Arotech Corporation (NASDAQ:ARTX)
Arotech Corporation (ARTX), a global company that provides defense and security products yesterday reported their first quarter 2017 financial results. Arotech Corporation reported first quarter loss of $786k . Arotech Corporation reported first quarter adjusted earnings of $0.01 per share. Arotech Corporation reported first quarter revenues of $22.3 million.
Arotech Corporation CEO’s Comments
“Arotech’s first quarter 2017 results, as anticipated, include revenue for the quarter that was less than a year ago, though better than the previous quarter. The engineering based development programs we are currently executing have required us to add engineering staff in both of our US operations to meet demand, but are absent the typical hardware components that help to immediately drive higher revenues,” said acting Arotech CEO Dean Krutty.
“We continued to invest in the quarter in important hybrid power developments, bringing our total investment over the last five quarters to more than a million dollars in this technology, which we expect to be very meaningful to our future. Additionally, our contributions to the US Marine Corps’ Amphibious Assault Vehicle Survivability Upgrade program during the quarter supported important test milestones that have led to the beginning of low rate initial production.” Globe Newswire
ARTX Technical Analysis
Arotech Corporation Chart
ARTX opened trading yesterday at $3.25 which exactly the same as the previous day’s trading close. ARTX closed trading yesterday at $3.30 and crashed down after market to $3.05, equivalent to a 8% decrease from the closing price. Taking a look at the daily chart we can see that the last time ARTX traded below these levels we have to go back to April 26th when it traded at $3.00.
Taking a closer look at the daily chart we can see that before the spike down ARTX had already been in an overall downward trend dating back to January 20th when it traded at $5.00. ARTX has a float of 21.81 million shares and traded below the normal daily trading volume on Monday.
For trading purposes, I would like to see ARTX open trading on Tuesday below $3.12 and if it does I would be looking to take a short position at the bell. My stop loss would be $0.05 from my entry position fearing anything more than that and the stock would start to fill in the gap down.
Company Profile
Arotech Corporation provides defense and security products worldwide. The company’s Training and Simulation division develops, manufactures, and markets multimedia and interactive digital solutions for engineering, use-of-force training, and operator training of military, law enforcement, security, emergency services, and other personnel.
This division offers simulators, systems engineering support, and software products for training vehicle operators to the United States military, government, municipalities, and private industry; weapon simulations used to train military pilots, weapon employment information used in air launched weapons, and part-task simulators to train aircrew; specialized use-of-force training simulators and systems for police, security personnel, and the military under the MILO Range trade name; and consulting and development support services under the Realtime Technologies trade name.
Its Power Systems division provides electronics engineering and design, system integration, rapid prototyping, and vertically production services for military, aerospace, and industrial customers, including hybrid power generation systems, smart power subsystems for military vehicles and dismounted applications, and aircraft and missile systems support for weapons and communications technologies.
This division also develops and sells rechargeable and primary batteries, and smart chargers to the military and medical markets, and to private defense industry under the Epsilor name. In addition, it develops, manufactures, and markets primary batteries, rechargeable batteries, and battery chargers for the military; and produces water-activated lifejacket lights for commercial aviation and marine applications under the Electric Fuel name.
The company was formerly known as Electric Fuel Corporation and changed its name to Arotech Corporation in September 2003. The company was founded in 1990 and is based in Ann Arbor, Michigan.”