krotclan.blogg.se - Micro cap stocks with highest gross margins

MICRO CAP STOCKS WITH HIGHEST GROSS MARGINS SOFTWARE
MICRO CAP STOCKS WITH HIGHEST GROSS MARGINS PLUS

The company was founded in 1921 by Bill and Salle Utz in Hanover, Pennsylvania. It operates 14 facilities in eight different states, including Pennsylvania, where it’s located. Utz Brands owns several different snack brands, including Utz, Zapp’s, Golden Flake, Boiler Canyon, and Hawaiian Brand. 28, 2020, i t completed its merger with Utz Quality Foods to form Utz Brands.

3) It uses proprietary technology to help sales and service personnel better serve clients.Ĭollier Creek Holdings was a special purpose acquisition company that raised $400 million in October 2018 to combine with a consumer goods industry target.

2) It separates the sales function from the service function so that customers get best-in-class service and.

1) The company provides customers with over 100 insurance companies to choose from.

In the first nine months of 2020, Goosehead’s revenues grew almost 30% to $82.4 million, with adjusted earnings per share of $0.48, 45% higher than a year earlier.įounded in 2003, Goosehead focuses on a three-pronged approach to selling insurance: It provides homeowners and auto insurance for personal lines, general liability, property and auto insurance on the commercial side, and life insurance for both market segments. In August, I recommended investors buy this Texas-based independent personal and commercial lines insurance agency. Nonetheless, it’s among DWMC’s top 10 holdings. Like Five9, this company’s market cap of $4.5 billion is significantly higher than the traditional micro-cap definition. Remember that Five9 isn’t a micro-cap by definition - market caps of less than $300 million and more than $50 million - but it has an excellent business model, which is why DWMC continues to invest.

It isn’t hard to see why it’s done so well over the past five years. It’s currently reached about 15% of this market, so there are many opportunities to grow the business.īetween Q2 2014 and Q3 2019, it has increased the number of customers that spend more than $1 million annually from three to 49, and annual recurring revenue (ARR) from $6 million to $88 million.

MICRO CAP STOCKS WITH HIGHEST GROSS MARGINS SOFTWARE

And yet customers continue to receive poor service.įive9’s platform helps companies provide the kind of service customers want, where they want it, improving engagement scores with consumers and increasing sales.Īt the moment, Five9 is focused on the contact center software market, which is estimated to be $24 billion annually. companies spend $230 billion on contact centers each year. Seriously though, Five9’s cloud-based call center software platform addresses a pressing need in a very large market. That’s certainly the case with Five9, whose shares are up 122% year to date and 92% on an annualized basis over the past five years. These days it seems the only thing you have to do is have “X-as-a-service” in your product offering and your shareholders will be richly rewarded.

In its Q3 press release, it said the number of stores transitioned to direct-sales-distribution (DSD) in New York City had more than doubled. The company continues to transition from a wholesale distribution model to direct sales. Some might consider this a weakness, but given its market capitalization is about 1% of Coke’s, I see gross margins continuing to grow as the company gains scale in the U.S. By comparison, Coca-Cola’s (NYSE: KO) is approximately 60%.

In terms of gross margins, they increased by 420 basis points in Q3 2020 to 45.8%.

MICRO CAP STOCKS WITH HIGHEST GROSS MARGINS PLUS

The company reported excellent third-quarter results on November 12, with sales up 80% year-over-year to $36.8 million - 60% growth in North America (73% of sales) and 172% growth internationally (27% of sales) - plus 165% growth in its adjusted EBITDA to $6.9 million.

When it does, you’ll want to pounce on its shares anywhere in the mid-to-high $20s. That said, it’s worth keeping on your watch list.īefore you consider shares of Celsius Holdings, a maker of fitness-focused beverages, it’s important to understand that this stock has been on a tear in 2020, up 562% year to date through November 13.Īt some point, this stock has to take a breather. It’s important to keep in mind that DWMC has only been around since July 2018. Here are 7 micro-cap stocks to buy for the next 10 years:ĭorsey Wright utilizes a buy/sell process that eliminates any emotional guesswork and is based on a disciplined investing approach. Portfolio manager Dorsey Wright has his own proprietary systematic process for culling the herd, reducing the portfolio to a manageable number of stocks around 150, selected based on relative strength rankings and equal-weighted on a modified basis. ĭWMC starts with an investment universe of approximately 2,000 U.S. Another is to pick from among the ETF’s 151 holdings. If you’re looking to bet on micro-cap stocks for the long haul, one option is to buy the actively-managed AdvisorShares Dorsey Wright Micro-Cap ETF (NASDAQ: DWMC).