Value Stock Screen: Biggest Losers In 2009 (deleveraged & Profitable Companies), July 11, 2009

Contrarian: Biggest Losers (deleveraged & profitable) Non-financial companies with no net debt, positive analyst estimates for next year's EPS, and large YTD price drop ▼

Company / Ticker

Price

MV

EV

($)

($mn)

($mn)

Price Change Since

Price to

Next

December 31,

Tangible

FY

%

# of

P/E

Own.

Buys

2002

2007

2008

Book

Insiders

1 Cardionet / BEAT

8.83

210

160

n/m

n/m

-64%

2.0x

13x

4%

11

2 ViroPharma / VPHM

5.53

428

317

279%

-30%

-58%

7.4x

138x

1%

33

3 Energy Conversion / ENER

12.14

555

554

24%

-64%

-52%

.8x

17x

1%

-

4 Emergent BioSolution / EBS

13.00

393

389

n/m

157%

-50%

1.9x

13x

45%

-

5 Rostelecom / ROS

28.14

3,418

2,919

296%

-60%

-49%

1.9x

17x

52%

-

6 Medicines Company / MDCO

7.58

400

235

-53%

-60%

-49%

1.6x

9x

1%

1

7 Caraco Pharma / CPD

3.06

115

90

n/m

-82%

-48%

.8x

7x

72%

2

8 Immucor / BLUD

13.88

978

864

247%

-59%

-48%

4.8x

12x

1%

-

9 CryoLife / CRY

5.15

146

128

-25%

-35%

-47%

1.5x

13x

7%

-

10 VAALCO Energy / EGY

4.03

235

152

174%

-13%

-46%

1.5x

9x

3%

-

11 LeapFrog / LF

1.93

123

38

-92%

-71%

-45%

.9x

19x

44%

-

12 Questcor Pharma / QCOR

5.19

334

273

435%

-10%

-44%

5.1x

9x

7%

-

13 JAKKS Pacific / JAKK

11.66

326

278

-13%

-51%

-43%

1.2x

6x

4%

-

14 Imation / IMN

7.74

293

190

-78%

-63%

-43%

.5x

20x

1%

-

15 Bankrate / RATE

22.84

429

382

493%

-53%

-40%

6.0x

15x

23%

1

16 Gorman-Rupp / GRC

18.80

314

289

56%

-40%

-40%

1.9x

17x

14%

1

17 Tutor Perini / TPC

14.18

688

439

n/m

-66%

-39%

1.6x

6x

47%

-

18 Marchex / MCHX

3.65

131

105

n/m

-66%

-37%

1.4x

24x

45%

1

19 LHC Group / LHCG

22.59

417

416

n/m

-10%

-37%

11.9x

9x

18%

-

20 Aceto / ACET

6.30

156

116

33%

-21%

-37%

1.2x

11x

1%

-

21 * ICx Technologies / ICXT

5.01

173

140

n/m

-48%

-37%

2.0x

36x

5%

-

22 Celera / CRA

7.13

583

1,849

-25%

-55%

-36%

n/m

51x

1%

3

23 Lexmark / LXK

17.43

1,361

1,210

-71%

-50%

-35%

1.6x

9x

1%

-

24 Lincoln Electric / LECO

33.38

1,419

1,228

44%

-53%

-34%

1.6x

16x

2%

-

25 Viad / VVI

16.22

334

230

n/m

-49%

-34%

1.5x

17x

3%

-

26 * The9 Limited / NCTY

8.78

236

(89)

n/m

-59%

-34%

.6x

125x

54%

-

27 Integrys Energy / TEG

28.70

2,193

2,122

-26%

-44%

-33%

1.0x

10x

1%

3

28 EZCORP / EZPW

10.26

499

483

816%

-9%

-33%

1.8x

6x

22%

1

29 Comtech Telecomm. / CMTL

30.92

871

615

544%

-43%

-33%

2.1x

15x

2%

7

30 Cubist Pharma / CBST

16.40

945

784

99%

-20%

-32%

2.7x

10x

0%

1

31 FLIR Systems / FLIR

20.84

3,131

2,892

242%

-33%

-32%

4.5x

13x

2%

2

32 OraSure Technologies / OSUR

2.50

115

45

-54%

-72%

-32%

1.1x

-

3%

-

33 * Permian Basin / PBT

9.49

442

441

51%

-41%

-31%

>100x

9x

60%

-

34 * Granite Construction / GVA

30.59

1,183

1,011

97%

-15%

-30%

1.6x

12x

2%

-

35 * American Railcar / ARII

7.41

158

140

n/m

-62%

-30%

.5x

93x

55%

-

36 VASCO Data Security / VDSI

7.29

273

216

652%

-74%

-29%

3.4x

16x

25%

1

37 * EZchip Semiconductor / EZCH

11.19

261

211

119%

-39%

-29%

5.0x

14x

3%

-

38 Martek Biosciences / MATK

21.70

721

604

-13%

-27%

-28%

1.4x

15x

2%

-

39 Contango Oil & Gas / MCF

40.40

640

602

1143%

-21%

-28%

1.9x

11x

20%

-

40 * H&R Block / HRB

16.36

5,467

4,953

-19%

-12%

-28%

32.2x

9x

3%

1

41 * China Info Security / CPBY

2.60

127

120

n/m

-69%

-28%

1.7x

4x

45%

-

42 * Simpson Manufacturin / SSD

20.10

985

827

22%

-24%

-28%

1.5x

28x

44%

-

43 KONAMI / KNM

18.75

2,503

2,376

-19%

-42%

-27%

2.0x

16x

28%

44 Telefonos de Mexico / TMX

15.19

14,004

13,728

61%

-30%

-27%

4.9x

8x

38%

-

45 * Pharma Product / PPDI

21.07

2,484

1,927

44%

-48%

-27%

2.5x

14x

10%

-

Criteria: ► Positive net cash ► Positive next FY EPS estimate ► Market value > $100 million MV = market value. EV = enterprise value. Number of insider transactions relates to most recent six-month period. * New additions are highlighted. © 10x45 Bargain Hunter ™

July 13, 2009

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Page 3 of 11

10x45 Bargain Hunter

Brought To You By

10 Essential Stock Screens for Value Investors x 45 Stocks per Screen = up to 450 Investment Candidates

Dear Fellow ll Idea d Seekers, k We are pleased to bring you this week's 10x45 Bargain Hunter , based on stock prices as of July 10, 2009. –Your Manual of Ideas Team

On the Hunt for Value? Get the 10x45 Bargain Hunter now FREE with your subscription to Downside Protection Report

This Week's Top p Bargain Hunter Screen Results

Price

Market Value

Contrarian: Shunned by the market, but not by insiders 1 Unico American / UNAM $7.70 $43mn

Enterprise p Value

n/m

Insider Buys $15mn

2 Inland Real Estate / IRC

$6.38

$529mn

$1,327mn

$6mn

3 * Cogdell Spencer / CSA

$3.87

$75mn

$518mn

$4mn

Contrarian: Biggest Losers (deleveraged & profitable) 1 Cardionet / BEAT $8.83 $210mn

$160mn

 Price YTD -64%

2 ViroPharma / VPHM

$5.53

$428mn

$317mn

-58%

3 Energy Conversion / ENER

$12.14

$555mn

$554mn

-52%  Shares Q-Q

Value with Catalyst: Cheap Repurchasers of Stock 1 Societe Generale / SCGLY

$10.51

$29,291mn

n/m

-22%

2 QLT / QLTI

$2.05

$112mn

-$18mn

-18%

3 Banco B Macro M / BMA

$16.09 $16 09

$979mn $979

n/m /

-15% 15%

$763mn

Div. Yield 17%

www.manualofideas.com Profitable Dividend Payors with Decent Balance Sheets 1 Anworth Mortgage / ANH $7.26 $738mn 2 TICC Capital / TICC

$4.40

$117mn

n/m

14%

3 Pioneer Southwest / PSE

$17.42

$523mn

$446mn

11%

$787mn

EV/Revenue .05x

Deep Value: Lots of Revenue, Low Enterprise Value 1 World Fuel Services / INT $37.37 $1,101mn

Standalone price of 10x45 Bargain Hunter: $99/year

* New addition to top 45 screen results. 10x45 BARGAIN HUNTER is published weekly by BeyondProxy LLC, P.O. Box 1375, New York, NY 10150. Website: www.manualofideas.com. Email: [email protected]. Please email or call if you have any subscription questions. Managing Editor: John Mihaljevic. Subscription $99 per year. © Copyright 2008 by BeyondProxy LLC. All rights reserved. Photocopying, reproduction, quotation, or redistribution of any kind is strictly prohibited without written permission from the publisher. This newsletter bases screening results on techniques and sources believed to be reliable in the past and cannot guarantee future accuracy and results. The stocks listed in this newsletter should not be construed as investment recommendations. BeyondProxy’s officers, directors, employees and/or principals (collectively “Related Persons”) may have positions in and may, from time to time, make purchases or sales of the securities or other investments listed or discussed in this newsletter. newsletter John Mihaljevic, Mihaljevic Chairman of BeyondProxy, is also a principal of Mihaljevic Capital Management LLC (“MCM”), which serves as the general partner of a private investment partnership. MCM may purchase or sell securities and financial instruments discussed in this newsletter on behalf of the investment partnership or other accounts it manages. Use of this newsletter and its content is governed by the Terms of Use described in detail at www.manualofideas.com/terms.html. Pictured in the top left corner is the Zeiss 10x45 Victory Binocular with built-in laser rangefinder.

2 Tech Data / TECD

$30.79

$1,547mn

$1,290mn

.06x

3 Ingram Micro / IM

$17.11

$2,770mn

$2,091mn

.06x

$468mn

$534mn

EV/GP .14x

Deep Value: Neglected Gross Profiteers 1 Kindred Healthcare / KND $12.00 2 Humana / HUM

$30.36

$5,150mn

$992mn

.18x

3 Ameriprise Financial / AMP

$22.14

$4,851mn

$977mn

.20x

Activist Targets: Potential Sales, Liquidations or Recaps 1 QLT / QLTI $2.05 $112mn

-$18mn

NCAV / MV 183%

2 Trident Microsystems / TRID

$1.69

$106mn

-$96mn

152%

3 Silicon Graphics / SGI

$4.47

$134mn

-$40mn

150%

"Magic Formula," Formula " based on Trailing Financials 1 KHD Humboldt Wedag / KHD $8.28 $253mn

-$106mn

LTM EBIT / EV infinite

2 i2 Technologies / ITWO

$12.46

$274mn

$223mn

50%

3 ePlus / PLUS

$14.75

$120mn

$98mn

29%

$1,873mn

EPS Yield FY0 13%

"Magic Formula," based on This Year's EPS Estimates 1 Foster Wheeler / FWLT $19.32 $2,442mn 2 Endo Pharma / ENDP

$17.09 $

$2,002mn $ ,

$2,042mn $ ,

16%

3 EarthLink / ELNK

$7.69

$815mn

$526mn

13%

$2,042mn

EPS Yield FY1 17%

"Magic Formula," based on Next Year's EPS Estimates 1 Endo Pharma / ENDP $17.09 $2,002mn 2 GT Solar / SOLR

$4.77

$684mn

$576mn

13%

3 China Sky One / CSKI

$12.55

$208mn

$159mn

20%