Top Stock to Buy #1 – 8×8 Inc. (EGHT)
Small-cap telecommunications company, 8×8 Inc. (NASDAQ:EGHT), develops services for Internet protocol (IP), telephony and video applications. It also offers Web-based conferencing and cloud computing services. In February, the company agreed to provide its virtual desktop interface to customers in Japan and throughout the world.
Gross profits margins, at 72.1%, are very high; cash flow in the last quarter has increased; and its return on equity far surpasses that of the industry average and the S&P 500. On Jan. 24, the company reported fiscal Q3 earnings of $0.05, which was in line with analysts’ estimates and 25% higher than the year-ago period. Consensus earnings estimates are for $0.20 in fiscal year (FY) 2013, ending in March, and $0.28 in FY 2014.
The Trade of the Day first recommended EGHT on Nov.15, 2011, at $3.84. Buy EGHT under $6.25 for a trade to $8 or as a key cloud computing holding.