NASDAQ:TWPG
$3.86
(3/19 4:00PM)
-0.3%
| Open | $3.9 |
Mkt Cap | $126.8 Million |
| High | $3.9 |
52Wk High | $6.36 |
| Low | $3.72 |
52Wk Low | $3.47 |
| Volume | 128,289 |
Avg Vol 10D | 65,600 |
A Word Of Caution
While we stand by our ratings methodology for long term value investors, sometimes smaller companies will be more volatile in terms of revenue, cash earnings, and other fundamental factors. Thomas Weisel Partners Group, Incorporated (TWPG) is such a stock. Because many micro-caps are lightly traded their stock price can fluctuate because of a single large trade. Also, there is less analyst coverage of such micro-caps and therefore less information from which to base our ratings.
While this company may not get as much press because of its small size, please take a moment to look at the RazorWire feed on the right hand side of the report. Any time Thomas Weisel Partners Group is mentioned on business television or influential blogs a clip of that will be displayed. This helps to bring you up to speed on any major issues they are facing right now, both positive or negative.
Therefore, (and as always), check additional sources and available information regarding TWPG before making an investment decision.
TWPG Revenue
Cash earnings is the most important factor in our analysis, but it goes without saying that if a company cannot produce sales then there is no ability to generate cash flow. By that logic we look very closely at revenue numbers as our second most important factor in valuing a company's stock. We have established reasonable Price to Sales per share ranges based on historical data of the last 5 years. For, TWPG the high and low end of the Price to Sales per share ratios are 1.97x and 0.69x respectively.
Notice that TWPG's current Price to Sales per share ratio is 0.75x, which is well below its normal historic Price to Sales levels. At a price of $4.00, TWPG is 44% below where we would expect to see it. Clearly, this stock looks undervalued compared to historical levels, at least on a Price to Sales basis. This will positively affect our analysis because it is rare to find a stock this far below historical norms, and we would expect some price appreciation to bring this metric back towards a more normal range.
TWPG Cash Earnings
Cash (and the ability of a company to generate it) is a pivotal analysis at Ockham Research. With TWPG, we have found that we don't have as many years of positive Cash Earnings as we would like in order to run an analysis. When a company like TWPG has had several years of negative Cash Earnings mixed in with their positive years, it can be difficult to really get a good analysis of their potential. At Ockham, we always advise that Cash is key to any investment, so investors should consider the lack of positive years available as a signal that other types of analysis may need to be more heavily relied upon in TWPG's case.
TWPG Dividends
A positive Ockham rating does not require a company to pay out an inviting dividend or a dividend at all. However, we believe dividends provide a useful measure of a company's inherent expectations. As of the time of this report, our data provider does not have historical data for TWPG. Therefore, we are not utilizing the dividends portion in our study. So, we do not know whether TWPG currently pays a dividend at present or not, we have an "expected dividend" payment listed in key fundamentals but cannot varify it.
Heard on Tech Trader Daily-Barron's: CEO of TWPG Discussed
Keeping up with a CEO is one way that we try to better understand the direction of a company, and there was talk about TWPG management on Tech Trader Daily-Barron's.
When taking into account the amount of news coverage each stock normally sees as a percentage of the total, Thomas Weisel Partners Group, Incorporated has actually sunk a bit in comparison to the others. The Ockham valuation currently has a Fairly Valued stance on TWPG because it trades within the price range that we would expect given current market conditions and fundamentals. Interestingly, overall sentiment looks bearish according to the Motley Fool's CAPS survey, as most of their users see Thomas Weisel Partners Group, Incorporated underperforming.
“… THOMAS WEISEL PARTNERS analyst Ajit Pai late Wednesday raised his rating on Corning (GLW) to Overweight from Market Weight. …”
The Chief Executive of TWPG Was Discussed on Squawk On The Street
CEO's are the strategic leaders of their companies, so any mention of them will garner special interest from us.
Interestingly, overall sentiment looks bearish according to the Motley Fool's CAPS survey, as most of their users see Thomas Weisel Partners Group, Incorporated underperforming. When taking into account the amount of news coverage each stock normally sees as a percentage of the total, Thomas Weisel Partners Group, Incorporated has actually sunk a bit in comparison to the others. Take notice of the news on this stock because it is up $0.30 since the close of trading yesterday. The Ockham valuation currently has a Fairly Valued stance on TWPG because it trades within the price range that we would expect given current market conditions and fundamentals. But as the price has risen in the last week, we have begun to look slightly less favorably on the valuation.
“… Corning, THOMAS WEISEL PARTNERS increaseing estimates to $19 from I think that's a target there. The firm still maintaining its market weight rating, giving concerns about lcd ... …”
Thomas Weisel Partners Group, Incorporated (TWPG) Discussed on CNBC's Fast Money
Thomas Weisel Partners Group, Incorporated is in the news. Find out how this impacts TWPG trading on Ockham Research.
Focus all this week. Time to take your position as retail earnings do ramp up. Take a look at calendar. A very full one. Macy's kicks things off tomorrow. And we'll hear from nordstrom's, jcpenney and abercrombie & fitch among others. Us any indication as to how happy this holiday shopping will here with us on set is liz dunn of THOMAS WEISEL PARTNERS. Liz, great to have you here with >> of the stocks you cover the ones that will be reporting weeks or so, which ones do you expect to beat expectations? >> I think macy's is going to beat expectations. Their gross margins are quite strong. I think that that's what we'll sales came in much, much better than they originally I think nordstrom is the other one to highlight. They far exceeded their original sales guidance. And I think gross margins will begin to turn the corner as >> do you anticipate commentary season? I think most of the retailers will provide it. But I do think that it's a little early and some will be hesitate tant to give guidance that's too robust ahead of black >> liz, I get the story inventories are down, they're running their businesses better, but abercrombie & fitch, i've missed this one completely. Valuations 22 times forward earnings just reported october comps lousy, october revenues lousy, gls comes out upgrades conviction buy list, another shop upgraded them as with'll. What am I missing here? Why is the stock continuing to go higher? >> well, the comp was horrible but it was an inflection point from where it had been trending it had been trending 30%, so 15% looks great. And I think what people are looking at with abercrombie is the international opportunity. I actually think that one could be a miss for the third quarter. I'm not recommending it. I think it's a little early.
“… to how happy this holiday shopping will here with us on set is liz dunn of THOMAS WEISEL PARTNERS. Liz, great to have you here with >> of the stocks you cover the ones that will be reporting weeks or so, which ones do you expect to beat expectations? >> I think macy's is going to beat expectations. Their gross margins are quite strong. I think that that's what we'll sales came in much, much better than they originally I think nordstrom is the other one to highlight. They far exceeded their original sales guidance. And I think gross margins will begin to turn the corner as >> do you anticipate commentary season? I think most of the retailers will provide it. But I do think that it's a little early and some will be hesitate tant to give guidance that's too robust ahead of black >> liz, I get the story inventories are down, they're running their businesses better, but abercrombie & fitch, i've missed this one completely. Valuations 22 times forward earnings just reported october comps lousy, october revenues lousy, gls comes out upgrades conviction buy list, another shop upgraded them as with'll. What am I missing here? Why is the stock continuing to go higher? >> well, the comp was horrible but it was an inflection point from where it had been trending it had been trending 30%, so 15% looks great. And I think what people are looking at with abercrombie is the international opportunity. I actually think that one could be a miss for the third quarter. I'm not recommending it. I think it's a little early. …”