October 26, 2007
SpeculatingStocks.com Stock Pick: Sutron Corporation (STRN)
Stock Price: $11.67 (short-term strong buy)
Sutron Corporation designs, manufactures, and markets products and solutions for the collection and monitoring of hydrological, meteorological, and oceanic data primarily in the United States. This data is used for the management of water resources; for warning of potentially disastrous floods, storms or tsunamis; and for the optimization of hydropower plants.
For the most recent quarter, STRN reported record revenue of $6.60 million and record net income of $1.21 million, up 38% and 229% respectively over the same period last year. Earnings per share came in at $0.27.
The company anticipates a strong fourth quarter as STRN begins on a $5.99 million contract with the Afghanistan Ministry of Water Resources. We believe STRN can become a major water and weather monitoring play as both issues continue to come to the forefront.
STRN has momentum and is becoming discovered. STRN has been trading signifcantly higher volume than usual over the past ten trading days.