On April 22nd Semitool Inc., a provider of semiconductor equipment, reported fiscal 2003 2nd quarter revenue of $35.6 million which was up 13.7% from the fiscal 2002 2nd quarter. Revenue was also up 17.6% sequentially. Net loss was $2.5 million or 9 cents per share which was an improvement from the fiscal 2002 2nd quarter loss of $4.1 million. Semitool has $27.1 million in cash and investments which comes out to 95 cents per share. The company is also expecting an $11 million tax refund during the second half of fiscal 2003. Book value is $3.87 per share. For the 3rd quarter of fiscal 2003 Semitool expects revenue of $28 - $30 million and a net loss between $1.4 and $2.0 million or 5 - 7 cents per share. The company has $2.7 million of debt which is just a tiny fraction of it's cash levels.  SMTL trades just over 1x sales. 

    On the bottom of the weekly chart below there is a Relative Strength Index (RSI). In April 2003 SMTL put in a lower low than in October 2002. However the RSI was actually higher in April than it was in October 2002. This is a bullish technical divergence. Soon after this divergence the stock went from $4 to $6 and has since given back about half those gains. The stock currently trades about $1.20 above it's 52 week low and about $1.25 above it's book value. 

UPDATE 8/28/03 - Recommend selling on Friday 8/29/03. At the current price of $9 you would get a return of 75% in less than 2 months.