Good morning!

I was burning the midnight oil last night, updating yesterday's report, so for readers who only saw the original report, there are now new sections added on;

Johnson Service (LON:JSG) 

MySale (LON:MYSL)

STM (LON:STM)

Hydro International (LON:HYD) 

A couple of those look quite interesting actually, so yesterday's full report is worth another look - here is the link.

There's not much news today, so my plan is to write today's report, then also write a catch up report for Monday, to bring us up to date. I don't like gaps in the sequence, but sometimes it's unavoidable if I'm under the weather.

I liked the results from Somero Enterprises Inc (LON:SOM) yesterday, which seemed remarkably strong in its main market, the USA, considering that there have been worries of the USA going into recession.

So it was interesting to see that economic data released last night seemed to allay those fears, with both manufacturing and construction data from the US coming in above expectations. I think this is what's driving the current rally in US stocks - i.e. that the economic outlook is now probably better than investors feared in January. It's important to keep an eye on stuff like this, as it provides the context for our investing.


Seeing Machines (LON:SEE)

Share price: 4.25p (down 6.0% today)
No. shares: 943.9m
Market cap: £40.1m

CFO Resignation - today's announcement says that the CFO has tendered his resignation, to take up a non-competing CEO role. CFOs are usually career-minded, and hence them moving on to pastures new for a promotion, is not necessarily a red flag. However, I am wary when CFOs at jam tomorrow companies move on - as it sends me a signal that they don't see the future as very exciting in their existing job (otherwise they would have stayed).

SEE remains significantly loss-making, and by my calculations, it could well need another cash call in the not-too-distant future. Perhaps the CFO didn't fancy doing the rounds, and talking to the same investors again, to explain why the original business plan has not succeeded as yet?

The other big problem with SEE is that…

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