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8/21/2010

Ben Graham would approve of this low risk idea (Boring, Ugly and Cheap)

The current closing price was $2.08 on 08/20/10 with a market cap of 8.40 million and an enterprise value of 3.214 million or .80 per share. A closer look at per share values shows cash (2.01) + AR (1.74) – Total liabilities (.73) = 2.99. The potential liquidation value is at a nice premium to the current price and is profitable. A going private transaction could also unleash significnat value for share holders.


Profitable sales were 36 million for the prior 12 months with 6.53 million in gross profits. The company has been buying back shares over the years and the share count has been steadily reduced from 2005 to the current TTM.

The company is TSRI: TSR Inc

TSR, Inc., provides computer programming services. The Company provides its clients with technical personnel to supplement or enhance their in-house IT capabilities. As of May 31, 2010, the Company provided IT staffing services to approximately 74 clients.

Long TSRI