Good morning!
I'm heading into London today for a lunch with the Directors of SCISYS (LON:SSY), so will have to rattle through this morning's announcements more quickly than usual.
Tracsis (LON:TRCS)
I don't normally comment on contract win type announcements, as they usually contain insufficient information to determine whether they are financially material or not. However, this one looks interesting - details on the extension to a further six sites of a North American pilot of Tracsis's remote condition monitoring product & software. Tracsis commented;
The extension of this pilot to a further six sites is a very positive endorsement of the Tracsis offering and a logical next step as our client gains confidence in the technology and the benefits it provides. We hope that this will pave the way for further successes within the US as our footprint into this territory grows.
It doesn't take a genius to work out that if this product becomes widely adopted in the USA, then that would be very good for Tracsis and its shareholders. The shares are never cheap, but the company does seem to have interesting potential. The Stockopedia graphics below starkly show how the valuation is high, but the quality is also high! Expansion into a new, and huge market such as the USA could be a game changer though, hence in my view it looks potentially interesting, even at this rather high current valuation.
SCISYS (LON:SSY)
I like the valuation of this software group. It's a good quality business, at bargain price in my view. Indeed it comes up on the Stockopedia "neglected companies" screen, which has some interesting shares in it. I'll bookmark this screen, as there are some good results from it, both in terms of companies that I already know are good & cheap, and also because it has been a strongly performing screen over the last two years.
As mentioned above, I'm meeting the Directors for lunch today, so if you have any good & concise questions that you'd like me to ask, then please let me know asap in the comments below, or Tweet me @paulypilot .
A trading update today says;
As anticipated in the Company's AGM statement at the end of May, the first half of 2014 has finished positively and the Directors…
