Topic: How To Invest

Hi Pat: I would like your advice on Absolute Software. Do you think this stock is a buy at this time?

Article Excerpt

Absolute Software Corp., $3.92, symbol ABT on Toronto (Shares outstanding: 46.3 million; Market cap: $186.0 million; www.absolute.com), makes and sells computer-security and tracking systems. The company’s Absolute Computrace software helps authorities find lost or stolen computers. Computrace is now embedded in the computers of major manufacturers, including ASUS, Acer, Dell, Fujitsu, HP, General Dynamics Itronix, Lenovo, Panasonic and Toshiba. Absolute also has partnerships with other computer makers, including Apple. The company’s Absolute Manage software helps computer administrators install new programs and security updates on multiple computers. In the three months ended March 31, 2011, Absolute earned $1.1 million, or $0.03 a share. A year earlier, the company lost $31, 917, or nil per share. Revenue rose 8.6%, to $18.0 million from $16.6 million. Cash flow rose 52.2%, to $2.5 million, or $0.06 a share, from $1.7 million, or $0.04 a share. Absolute holds cash of $29.3 million, or $0.66 a share, and has almost no debt. The company won $17.2…