01.09.2005
transtec share price gains expected
Focus Money
As far as the experts of "FOCUS-MONEY" are concerned, ample share price gains are to be expected for transtec's stock (ISIN DE0007241424/ WKN 724142) if the company manages to turn profitable.
On the expense of sales, computer specialist transtec has focused on high margin product lines. Thus far, this strategy has not been a success. From 2001 to 2004, transtec's sales declined by 58% to EUR 62.7 million. Last year, the company incurred losses of EUR 8.8 million. For the current fiscal year, sales of EUR 66 million and a small net profit of EUR 0.3 million are expected. This implies price-earnings ratios of about 40. in the coming financial year, price-earnings ratios might decline to 11, based on earnings forecast of EUR 1.1 million.
Bernhard Bruscha, chairman of transtec's board of supervisors, seems to have great trust in the computer specialist's future. He owns more than 73% of the company's shares. For months, the company's founder has been buying small blocks of shares via the stock market. While transtec operates in a highly competitive market, the company has stable direct customer relations. In future, the company aims to find new business customers for its computers primarily in the middle-sized company segment.
In the eyes of the experts at "FOCUS-MONEY", there will be ample share price gains if transtec manages the turnaround and achieves positives earnings in the future.
go up
transtec share price gains expected
Focus Money
As far as the experts of "FOCUS-MONEY" are concerned, ample share price gains are to be expected for transtec's stock (ISIN DE0007241424/ WKN 724142) if the company manages to turn profitable.
On the expense of sales, computer specialist transtec has focused on high margin product lines. Thus far, this strategy has not been a success. From 2001 to 2004, transtec's sales declined by 58% to EUR 62.7 million. Last year, the company incurred losses of EUR 8.8 million. For the current fiscal year, sales of EUR 66 million and a small net profit of EUR 0.3 million are expected. This implies price-earnings ratios of about 40. in the coming financial year, price-earnings ratios might decline to 11, based on earnings forecast of EUR 1.1 million.
Bernhard Bruscha, chairman of transtec's board of supervisors, seems to have great trust in the computer specialist's future. He owns more than 73% of the company's shares. For months, the company's founder has been buying small blocks of shares via the stock market. While transtec operates in a highly competitive market, the company has stable direct customer relations. In future, the company aims to find new business customers for its computers primarily in the middle-sized company segment.
In the eyes of the experts at "FOCUS-MONEY", there will be ample share price gains if transtec manages the turnaround and achieves positives earnings in the future.
go up
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