Midday Market Overview

BVC 26.75p +2.25p
Moving well ahead today, as a force seller most likely has gone
I started a thread yesterday - FANTASY PORTFOLIO - BIG GAINS FOR 2009 - and BVC was the 1st share selected on it last night .............

Master RSI - 5 Feb'09 - 22:47 - 1 of 2 edit
No. 1
BVC price 24.125p (spread 23.75 - 24.50p)
Buy 41,450 shares @ 24.125p = 10.000

Background
BATM Advanced designs and produces broadband data and telecommunications solutions geared toward the needs of enterprises, corporate and Telecom networks.
BATM has excelled in the design and manufacture of innovative high-performance communications equipment.
Its leading edge technologies include fiber optic networking, multi-service transport, access solutions, and integrated IP voice, video and data services. BATM develops and produces an extensive line of all layer routing IP switches and muxes. Advanced optical solutions are integrated in many of those switches.

Facts
BVC had a very sucesfull 2008 growing at a rate of 60% at the Interim stage, much is expected for the full Year due on the 17th March 09 as the company already said at the update last Month.

Forecast / valuation
My Forecast is for $30.3M and 8.07c equivalent to 20.8M and 5.54p at today price of 24.125p gives a very low PE of 4.3. Is expected to declare a dividend over the last Year 1c and has cash of $60.1M ( 10.6p).

Reason for share price falling
The share price has fallen from 61p during the last 4 month, from what it seems there was a force seller, is now recovering very slowly as some Institutions have been buying again at this low prices, Indicators are at a point of oversold.

Why is undervalued
The P E for a company on the TECHNOLOGY business, making large profits paying dividend and having a large cash is well undervalued, as this type of stocks on normal times are price on PE of 16 to 18.

Indicators moving higher from oversold MAC on DIVERGENCE now positive as is crossing over
3 months Bollinger Bands - Indicators

End-of-day Market Overview