Buy this one for some short-term profits.
Baldwin Technology manufactures cleaning, fluid & temperature management hardware for the printing industry. It’s a global company—50% sales in Europe, 25% America, 25% Asia and Australia. It usually earns $6 or 7 million before the recession. In 2009, it lost $12 million. After a restructuring, it turned profitable again for the first nine months in 2010, earning $3 million.
Now the industry it serves is declining, since printing media is being replaced by the online. Still the stock is cheap—at $21 million in market cap, or 6X earnings—and its cost cutting has worked, at least for the short term.
Buy it at current price of $1.37 per share and sell at $1.7 later, for a crispy 30% gain in what could be several months. It may as well go down to $1—if so, hold on to it.
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