This stock will not gain anywhere close to North Peak Resources (TSXV: NPR) or ARHT Media (TSXV: ART) in 2022, but NIA's #1 favorite value play for 2022 is Daktronics (DAKT) currently trading for $4.77 per share.
DAKT is severely oversold trading with a 14-day relative strength index (RSI) of 30.48. This is a digital display signage company that will benefit big from Biden's infrastructure bill. Almost every NFL stadium, NBA arena, and Las Vegas casino uses their technology, but their biggest growth will come from digital signage for roadways, bridges, and transit systems to be paid for through the infrastructure bill.
Fundamentally, DAKT is insanely undervalued with a market cap of only $216.35 million. DAKT has $74.66 million in cash and no debt, giving DAKT an enterprise value of $141.69 million when they have revenue of $483.12 million! DAKT has positive operating cash flow of $56.65 million!
DAKT is trading with an enterprise value/revenue ratio of less than 0.30! DAKT is trading with an enterprise value/operating cash flow ratio of 2.50!
Past performance is not an indicator of future returns. NIA is not an investment advisor and does not provide investment advice. Always do your own research and make your own investment decisions. This message is not a solicitation or recommendation to buy, sell, or hold securities. NIA's President has purchased 200,000 shares of NPR in the open market. This message is meant for informational and educational purposes only and does not provide investment advice.