New International Datacasting CEO Doug Lowther hopes to turn the company’s fortunes around by focusing on its strengths in the digital cinema space. The innovation sectors have paced the TSX again this year, as names such as Solium Capital, Redknee and Prometic Life Sciences have delivered the gains investors had grown used to expecting from the mining and metals sector.
The sector rotation going on in Canada has pulled most techs off their lows, but not all. Those lamenting the tech stock that got away can still find quality names in the bargain bin.
Today, we count down a half-dozen TSX techs that are trading at or near their 52-week lows. We have excluded stock that were under ten cents from the list, and ranked them according to market capitalization, highest to lowest.
1. Redline Communications (TSX:RDL)
October 17th Closing Price: $3.86
52-Week Low: $3.60
Shares of Redline Communications have been selling off since the company this week announced that CEO Eric Melka, who turned the company’s fortunes around after joining in 2009, will leave in February. Byron Capital analyst Dev Bhangui says the selloff is a buying opportunity.
2. Counterpath (TSX:CCV)
October 17th Closing Price $1.34
52-week low: $1.30
Counterpath shareholders are hoping a recently awarded, broad-based patent can help turn the Vancouver-based company’s share price, which has fallen from a high of $3 last summer, around. The patent, titled “Multimedia Interactive Telephony Services,” outlines systems and methods of extending Internet telephony-based services to include interactive visual user interface elements. The company says it opens the door for a “myriad” of new possibilities in audio-based services.
3. D-BOX Technologies (TSX:DBO)
October 17th Closing Price: $.175
52-week low $.16
D-BOX’s Q1, reported August 16th was a relative non-event, with revenue down 1.9% over the previous year. But Industrial Alliance analyst Steve Li says the company is very undervalued because exhibitors will continue to “aggressively” invest in technology like those that D-BOX specializes in, which enable motion seats to be synced to action on a theatre screen.
This story is brought to you by Serenic (TSXV:SER). Serenic’s cash position as of its most recently reported quarter was greater than its market cap as of October 17th, which was $3.29-million. The company has zero long-term debt. Click here for more info.
4. Norsat (TSX:NII)
October 17th Closing Price: $.44
52 week low $.43
Shares of Norsat have been declining since a soft Q2 the company reported in August. CEO Amiee Chan says the company’s topline, which fell from $10.4-million in last year’s second quarter to $8.6-million, was negatively affected by the US government’s budget sequestration and by ongoing economic uncertainty in some of the markets the company services.
5. International Datacasting (TSX:IDC)
October 17th Closing Price: $.185
52 week low: $.16
After last summer’s contentious proxy battle, shares of IDC have yet to show signs of a recovery under new boss, former Nortel exec Doug Lowther, who promises to focus on the company’s strengths in the digital cinema space.
6. Firan Technology Group (TSX:FTG)
October 17th Closing Price $.34
52-week low: $.34
Firan CEO Brad Bourne said the company’s Q3, reported October 8th, had some positives for the aerospace and defense subcontractor, but the company faced challenges in its Toronto facility, where sales were lower than expected. Management says it hopes to address that issue and put it on the same course as its aerospace business, which is seeing double-digit growth.
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