The Chart of the Day belongs to the industrial machinery company Taylor Devices (TAYD) . I found the stock by using Barchart's powerful screening functions to find stocks with the highest technical buy signals, highest Weighted Alpha, superior current momentum and having a Trend Seeker buy signal then used the Flipchart feature to review the charts for consistent price appreciation. Since the Trend Seeker signaled a buy on 1/ 11 the stock gained 95.90%.
Taylor Devices, Inc. engages in design, development, manufacture, and marketing of shock absorption, rate control, and energy storage devices for use in machinery, equipment, and structures in the United States, Asia, and internationally. Its products include seismic dampers that are designed to mitigate the effects of earthquakes on structures; Fluidicshoks, which are compact shock absorbers primarily used in defense, aerospace, and commercial industries; and crane and industrial buffers, which are larger versions of the Fluidicshoks for industrial application on cranes and crane trolleys, truck docks, ladle and ingot cars, ore trolleys, and train car stops. The company's products also comprise self-adjusting shock absorbers that include versions of Fluidicshoks, and crane and industrial buffers, which automatically adjust to various impact conditions and are designed for high cycle application primarily in the heavy industry; liquid die springs that are used as component parts of machinery and equipment used in the manufacture of tools and dies; vibration dampers, which are primarily used by aerospace and defense industries to control the response of electronics and optical systems subjected to air, ship, or spacecraft vibration; machined springs used in the aerospace applications; and custom actuators for special aerospace and defense applications. It markets its products through a network of sales representatives and distributors. The company was incorporated in 1955 and is headquartered in North Tonawanda, New York.
Barchart's Opinion Trading systems are listed below. Please note that the Barchart Opinion indicators are updated live during the session every 20 minutes and can therefore change during the day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report.
Barchart Technical Indicators:
- 100% technical buy signals
- 210.61+ Weighted Alpha
- 176.61% gain in the last year
- Trend Seeker buy signal
- Above its 20, 50 and 100 day moving averages
- 9 new highs and up 56.02% in the last month
- Relative Strength Index 82.52%
- Technical support level at $52.83
- Recently traded at $54.99 with 50 day moving average of $38.75
Fundamental Factors:
- Market Cap $194 million
- P/E 21.08
- Wall Street has not discovered this stock yet and has no Revenue nd Earnings projections
Analysts and Investor Sentiment -- I don't buy stocks because everyone else is buying but I do realize that if major firms and investors are dumping a stock it's hard to make money swimming against the tide:
- Value Line give the stock its above average 2 rating
- CFRA's MarketScope Advisor rates the stock a strong buy
- 896 investors monitor the stock on Seeking Alpha
I usually do not include comments by other analysts but Taylor Irwin recently wrote a comprehensive article and made these points:
- Taylor Devices has experienced a shift in its revenue mix, with its Aerospace & Defense category becoming its largest and fastest-growing segment.
- The company has seen record revenues and backlog due to investment in product development and has widened margins and grown its cash position.
- The growing portion of A&D sales provides stability and resilience during downturns, and the company is well-positioned to benefit from increased military aid and investment in space.
- Management has proven its ability to run operations and allocate capital efficiently, expanding margins and a huge cash balance are clear examples.
- Shares look undervalued at current levels. I estimate a fair value per share of $47.74.
Additional disclosure: The Barchart Chart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance and reevaluate your stop losses at least on a weekly basis.
On the date of publication, Jim Van Meerten did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
