BOS Better Online Solutions (NASDAQ:BOSC) was identified by our CANSLIM stock screener as a potential candidate for growth investors. The company, which provides intelligent robotics and supply chain solutions, meets several key criteria of the CANSLIM strategy, including strong earnings growth, high relative strength, and improving fundamentals.
Why BOSC Fits the CANSLIM Strategy
Earnings Growth: BOSC reported a 69.2% year-over-year increase in quarterly EPS, well above the CANSLIM minimum threshold of 20%. Sales growth also came in strong at 33.1%, indicating healthy demand.
Annual Earnings Trend: The company’s 3-year EPS growth stands at 69.6%, far exceeding the 25% benchmark suggested by the strategy.
Relative Strength: With a ChartMill Relative Strength score of 94.2, BOSC outperforms nearly 94% of the market, a key trait for CANSLIM stocks.
Institutional Sponsorship: Institutional ownership is relatively low at 19.9%, leaving room for increased buying interest from larger investors.
Debt Levels: The company maintains a conservative debt-to-equity ratio of just 0.05, well below the CANSLIM-recommended maximum of 2.
Technical and Fundamental Highlights
Technical Strength: BOSC’s stock is in a strong uptrend, with both short-term and long-term trends positive. It trades near the upper end of its 52-week range, reflecting momentum.
Profitability: The company’s Return on Equity (ROE) of 10.95% is solid, and its profit margins have shown improvement.
Valuation: Trading at a P/E ratio of 6.94, BOSC appears undervalued compared to industry peers.
This is not investing advice. The observations here are based on data available at the time of writing. Always conduct your own research before making investment decisions.