7:29AM Small Cap fund makes picks in Barron's : Barron's interviews small cap fund manager Paul Sonkin of Hummingbird Funds.
His picks: Mity Enterprises (MITY 16.80): which makes plastic folding tables. Not exciting, but they have 16% operating margins and the hidden gem is a subsidiary called Broda that makes very specialized health-care seating. Says Mity could easily double earnings over the next five years;
George Risk Ind (RISKA 4.35): Makes pool alarms which are now required by law in Florida. Co has $14 mln of net cash and is earning $3.6 mln a year on an operating basis. Says shares could easily double from here;
Keith Cos (TKCI 13.16): provides engineering and consulting services to the real-estate industry, mostly in California and the Southwest. One of their big customers is Irvine Cos. and Keith Cos. will do the work on the sewers and the streets. Co could make an acquisition in thepower-consulting business that could add $25 mln to revenues and $0.20 to EPS;
Trailer Bridge (TRBR 5.16): They own tug barges and land-based truck trailers that transport cargo between Florida and Puerto Rico, a Jones Act zone which requires vessels manufactured in the U.S. and that fly the U.S.
His picks: Mity Enterprises (MITY 16.80): which makes plastic folding tables. Not exciting, but they have 16% operating margins and the hidden gem is a subsidiary called Broda that makes very specialized health-care seating. Says Mity could easily double earnings over the next five years;
George Risk Ind (RISKA 4.35): Makes pool alarms which are now required by law in Florida. Co has $14 mln of net cash and is earning $3.6 mln a year on an operating basis. Says shares could easily double from here;
Keith Cos (TKCI 13.16): provides engineering and consulting services to the real-estate industry, mostly in California and the Southwest. One of their big customers is Irvine Cos. and Keith Cos. will do the work on the sewers and the streets. Co could make an acquisition in thepower-consulting business that could add $25 mln to revenues and $0.20 to EPS;
Trailer Bridge (TRBR 5.16): They own tug barges and land-based truck trailers that transport cargo between Florida and Puerto Rico, a Jones Act zone which requires vessels manufactured in the U.S. and that fly the U.S.
