IPO's and New Issues

MDAS @ $15.95 (MedAssets) provides revenue cycle and spend management software for hospitals and other healthcare providers. Revenues have increased between 23% and 46% during the last four quarters. Earnings are expected to grow 307% this year and another 25% in 2009. They came public in December at $16 and staged a dramatic reversal off a new low last week. We will establish half a position here and enter the remaining half on a pull back to $14. Our stop loss will be set at a violation of the recent low of $11.80 set last Thursday, so adjust the size of your trade to accommodate for the amount of potential downside, although we don't think this stock will see $12 again.

Stocks Under $10

SMCI @ $8.80 (Super Micro Computer) manufactures application optimized server systems, server boards, chassis and power supplies to distributors and OEM's. Revenues have increased between 21% and 39% during each of the last four quarters. Earnings are expected to grow 46% this year to 0.76 cents a share. We've been involved with this stock since they came public last April at $8 a share. For the investors among us, we feel this is a great entry level and would set our stop loss at $8. The more aggressive traders could establish a position here with a stop at $8.35, just below last weeks low.

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