Stock of the Day
TeleTech Holdings Inc.
Wednesday’s Closing Price: TTEC – $22.93
Sector: Services
Industry: Business Services
52-week Price: $16.17 – $39.06
TeleTech Holdings, Inc., together with its subsidiaries, provides onshore, offshore, and work-from-home business process outsourcing services. Its services include the transfer of its clients’ front and back office business processes to its delivery centers or work-from-home associates.
The stock is an interesting play that could provide rewards based on increasing earnings, revenues and a 10-week/ 30-week positive crossover. The stock was flagged in a technical screen I ran this week looking for strong candidates that made the positive 10/30-week crossover.
The recent slump in the economy may hurt the immediate potential of the company as revenues could stall or even drop but that shouldn’t last for long (or so I think).
Anyway, this stock is a pure trend play based on technical analysis, a possible rebound that I will test with an entry in the $22 area. It’s not my ideal IPO momentum trade or a stock making a new high but this type of position works for me in this market environment.
$10,000 invested five years ago would be $57,398 today
Potential Trade Set-up:
Ideal Entry: $22.00
Risk is set at 1.0% of total portfolio or $1,000 of $100k
Stop Loss is 10% or $19.80
Number of Shares:455
Position Size is $10,000
Risk is $2.20
Target is $40
Reward/ Risk: Possible 8-to-1 (long term)
Institutional Analysis:
Held By Institutions: 59%
Total Held by Institutions: 453
Money Market: 150
Mutual Fund: 291
Other: 12
New Positions: 101
Positions Sold: 96
Shares Held: 63.8M
Shares Held Previous Period: 59.0M
Shares Bought: $22.2M
Shares Sold: $17.4M
Value of Shares Bought: $ 530.6M
Value of Shares Sold: $414.9M
Top Institutional holders; Shares Held:
Alydar Partners, LLC; 3,755,000
Alger (Fred) Management Inc.; 3,466,082
Rainier Investment Management; 2,653,500
Trivium Capital Management, LLC; 2,402,000
Wells Fargo & Company; 2,092,771
Key Fundamental Numbers:
Market Cap.: $1.67B
Outstanding Shares: 70.1M
Float: 42.3M
P/E: 27.45
ROE: 16.08%
ROA: 9.96%
PEG Ratio: 1.00
EPS Growth (TTM): 52.20%
EPS Growth (MRQ): (28.19%)
Revenue Growth (TTM): 13.38%
Revenue Growth (MRQ): 14.79%
Net Income (Million):
FY 2006: 51.8
FY 2006: 28.2
FY 2004: 24.0
FY 2003: (41.2)
FY 2002: (5.21)
Revenue (Million):
FY 2006: 1,211
FY 2006: 1,087
FY 2004: 1,053
FY 2003: 992.3
FY 2002: 1,017
Earnings:
FY 2009: $1.73E
FY 2008: $1.45E
FY 2007: $1.06E
FY 2006: $0.73
FY 2006: $0.38
FY 2004: $0.32
FY 2003: ($0.56)
FY 2002: ($0.07)
1-yr Sales Growth: 11.5%
1-Yr Net Income Growth: 84%
Man, CPLA doesn’t like to veer too far from the 200d, does it?
Chris, years ago Bloomberg would give the amount of shares held by insiders. I used to like that number. Bloomberg informed me that it never gave that information. Let’s say it was lost in an upgrade. Do you have a source for that information? I like when the people who run companies have some skin in the game [other than a pay check]
Great work, by the way!