This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

3 Small-Caps With Big Futures

Stocks in this article: MAMS CPSS

Most of the company's revenue comes from their UK operations, however. The U.S. side of the business has become more of a focus for the company over the past 12 months and should add to the company's top and bottom line in the coming years.

MAMS was spun off from its parent company in 2008 during the peak of the financial crisis. Due to the timing of the spinoff it was not just ignored, but completely buried under a torrent of negativity.

Since the spinoff, the company has essentially gone nowhere. This is despite a complete overhaul of management, debt structure and strategic objectives. The management team has taken great strides to reduce the company's debt and increase cash flow. They had a successful rights offering in 2010 that was oversubscribed, allowing the company to pay off debt. Cash flow has been steadily increasing and is projected to continue ramping up as the company moves forward.

From an economic perspective, the company is positioned in the right sector as individuals are increasingly prone to holding onto their cars until the wheels fall off. This is due to the current state of the economy in the U.S. and U.K., where unemployment and underemployment show little signs of dissipation. This causes an increase in automobile maintenance costs to the benefit of companies like MAMS.

The company is 40% owned by insiders. It has a very tight float. And on a technical basis is under heavy accumulation over the past several months.

CPSS

Consumer Portfolio Services (CPSS) is a company that is involved with subprime borrowers in the automotive industry. As with anything and everything having to do with subprime, the company was almost lost in the financial crisis of 2008. Their access to capital to make the loans needed for them to generate revenue froze up and the company nearly went up in smoke.

CPSS deals with consumers who do not have the credit worthiness to purchase automobiles. These consumers require a borrower who is willing to take on the risk of default in exchange for a higher interest rate. CPSS fills that need.

2 of 4

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 18,030.21 +6.04 0.03%
S&P 500 2,081.88 -0.29 -0.01%
NASDAQ 4,773.4720 +8.0480 0.17%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs