requirements. In addition, Datawatch introduced a web-enabled enterprise BPM Solution, BDS|Workflow; and optimized versions of Datawatch's web-based report mining and analysis solution, Monarch|RMS (Report Mining Server), for use with the IBM Content Manager OnDemand and Hyland Software OnBase enterprise content management (ECM) software suites.
"In 2007, Microsoft selected Datawatch as a High Potential Managed Independent Software Vendor (ISV) because of Datawatch's ability to add significant value to SQL Server and Microsoft Office, including Excel and SharePoint Server," concluded Mr. Bero.
DWCH....a few thoughts....
Institutions will be gobbling up shares in days/weeks ahead. I expect more analyst coverage soon. DWCH already appeared on IBD's Best Under $10 list. I expect Motley Fool and other pumper sites to jump on the bandwaggon.
DWCH will double/triple from here. Short-termers and day-traders are gone IMO.
DWCH is a very compelling growth story in the hottest software sector....Business Intellegence.
Stay tuned for the company's presentation to Institutional Investors tomorrow. New CEO Bero will discuss how the recent wave of BI acquisitions is expected to further create market opportunities for the Company.
Prior to Datawatch, Ken Bero served as vice president, North American Channel Sales at Business Objects. In less than 3 years he grew his organization from $30 million to $75 million, and developed alliances with key distribution channels, Value Added Reseller's, Systems Integrators and over 4,000 direct and indirect partners.
Read between the lines....more $$$
http://biz.yahoo.com/bw/071120/20071120005701.html?.v=1
I expect Taglich Brothers to increase its price target to $12 based on the recent results and new trends. This is the most recent update with a target raised from $6.3 to $6.95. The analyst's expectations were pulverized with today's results:
http://www.taglichbrothers.com/equityuniverse/companies/datawatch/datawatch-09042007.pdf
Datawatch's portfolio of business intelligence and content management applications consists products that help organizations deliver the right information, to the right place, at the right time, in the right format to make better decisions and solve business problems...all with zero changes to their existing systems. Companies can quickly and easily access, archive, enhance, analyze, and deliver information from wherever it resides inside or outside the enterprise.
Datawatch Corp. serves an installed base of over 20,000 companies worldwide (over 90% Fortune 100 companies), institutions, and government agencies worldwide that use one or more of its products. Here is a partial customer list:
AETNA, GE, Scottrade , Bank One, BlueCross Blue Shield, Ford, General Mills,McDonald's, PepsiCo, Procter & Gamble, Sears, Toys "R" Us, Toyota, US Armed Forces (all branches), United States Postal Service, VA Medical Center, Wells Fargo, Corning, Lockheed Martin, New York Mercantile Exchange, State of California, Amerada Hess, Bank of England, BHP,cable and Wireless, Chase, Unilever
TARGET: $15
DWCH (Datawatch Corp.) REPORTED A BLOCKBUSTER 4Q AND FY 2007 ON NOVEMBER 27.
Nasdaq's DWCH, a growing player in the high-growth business intelligence (BI) sector beat analsyts' expectations by a large margin, in every category, as it reported ITS financial results for 4Q and FY 2007 on Tuesday, November 27.
Even with Tuesdays 16% gain, DWCH is still trading at little over 1 times sales and a forward PE of about 12. Competitors like ACTU trade at over 3 times sales. DWCH float is only 3.5M shares. DWCH market cap is only $31M.
On Wednesday, November 28 DWCH will present at The Wall Street Analyst Forum. CEO Ken Bero will discuss how the recent wave of BI acquisitions is expected to further create market opportunities for Datawatch.
DWCH is now rated No. 6 among IBD's Best Under $10 stocks.
4Q 2007 and FY 2007 EARNINGS SUMMARY:
- 4Q 2007 Revenues of $6.85M up 29% compared to $5.33M in 4Q 2006
- 4Q 2007 net income of $829K or 14c/share vs. a loss of $530K or 10c/loss in 4Q 2006
- FY 2007 revenues of $25.3M up 21% vs. $20.8 for FY 2006
- FY 2007 net income of $1.7M or 28c/share vs. a loss of $555K or 10c/share loss for FY 2006
- FY 2007 gross margin of 75% vs. 69% for FY 2006
- Cash up by $2M in 2007
- During 2007 DWCH paid of its long-term debt
- Stockholders' equity increased 33% in 2007 compared to 2006.
During the 4Q 2007 CC CEO Ken Bero was bullish about the near and long-term future of the company. He highlighted that it's Monarch V9 released in February 2007 continue strong sales and are expected to be strong for at least 6 more quarters as the migration to MSFT Vista continues. Other new product releases/upgrades also sold briskly and are expected to provide further upside in upcoming quarters.
CEO Bero also mentioned that the relationship with IBM and Highland OnBase Partners will likely yield 5000 and 3000 new customers respectively. He mentioned that some integration is already taking place and there is tremendous upside in this area
Commenting on the year-end results, President and CEO Robert W. Hagger said, "We are very pleased with the double-digit revenue growth we experienced in both the current quarter and the full fiscal year. Our strong management team has been built with future company growth in mind. Over the past year, we have strategically reorganized the business; centralizing development, support and services to prepare us for this growth. Since Ken Bero, COO and senior VP of sales, joined us from Business Objects in June 2006, he and his team have done a tremendous job helping me to reposition the company."
On October 22, 2007, the company announced that Mr. Hagger will retire from his position as president and CEO effective December 31, 2007. The Board of Directors named Mr. Bero as his successor, with his appointment to be effective on January 1, 2008.
"Datawatch's leadership position in the EIM market allows us to take advantage of the increasing intersection of Business Intelligence and Content Management, as evidenced by strong sales and critical strategic partnerships with companies including Microsoft, IBM and Hyland Software," said Mr. Bero. "It's clear from the traction we are realizing in the market that customers benefit from our ability to turn existing business documents and reports into live, actionable data for analysis and better business decision making.
"During the last quarter, Datawatch continued to experience strong demand for its world-leading report mining and analytics solution, Monarch V9, which was released in February 2007. In addition to strong sales of Monarch V9, the quarter saw the continued robust growth of the company's enterprise business.
"During the year, Datawatch also significantly enhanced its product portfolio with easy-to-use products that help customers improve business intelligence across the organization with dramatically reduced time, cost and complexity. New products include an e-mail archiving solution, Datawatch|MailManager, which helps organizations maximize e-mail storage efficiency, manage the e-mail lifecycle, and fulfill regulatory and e-discovery requirements. In addition, Datawatch introduced a web-enabled enterprise BPM Solution, BDS|Workflow; and optimized versions of Datawatch's web-based report mining and analysis solution, Monarch|RMS (Report Mining Server), for use with the IBM Content Manager OnDemand and Hyland Software OnBase enterprise content management (ECM) software suites.
"In 2007, Microsoft selected Datawatch as a High Potential Managed Independent Software Vendor (ISV) because of Datawatch's ability to add significant value to SQL Server and Microsoft Office, including Excel and SharePoint Server," concluded Mr. Bero.
ABOUT DWCH:
Datawatch Corp. serves an installed base of over 20,000 companies worldwide (over 90% Fortune 100 companies), institutions, and government agencies worldwide that use one or more of its products. Here is a partial customer list:
AETNA, GE, Scottrade , Bank One, BlueCross Blue Shield, Ford, General Mills,McDonald's, PepsiCo, Procter & Gamble, Sears, Toys "R" Us, Toyota, US Armed Forces (all branches), United States Postal Service, VA Medical Center, Wells Fargo, Corning, Lockheed Martin, New York Mercantile Exchange, State of California, Amerada Hess, Bank of England, BHP,cable and Wireless, Chase, Unilever.
DWCH keeps moving up. Nice volume again today
I tought that I would like this stock. But tiny market capitalization and of course a lot of 'pump' here makes me avoid it. It looks more like a monologue.
Datawatch Opens New Sales Office in Germany, Appoints Country Manager
Responds to Strong Demand for World's Most Widely Used Report Analytics Solution
Press Release Source: Datawatch Corporation On Thursday July 7, 2011, 8:00 am EDT
CHELMSFORD, Mass., and MUNICH, July 7, 2011 /PRNewswire/ -- Datawatch Corporation (NASDAQ-CM: DWCH), the leading global provider of report analytics products and services, today announced the opening of a German office and the appointment of Patrick Benoit as Country Manager. The Munich-based office will service Germany, Switzerland and Austria.
Datawatch's Monarch Report Analytics solution has gained significant customer adoption in the Germanic region to date, with over 2,000 customers -- among them BASF, Deutsche Bank, Deutsche Post, Kloppenburg, Lufthansa, Mercedes-Benz and Siemens. Datawatch has also developed and maintained longstanding partnerships with many resellers and implementers in the region, including Jolodata and SOS Software Service in Germany, Cancom in Austria and PC Ware in Switzerland.
"We have had remarkable success in Germany, Switzerland and Austria, despite having had no recent direct presence in this region," said Michael Morrison, president and CEO of Datawatch. "Together with our partners, we have already built a strong customer base and we owe it to these customers and partners to provide them the local support and service they deserve. The opening of this office is an important milestone in our overall strategy to extend Datawatch's market development in key geographies."
Benoit will be entrusted with the responsibility to develop new relationships with customers and partners to provide comprehensive support in the region. Benoit has had extensive experience and success in the business intelligence and performance management markets, with Oracle, Cognos and Applix (both now IBM). "I worked closely with Patrick at Applix and know the value he brings to an organization and its customers," continued Morrison. "I fully expect him to drive exceptional growth for us in this region."
"The Monarch Report Analytics platform is perfectly positioned for this region and the market," said Benoit, country manager. "It is a solution that deploys quickly and cost effectively, and one that provides particular value to companies that have implemented SAP or are in the process of implementing SAP. There is also a big opportunity in the region for the Monarch Report Analytics platform to help organizations integrate and consolidate data from multiple systems, including both legacy systems and on demand environments. I am excited to get to work growing our presence and capabilities in Germany, Switzerland and Austria."
About Datawatch Corporation
Datawatch Corporation (NASDAQ-CM: DWCH) empowers organizations to transform the massive amounts of information that is trapped in static reports, PDF files, text files and other content-rich, but difficult-to-use data sources, into a dynamic information analytics system that accelerates and improves decision-making throughout their operations. Datawatch's technology allows its tens of thousands of customers worldwide to leverage the investments they have made in reports from ERP, CRM and other custom applications into high performance analytic information at a fraction of the cost and time of traditional approaches. Datawatch is headquartered in Chelmsford, Massachusetts with offices in London, Sydney and Manila, with partners and customers in more than 100 countries worldwide. For more information, visit www.datawatch.com.
Media Contacts
Kelley Lynn Kassa
Datawatch Corp.
978-275-8240
[email protected]@datawatch
© 2011 Datawatch Corporation. Datawatch, Monarch and their respective logos are trademarks or registered trademarks of Datawatch Corporation in the United States and/or other countries. All other names are trademarks or registered trademarks of their respective companies.
Day's Range: 5.66 - 5.95
52wk Range: 2.23 - 5.99
Volume: 17,952
Avg Vol (3m): 12,398
Market Cap: 35.69M
P/E (ttm): 99.00
EPS (ttm): 0.06
Div & Yield: N/A (N/A)
Technicals
Last Price Quote is:
4.13%above 13-day EMA
6.76%above 50-day EMA
RS Rating: 90
Good chart...
MACD looking good, if could only get a good surge in volume :-\