December 16, 2004
SpeculatingStocks.com Stock Pick: Rockford Corporation (ROFO)
Stock Price: $2.05 (long-term strong buy)
Rockford is a designer, manufacturer and distributor of high-performance audio systems for the mobile, professional, and home theater audio markets. Rockford's mobile audio products are marketed under the Rockford Fosgate, Lightning Audio, MB Quart, Q-Logic, InstallEdge.com and Omnifi brand names.
This company is a turn around play, they reported a $31.4 million loss for the 3rd quarter on sales of $41.1 million. $26.5 million of the loss was due to a business realignment charge.
ROFO appears to have strong support at the $2.00 level with a book value of $2.37. We believe the company will now begin to turn around as all the bad news is behind them.
SpeculatingStocks.com Target Price: We expect ROFO to hit $6.00 within the next 6-12 months.