CUS has now retraced 12% from it's highs. As recently as June this year it retraced 12% from a high of $2.45 to $2.14. Supports levels are at $2.90 / $2.83 / $2.68. The Rectangular Top has broken to the downside and the retracement may be $3.25 - $3.06 = $0.19 giving a target of $2.87. $2.90 also makes the return to the long term trend line Jan 30 $1.15... July 29 $2.21 Dec 10th $2.90. If it can hold support at $2.90 the 6 month target is $3.95 based on an advancement of an average of 17.6 cents per month. This places CUS on a Forward PE of 12.3 on EPS of 32 cents. CUS peers are on PE's of 15. However this does not factor in the .50 cent increase in the direct charge feethe which gives a forward EPS of 53 cents and on the peer's PE of 15 that's $7.95 a share.
CUS Price at posting:
$2.81 Sentiment: Buy Disclosure: Held
