Posts Tagged ‘Silverleaf Resorts’

SVLF – Sell Recommendation

By: ispeculatornew | Date posted: 05.13.2007 (12:00 am)

SVLF – Silverleaf Resorts (Nasdaq) (Closing Price on Friday 05/11/07 – $4.97)

There have been a few developments since my initial recommendation of Silverleaf Resorts.

In February Silverleaf Resorts moved from the American Stock Exchange to the NASDAQ. This was a positive move since the NASDAQ is a higher profile stock exchange and Silverleaf will get more exposure there. In conjuction with the move Silverleaf changed its symbol from SVL to SVLF.

Silverleaf has also released two earnings reports. In March they reported fourth quarter results and more recently they reported first quarter results on May 8.  (more…)

SVLF – Initiation of Buy Recommendation

By: ispeculatornew | Date posted: 12.13.2006 (12:00 am)

SVL – Silverleaf Resorts (American Stock Exchange) (Closing Price – $4.20)

Silver Leaf Resorts is the epitome of an underfollowed and undervalued stock. I first came across SVL a little over a year ago by using a stock screener. It had good earnings and was trading at half its book value. The stock was a no brainer at the time but unfortunately I had no money to invest in it. Silverleaf promptly shot up from about a dollar fifty to over four dollars. I wish I had bought some then but it is still a bargain now.

SVL’s current forecast for 2006 is for net income of 0.53 to 0.56 per diluted share. If you use the lower end of their earnings guidance and today’s closing price of 4.2 you get a PE ratio of 8 (4.2/0.53 = 8). They are guiding towards earnings growth of 16% next year, which I think is conservative. If you use their earnings growth as a measure of what the PE should be (16) this values the company at $8.2. While the PE ratio is a subjective valuation measure, I believe SVL is currently undervalued. (more…)