Been turning this one up in my stock screener lists over the last week or so on differing criteria. Anyway took the plunge this morning and added more after seeing this item from GCI, its derd cheap and should be on at least double that P/E. Well worth a read and please DYOR................

OpSec - STRONG BUY
Companies: OSG
07/11/2006

Growth Company Investor recommendation OpSec the anti-counterfeiting counter backed at 42.5p earlier this year when known as Applied Optical Technologies merits closer investor inspection ahead of forthcoming half time figures to September.

Last year proved a watershed, with the company moving into the black with a 1.7m full year profit scored on 25.4m sales, under the stewardship of chief executive Mark Turnage.

And quite simply, the company continues to go great guns. A recent pre-close update, ahead of the interims, boasted that figures for the year to March would be significantly ahead of forecasts. The European operations have performed strongly, and the interims will show dramatic improvement year-on-year. And though the American operations experienced a slow first quarter, business picked up markedly in the second quarter.

Turnage is clearly delighted with June acquisition GenuOne, bought for 7m in cash, which provides anti-counterfeiting software that allows brand owners to monitor and protect their products and brands across auction sites like eBay. Fundamentally important to the brand protection business, the acquisition has created a unique company able to meet the needs of global brand owners in both the online and supply chain environments.

3dcd, the groups 50-50 joint venture with Technicolor, also had a remarkable first half, with Microsofts imminent software launch having buoyed business. For March 2007, upgraded forecasts suggest pre-tax profits of 3.8m from approaching 31m sales, and earnings of 5.2p, placing the shares on a forward price-to-earnings multiple of 12.1. That is way too low for a cash-rich growth company with global brands on its client list. Buy.

James Crux
Market cap: 33.6m
PE Forecast: 12.1

Goldfinger

You may be interested in this article in the Indy today.

http://money.independent.co.uk/personal_finance/invest_save/article2408025.ece

Ian

Cheers Ian, just one of the many areas OSG is engaged.

Far more to come here.

Turned positive agin.

Any TA fans out there?, TA looking good or mixed?.

RSI looks positive.

morning GF. No idea re the TA, but off-thread, it's nice to see that CHCP has ticked up 0.5p

Goldfinger,

IMO, I'd buy in about 95p-96p, which is back above the 50MA, and would also be a break of the 'lower-highs' trendline in place since the end of January. I'd also look for higher volume on the break. The MA may act as a support/resistance level.

Stops would be in area of 85p, being the top of the gap up on 24 January - it looks like it bounced off near there earlier this week?

Hope this helps.

Steve

Steve,

many thanks for that.

Not a TAer these days other than the basics. Used to be a student and user up to Elliot Wave Theory, but found value investing more to my liking.

Sort of got out of practice, so its nice to be able to get the TA experts view on a stock aswell as the fundies point of view.

Many thanks again.

Cheers GF.

Results shouldnt be far off, we are looking for 3.8 million profit and 5.20p EPS giving 49% EPS growth.

Goldfinger,

Never understood Elliott Wave Theory - I just look at price movement patterns and the volume - if it ties it in with a good growth/turnaround story then so much the better.

Steve

Hi Steve,

yep its all about what suits you personally that and having the nerve to ride out minor glitches etc.

I understood Elliot but feel its flawed.

Nudging up this morning.

Nice to see this one positive again.

anyone got an opinion on this one is it on a upward trend or to early to tell?

Too early spudders.

wait a while.

Cheers Gf.

Blue again.

Good morning, GF. I'd like to echo Spudgun's question. Could this be back on the upswing? The 1p spread makes it look like a buyer's market, however at 85p to buy that's a PE of 17, and recent FY earnings were inflated by that deal with Microsoft. Chart-wise we're way below the 20, 50 and 90 DMA, so there's not much help to be found there.

I'm tempted, but I think I also see value in AMBR - may trade that instead.

AMBR, Ill have a butchers cheers ST.

Looks like its on a momentum run now.

Would have been quite a good pick at 85p after all ;o)

OSG Bid: 88p Offer: 91p Change: 6

Results due soon any thoughts?

Strong results from this one...

Opsec Security FY pretax nearly triples on sales growth, eyes acquisitions
AFX


LONDON (Thomson Financial) - Opsec Security Group PLC said its full-year pretax profit rose on sales growth, and it sees further underlying growth and acquisitions.

The supplier of anti-counterfeiting technologies said its pretax profit for the year ended March 31, 2007 rose to 5.17 mln stg from 1.73 mln stg while sales for the period grew to 33.1 mln stg from 25.4 mln stg.

On an adjusted basis, operating profit more than tripled to 5.8 mln stg helped by an exceptional contribution of 3.3 mln stg from its joint venture 3dcd.

The company proposed a final dividend of 1 pence per share.



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