JDAS -  (Sold on 7/16/07 for a gain of 65%)
BOUGHT at $11.91     SOLD at $19.65

 

      On January 24th JDA Software Group, a provider of software solutions that address supply chain management, inventory optimization and forecasting requirements of the retail industry and it's suppliers, reported 4th quarter revenue of $57.3 million. This compares to revenue of $55.2 million reported in the 4th quarter of the prior year. On a sequential basis revenue was up 14%. License revenue was $20.3 million, up from $16.9 million a year ago. JDA Software signed a record number of software licenses during the quarter.  Five deals were greater than $1 million. This compares to no deals greater than $1 million in the year earlier period and just one in the prior quarter.  36% of license revenue was derived from new customers. On a GAAP basis net income was 1 cent per share and on a non-GAAP basis earnings were 14 cents per share which was 8 cents ahead of consensus estimates. Gross margins in the 4th quarter were 63% which compares to 57% in the year ago period.
     During the 1st nine months of the fiscal year international revenue accounted for 40% of total revenue. Consensus earnings estimates have been rising and currently call for 56 cents per share this year and 78 cents per share next year. During the company's earnings conference call JDA Software said that a reduced cost structure in combination with what appears to be an improving market place for it's products has the potential to significantly drive earnings growth in 2005.
     JDA Software Group has cash and investments worth $97 million or $3.34 per share. Book value is $5.31 per share and the company carries no debt. At the current price the stock has a low price-to-sales ratio of 1.5 and a price-to-book ratio of 2.2. (recommended on 1/30/05)

7/16/07-  SOLD AT $16.36 FOR A GAIN OF 65%. DURING THE SAME TIME PERIOD THE NASDAQ WAS UP 33%.

 

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