In the last four weeks, however, the shares have almost doubled, after the company reported earnings per share of $1 for its fiscal year ended June, 2009. But all the signs were there that the company's profitability was more buoyant than its share price. Astute value investors enjoyed the dramatic gains in this company's stock.
What has helped the company stay profitable through this downturn is its diversified customer base. While the mega yacht market may be taking a breather for a while, backlog for military customers has remained strong and in some cases increased from last year.
As evidence of the company's financial viability, its earnings through the first three quarters of fiscal 2009 remained relatively solid. Through the first 9 months of the year, TWIN generated operating income of $14 million; yet its market cap hovered around $70 million just three weeks ago, despite the company's reasonable debt to total capital ratio of 37%.
Despite the market's recent runup, for those looking for value, plenty of gems remain available.
Disclosure: Author has a long position in shares of TWIN