Gencor Industries Inc. (NASDAQ:GENC)

CAPS Rating: 5 out of 5

Results 1 - 14 of 14

Recs

0
Member Avatar StudyofPatience (41.62) Submitted: 8/6/2014 12:10:40 PM : Outperform Start Price: $10.04 GENC Score: -4.59

Gencor is a company in Florida that manufactures and sells road construction equipment.

There are a few things I like about the stock:

The price/book value is low, with most of their book value in cash/short-term investments. (About 40% in US Treasuries)

They company has no debt while number of outstanding shares has remained the same since 2009.

Insiders hold significant positions.

That said, Gencor is in a strange standing as a company:

Gencor has remained profitable, but has seen revenues and margins decline year over year. In fact, the gain on investments was greater than operating income for the results released 8/5/2014.

I tend to shy away from businesses that are more interested in investing in other businesses than themselves. It will be interesting to watch whether Gencor can capitalize on future highway bills, or remain stagnant.

They are not exciting as they do not seem to be growing, but I think Gencor is selling for less than what they are worth. The main risk here is if they make bad decisions with their short term investments and end up destroying share holder equity.

Recs

0
Member Avatar WPThatcher (40.27) Submitted: 12/4/2013 5:09:34 PM : Outperform Start Price: $9.31 GENC Score: -3.81

Negative enterprise value

Recs

0
Member Avatar RFID (89.15) Submitted: 10/8/2012 3:41:26 PM : Outperform Start Price: $7.20 GENC Score: +1.85

Net/Net , selling less than it cash value

Recs

0
Member Avatar bjm1625 (51.88) Submitted: 8/19/2012 2:33:46 AM : Outperform Start Price: $7.64 GENC Score: -9.64

Company selling for less than cash and short term investment on balance sheet- a new highway bill should be a catalyst for the country

Recs

0
Member Avatar pesevic83 (< 20) Submitted: 6/25/2008 1:20:58 PM : Outperform Start Price: $12.20 GENC Score: -73.41

road construction and a new tech company

Recs

1
Member Avatar wallypk1 (52.20) Submitted: 6/16/2008 5:08:23 PM : Outperform Start Price: $13.08 GENC Score: -74.54

Gencor Industries is a manufacturer of heavy machinery used in such things a road construction. Gencor also produces hot mis silos, fabric filtration systems, cold feed bins, pumping equipment for very viscous materials, rotary dryers, fluid heat transfer systems and other highly specialized equipment. The campany has been in business since 1968. It was formerly inown as Mechtron International but the name was changed to Gencor in 1987.

The current P/E is under 6 with earnings of $2.43/share and a current price of only $13.07. Gencor appears to be seriously undervalued in todays market.

Forcast earnings growth per share for the coming year are over 30%.

With our country's serious infrastructure problems, we have a lot of catching up to do in bridge and highway repair and construction. Gencor appears to have very good fundamentals for long term solid growth.

A share price increase of over 100% would not be out of the question.

Recs

2
Member Avatar CSIR (< 20) Submitted: 6/8/2008 10:58:45 PM : Outperform Start Price: $14.00 GENC Score: -79.40

CEO and one of directors clearly got in a fight and Miller sold his shares at a fast rate (and is just finishing off selling). He had a great deal of shares so this in combination with the drastic drop in earnings have caused too large of a sell off.

# Mr. Lloyd Miller only attended the Board meeting immediately after being elected to the Board on March 6, 2008. At that Board meeting he was elected to the Audit Committee but never attended one of it's meetings and then resigned from the Board on May 7, 2008, and based on recent conversations with management, he did so purely for personal reasons and convenience and maintains a professed high esteem for the company, its management, and its future.
# The resignation of Mr. Miller from the Board left a vacancy in the Audit Committee, which the Board will be moving forward to fill with a qualified independent director well within the period allowed by NASDAQ. Therefore, there is no issue.

A side note he used all of the money gained off GENC sale to purchase transworld entertainment.

GENC has far too much cash and has products that we will need for the foreseeable future.

Recs

1
Member Avatar 7dogs (52.22) Submitted: 5/29/2008 10:38:45 AM : Outperform Start Price: $14.18 GENC Score: -77.58

Gencor Industries is a diversified heavy machinery manufacturer for the production of highway construction materials, synthetic fuels and environmental control machinery and equipment used in a variety of applications. PE under 7. Some equipment manufacturers have eliminated construction equipment for the sake of agricultural equipment's booming market, possibly leaving large market share for this company when highway construction picks up.

Recs

0
Member Avatar Baconator (< 20) Submitted: 5/19/2008 10:31:18 PM : Outperform Start Price: $15.96 GENC Score: -82.35

10

Recs

1
Member Avatar tenmiles (99.65) Submitted: 5/13/2008 10:25:30 AM : Outperform Start Price: $17.63 GENC Score: -90.63

Debt free with roughly 43% of market cap in cash, Gencor is a busted momentum darling that has now reached an attractive long term value buy zone around $17. Company's results were not that bad; expect road building industry to experience renewed investor interest post election - strong long term buy on this small cap.

Recs

0
Member Avatar suh4175 (45.85) Submitted: 5/9/2008 5:02:30 PM : Outperform Start Price: $24.88 GENC Score: -108.20

Technical triggering Buy, look for 5 percent move next week.

Recs

4
Member Avatar pytheian (31.48) Submitted: 5/8/2008 5:07:27 PM : Outperform Start Price: $28.20 GENC Score: -112.32

This firm is in all the right businesses - heavy machinery for highway production, synthetic fuels, environmental control equipment, etc. Working on developing different biomass fuels, waste fuel recovery, asphalt recycling, other products. Need for investment in infrastructure and alternative fuels is overwhelming. What else is good:

- P/E of 10 (note: trailing results were unusually strong)
- Steady increase in shareholder's equity past 5 years while debt was eliminated
- Keeps increasing R&D spend at steady rate
- Great liquidity/working cash position
- 37% ROE
- Impressively for small-cap stock, has suffered no serious corrections for about 5 years

Buy it, sleep well. It'll eventually rip.

Recs

3
Member Avatar pshea12 (33.89) Submitted: 4/28/2008 6:18:02 PM : Outperform Start Price: $27.48 GENC Score: -111.91

Sitting in a good market and position for long term growth Gencor Industries, Inc., is a manufacturer of asphalt plants, soil remediation plants, combustion systems and screening equipment for the road and highway construction industry.

Recs

0
Member Avatar deuspecuniae (96.15) Submitted: 4/25/2008 5:48:28 PM : Outperform Start Price: $28.20 GENC Score: -112.32

This growing food shortage problem is going to get worse and since the dems are going to be taking over the White House, I'm pretty sure right now is a good time to get into anything farm related. Say hello to government aid money.

Results 1 - 14 of 14

Featured Broker Partners


Advertisement