PWT was recommended as part of a speculative portfolio some time...

PWT was recommended as part of a speculative portfolio some time ago. Subscribers are still down on this one, but the recent trend has been encouraging and last week’s announcement offered further positive news for shareholders.

The company provided guidance to revenue figures for the full year (ending December 2004), which represented a modest increase on previous guidance. We expect earnings will probably surprise on the upside (modestly) too, although, the company did not provide earnings figures last week.

Based on an expected EBITDA around $22m for the full year, the stock is on around 10 times EBITDA to EV. This alone is not super cheap, but with the current strong trend in revenue growth, we expect a better result in 05.
We suggest subscribers hold this one for further gains. It remains high-risk, but the odds favour higher prices over coming months