This month's magic formula stock is one of the cheapest stocks available on the market (selling for a P/E around 5x), and on top of that it’s got some really compelling catalyst opportunities.
Most stocks selling for 5x P/E are shrinking quickly or facing declining markets. But this stock has almost doubled revenues from fiscal 2008 to fiscal 2012. Even better, profits have more than tripled.
The share price is currently depressed because of a forced seller and small float. But there's reason to believe there are several catalysts on the horizon, including the potential for a highly lucrative sale.
Our target share price is almost double today's price, and that could be conservative if the company's growth looks anything like it did from fiscal 2008 to 2012.
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The pick for November has a market cap closing in on $1 billion dollars, with sales in excess of $2 billion dollars. The company's profits are consistent. The company plays a vital role in the electronics manufacturing industry.
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