Stockpickr: Top Picks From a Top Hedge Fund

The company has a $243 million market cap, as well as $107 million in cash in the bank with no debt. In other worlds, almost half of its market cap is in cash.

It's almost as if Wall Street believes the company is going bankrupt, but nothing could be further from the truth.

Advanced Analogic Technologies had $11 million in EBITDA (earnings before interest, taxes, depreciation, and amortization) over the past 12 months, and Wall Street believes earnings are going to go up to 16 cents a share in 2007 and to 35 cents in 2008 -- where it would trade at eight times earnings, if you back out the cash.

Also, the company has met or exceeded analyst expectations in each of the past four quarters, and they also expect revenue to go up a healthy 30% from 2007 to 2008 -- from $93 million in 2007 to $124 million in 2008.

Hedge fund Citadel also owns Advanced Analogic Technologies, as does a do-it-yourself Stockpickr portfolio called Cheetah Capital Value Fund. That fund says that the company "is undervalued based on its potential cash flow and growth rate for the next five years." Click here to see its other holdings and comments.