The model upgraded Briggs & Stratton, a maker of lawn-mower and other outdoor engines, to "buy."
: Fiscal third-quarter profit declined 5.3% to $24 million, or 48 cents, as revenue grew 3.1%. The operating margin expanded from 6.5% to 10%. Briggs & Stratton has $28 million of cash and $348 million of debt, equaling a debt-to-equity ratio of 0.5.
: Briggs & Stratton has advanced 63% during the past year, outperforming stock-market indices. It trades at a price-to-book ratio of 1.6 and a price-to-sales ratio of 0.6, 51% and 59% discounts to peer averages. It's also cheap based on cash flow.
: Of analysts covering Briggs & Stratton, three advise purchasing its shares, two recommend holding and one suggests selling them.
expects the stock to gain 16% to $27.
believes it will hit $26.
The model upgraded Cymer, a designer of equipment for semiconductor manufacturers, to "buy."
: Cymer swung to a first-quarter profit of $16 million, or 53 cents, from a loss of $11 million, or 39 cents, a year earlier. Revenue doubled to $114 million. The operating margin turned positive. Cymer holds $172 million of cash and no debt.
: Cymer has risen 31% during the past 12 months, less than stock-market benchmarks. It sells for a PEG ratio, a measure of value relative to expected growth, of 0.1. A ratio below 1 implies a bargain. It's also cheap based on projected earnings.
: Of researchers following Cymer, six, or 67%, rate its stock "buy" and three rate it "hold."
projects a share price of $50, leaving a potential 37% return.
predicts that it will climb 26% to $46.
The model upgraded Micrel, a maker of analog and integrated circuits, to "buy."
: First-quarter profit rose fivefold to $9.7 million, or 16 cents, as revenue jumped 43% to $67 million. The operating margin widened from 4.8% to 22%. Micrel has $84 million of cash, equal to a quick ratio of 1.9, and $9.3 million of debt.
: Micrel has appreciated 48% during the past year, beating the
S&P 500 Index
. It trades at a PEG ratio of 0.2, a 31% discount to the industry average and a 78% bargain relative to projected growth. Still, it's expensive based on book value.
: Of firms rating Micrel, three advocate purchasing its shares, one recommends holding and three say to sell them.
Sidoti & Co.
expects the stock to soar 61% to $19.
( TWPG) believes the shares will rise to $16.
-- Reported by Jake Lynch in Boston.