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Player Avatar aufergy (65.05) Submitted: 11/16/2012 3:21:32 PM : Outperform Start Price: $6.05 FHCO Score: -84.02

I just bought this in real life. The reasons I bought are:- Debt free balance sheet- Company has strong margins and produces healthy free cash flow. They even produced FCF in 2011 when their sales were way down due to some big orders that were delayed until 2012.- Very little (if any) competition. They have the only FDA approved product.- They have US and UK tax-loss carry forwards that will benefit net income.- Demand is increasing and they just completed an expansion of their production facility.A company that has a nice moat in a niche that should continue to grow, a strong balance sheet, and only one analyst following it. All that for 16x trailing earnings? I'm in. Peter Lynch would be proud.

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