Hot Penny Stocks: XRS Corporation (XRSC)
I love to look for big movers in the penny stock world. And today Ive found a stock that moved big for a great reason. Shareholders are happy as the stock more than doubled in the last two months!
Do you know XRS Corporation (XRSC)?
This is a company thats in the Road Sciences Business
If youre like me, you said, What the heck is Road Sciences?
According to their website, XRS Corporation focuses on developing technologies and services making the trucking industry safer, more efficient, and more profitable.
They work on safety, compliance, tracking, improving performance, providing better communication, and intelligence around the trucking industry.
So the business looks like an interesting one
And the financial numbers arent too shabby.
Their latest quarterly announcement indicated an 8% growth in revenue from their mobile applications. Total revenue for the quarter was $12.8 million. However, they turned in a small loss of $791K for the quarter.
Despite the loss, the company raised the eyebrow of a competitor Omnitracs, LLC.
According to the Press Release, Omnitracs is a leading provider of fleet management solutions to transportation and logistics companies.
Omnitracs decided to buyout XRS and the management teams cut a deal for a $178 million takeover.
Just look at this chart!
So what did Omnitracs see in XRS?
They probably noticed a solid company in a quickly growing industry, with a great business and decent financials. Oh, and the 80 new customers XRS added to their customer base last quarter probably didnt hurt either!
This is a perfect example of a good company with a penny stock paying off big for investors.
Just two months ago the XRS was trading for under $2.50 a share and the buyout deal is for $5.60 more than double your money in just a few months.
Dont you love penny stocks!
Profitably Yours,
Penny Stock Research
Category: Hot Penny Stocks
