Prior to One Stop Systems (OSS) there were four previous low EV/revenue ratio stocks suggested by NIA:
NIA suggested Sterling Infrastructure (STRL) on August 28, 2017, at a price of $10.25 per share where its enterprise value was 0.387X revenue. On December 29, 2023, STRL hit a high of $89.80 or 1.397X revenue for a gain of 777.07%.
NIA suggested Lifeway Foods (LWAY) on June 10, 2019, at a price of $2.10 per share where its enterprise value was 0.451X revenue. On November 24, 2023, LWAY hit a high of $17.33 or 1.587X revenue for a gain of 725.24%.
NIA suggested Daktronics (DAKT) on November 28, 2021, at a price of $4.77 per share where its enterprise value was 0.302X revenue. On November 27, 2023, DAKT hit a high of $12.42 or 0.639X revenue for a gain of 160.38%.
NIA suggested Zedge (ZDGE) on August 21, 2023, at a price of $1.70 per share where its enterprise value was 0.309X revenue. On February 12, 2024, ZDGE hit a high of $5.18 or 2.11X revenue for a gain of 204.70%.
OSS has trailing twelve-month revenue of $65.99 million.
OSS has a net cash position of $10.91 million.
OSS had gross profit margins last quarter of 26.56% vs. Super Micro Computer (SMCI)'s gross profit margins last quarter of 15.40%.
SMCI is trading with an enterprise value/revenue ratio of 4.397.
OSS deserves a higher enterprise value/revenue ratio than SMCI.
For OSS just to match SMCI's enterprise value/revenue ratio of 4.397:
An enterprise value of $65.99 million X 4.397 = $290.16 million + $10.91 million in net cash = market cap of $301.07 million.
OSS has 20.60 million shares outstanding.
OSS should be trading for a minimum of $14.61 per share.
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 meant for informational and educational purposes only and does not provide investment advice.