The Best Healthcare Stock To Buy Now, January 2014

http://gmcstockpicks.com  Proprietary algorithms at work.  Click here for our free newsletter: http://goo.gl/APYNVJ . This is a review of an undervalued stock in the Healthcare Sector and Medical Instruments and Supplies Industry.   Low priced stocks to buy. We do not look at penny stocks. Stock options are a safer bet than penny stocks. 

Like us on Facebook: https://www.facebook.com/gmconner14

Follow us on Twitter: https://twitter.com/gmcstockpicks

Add us to your circles on Google Plus:  https://plus.google.com/u/0/+Gmcstockpicks/posts

Subscribe to our podcast on iTunes:  https://itunes.apple.com/us/podcast/value-momentum-gmc-stock-picks/id737369520?mt=2

Listen and subscribe to our podcast on Stitcher Radio: http://www.stitcher.com/podcast/value-momentum-gmc-stock-picks?refid=stpr

Transcript Below:

Everyone Mathis Conner here with Conner management group today is Thursday, January 23, 2014

0:10

and this week within a look at the best healthcare stock to buy right now I hear the opening

0:16

page we see that the company is in the medical instruments and supplies industry and we see

0:23

its 12 month upside potential at 15.7% on to the second slide and we see that the name

0:32

of his company's copayment next ticker symbol H a E was given the name is Haman net access

0:42

HAE MON DTIC asked and you have the right on this company just hundred billion dollars

0:49

is not a household name but we think it's interesting opportunity as will describe the

0:56

following slide so Haman and its diminishing human antics Corporation engages in the design

1:04

development manufacture and marketing of automated blood component collection devices and surgical

1:10

blood salvage devices the United States and internationally it provides various plasma

1:15

products including Pete PCS brand plasma collection equipment and consumables plasma collection

1:22

containers and intravenous solutions swells information technology platforms for plasma

1:29

customers to manage their donors operations and supply chain so basically human that is

1:35

manufactures devices related to the collection of blood processing applied and also equipment

1:44

related to delivery of public website is HAE 8H 80 MON ET ICS.com says triple W Haman and

1:57

ask.com at their headquarters is in Braintree Massachusetts the company was founded in 1971

2:05

they have 3563 employees once again the ticker symbol is HAE there in healthcare sector their

2:15

specific industry is medical instruments and supplies headaches revenues the last 12 months

2:23

totaled $553 million still visible Smallman some some low was we look at the past there

2:31

net income of the last 12 months totaled 30 $31 million and net cash from operation last

2:39

12 months totaled $94 million market capitalization Haman X right now set to $.15 billion on to

2:50

their products and services slide we got a couple of pictures here we've got there logo

2:59

spelling at Haman X a blow that's the scummy blood management company we has couple excerpts

3:06

from the website one is in with their Haman X prize the reduce costs increase revenue

3:13

with says our new donation product is introducing our new whole blood technologies µ and helping

3:22

hospitals and has patient care and manage costs and United you got pictures of "woman

3:32

writing on electronic tablet another technician on Dr. taking one's blood pressure and another

3:41

looks like a bunch of doctors doing surgery I will send a picture of their corporate headquarters

3:48

selected to three started rebuilding and Braintree Massachusetts and we also have pictures of

3:57

the top two executives a picture of Brian Concannon their president and CEO and a picture

4:04

of Peter Allen their president of global global plasma and going on to Summit metrics annual

4:13

revenues the last 12 months for the again $953 million net income $31 million and the

4:20

cash from operations of the last 12 months totaled $94 million taking a look at the operating

4:28

margins headaches operating margins for 2012 was 21.9% after 2013 it's been tracking to

4:39

be 26% so that's a nice increase an and margins and its related to and acquisition that they

4:48

made and 2012 trailing P/E ratio right now is at 69.6 that is unusually high and then

5:00

you sometimes see distortions like that be because of acquisitions and if you can is

5:07

best try to find another source that it will restate that P/E ratio on in on apples apples

5:16

basis but as it stands at the U the trailing P/E ratio set 69.6 to forward P/E ratios at

5:24

16.8 of the paid ratios at 1.5 note not not too high the prices sales at 2.3 also unnecessarily

5:35

high and the price of books at 2.7 and the enterprise value to either.is at 14.6 Bevins

5:45

this getting up a bit high that last one looking at the recent closing price for Haman excessively

5:54

the company close at $41.70 52-week low the company was $37.71 and 52 week high was $45.90

6:10

so the price of the stock right now it's you know basically the middle between it 52-week

6:17

high and the 52-week low of 20 day moving averages at $42.31 the 50 day moving averages

6:25

at $41.94 and the 200 day moving averages at $41.27 so those moving averages are are

6:36

pretty pretty tight so that they Tells you that there hasn't been too much movement as

6:45

of late on in net net basis the average daily trading volume for Haman antics is 334,000

6:53

shares per day data for the company is 0.7 so it is a little less volatile to the market

7:02

on the upside is the downside and the dividend yield is at 0% average dividend payout ratio

7:10

0% Haman antics doesn't pay dividends onto their stock price chart see that around city

7:23

end of February Hemant X was around $40 and the beginning of May drop down to around $38

7:33

and then quickly rose to a high of nearly $46 and late July and then they had a precipitous

7:45

drop from their $46 down to nearly $40 and this happened in late July or early August

7:54

what happened during that period time the their earnings miss of any and that there

8:00

is is quite a bit of pullback the stock bounced around little bit since late July and that

8:08

it declined back down to around 3050 and early November and then increased again past $43

8:17

and its now around $42 so the company's had a little bit of some some upside downs but

8:27

net net over a year ago it since around the the the same price and overall financial statement

8:38

quality of Haman antics is very good the they do they do have some debt and but they do

8:46

have have cash on on hand you know between 150 $200 million in net Morton takes care

8:55

of the debt they have doodad term is as well as the in the working capital demands so the

9:02

vast statements are are in good shape and as we mentioned earlier the operating margins

9:09

are improving substantially increasing from 2122% to 26% and that that's significant a

9:19

change and that's related to and acquisition and needed in August 2012 inquired a company

9:26

called while they quietly transfuse the transmission business from Monica McCall Paul Corporation

9:33

they been integrating it that into their operations additionally their sales over the past five

9:42

years is relates acquisition but the annual rates of sales last five years of increased

9:48

11.5% per year their earnings are expected to increase over the next year and the they

9:58

also made another acquisition of blues mamas acquisition of another company called and

10:09

Morris medicals SL elects collection systems and that's expected to help their their margins

10:16

increase a bit more so you know that are price private trans week we just saw overall the

10:24

past year you would consider flat the other overall market right now were rarer still

10:33

bears were starting to see some pullbacks from time to time different names has so you

10:41

know there are their some near-term headwinds but we we tend to believe that literally some

10:46

markets correct a very savvy they tend to correct quickly and you know past performance

10:55

is no prediction of future but will see how it goes and those still feeling Haman antics

11:00

is a good opportunity there the recent closing price was $41.70 our model C sees a 12 month

11:11

price target of $40.25 so that gives this opportunity 12 month appreciation potential

11:20

15.7% so imminent this is a company we think he should take a closer look at and is in

11:30

the healthcare industry we know that a lot of changes going on and it is not one of the

11:36

bigger companies that we see some upside potential with this name versus a number of others so

11:45

we feel that this is the best healthcare company to buy right now and all to our last slide

11:55

if you haven't yet the sign up for our Saturday morning newsletter you can get by going to

12:05

www.GMCstockpicks.com you be among the first to hear that great at best opportunities in

12:12

the market are picks are result of our own self developed algorithms where we are reviewing

12:20

and analyzing and ranking over 3500 stocks every week so we feel good about what we been

12:28

doing were new in the block and we can show it was just how good we are so good to our

12:33

website and sign up and that's all we have to this week take care and talk to set