| Stock (Symbol) | Stock Price | |
Fleetmatics (FLTX) |
$45 |
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| Data is as of | Expected to Report | Sector |
August 28, 2015 |
Dec 27 – Nov 2 |
Retail & Travel |
| Sharek’s Take | ||
 Fleetmatics (FLTX) shook off the stock market correction and shot to a new high today. Fleetmatics is a software service which lets businesses track their fleet of vehicles electronically, and see where each is on a map. This stops unauthorized vehicle use (including theft), wasteful idling, excessive overtime, etc. Companies save on gas and overtime. The cost of the service for a fleet of 16 vehicles is $35 to $40 each, and the company signs three-year contracts, which means recurring revenue and smoother earnings for FLTX. I own the stock in the Growth Portfolio & Aggressive Growth Portfolio but will not add to my position on the breakout because FLTX is currently $53 and sells for 39x earnings (the charts below were made on 8/28 when FLTX was $45). |
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| One-Year Chart | ||
 Nice upward trend in the stock price, keep in mind FLTX is hitting a new high today at $53 and these charts are from 8/28 when the stock was $45. Estimates show profit growth will slow from 83% to 17% next qtr, but FLTX has been beating the street soundly this year and that will have to continue for the stock to continue higher. |
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| Earnings Table | ||
 Sales grew 24% last qtr as profits soared 83%. The company added 31,000 vehicles under subscription in the qtr, and has 625,000 vehicle subscriptions overall.
Fleetmatics has been flying past analyst earnings estimates. Last qtr the company beat the 26 cent estimate by 7 cents. |
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| Fair Value | ||
 FLTX has garnered a high P/E every year since it went public. When I did this chart in August I felt the stock was worth $48 and headed to $59 in the next year. With the stock at $53, upside looks to be limited. |
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| Ten-Year Chart | ||
 This stock has had a volatile ride, as especially a year ago when fundamentals weren’t so great. The company is beating the street by a solid margin now, but if we rewind to late 2013/early 2014 when the stock was around $30 and I can see the company was beating by 2 cents to 3 cents tops. |
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| Power Ranking | Bottom Line | |
Growth Portfolio
8 of 27 |
Fleetmatics is a fine stock that’s doing quite well in a rough stock market. One of the reasons is the company has been beating the street, and that needs to continue for the stock to keep going. FLTX sells for 39x earnings today and I won’t be adding to my position as the stock may have gotten ahead of itself. FLTX is ranked 8th in the Growth Portfolio and Aggressive Growth Portfolio Power Rankings. |
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Aggressive Growth Portfolio
8 of 13 |
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