PLAY OF THE WEEK

Planar Systems Inc. (PLNR) is well positioned within the burgeoning touchscreen industry. Coldain believes this undervalued Technology company has the feel and markings of a potential huge winner.

In 2008, touchscreens were available on 16% of all mobile devices; that number is expected to explode to 40% of all world-wide portables within the next 4-to-5 years. Now, with the introduction of Apple’s (AAPL) iPad, we believe other computer and monitor manufactures won’t be too far behind with their own touch panel versions.

In an EE Times India article, DisplaySearch’s director of display technologies, Jennifer Colegrove says, “Touchscreens are becoming widespread due to the ease of use and intuitive interfaces they enable, which can save time and increase productivity. Falling prices have also spurred adoption. Finally, touchscreen devices are now
perceived as cool and fun.”

“Touchscreen penetration has been rapidly increasing in mobile phones, portable navigation devices, gaming and other applications. Over the next several years, touchscreens will undergo strong growth in large-size applications, such as retail, ticketing, point of information and education/training.”

The undeniable fundamentals of the touchscreen market are matched by PLNR’s fundamentals. Investors don’t have to worry that Planar has already passed them by.

As of this writing, PLNR’s book value of $3.41 is more than its current stock price. And shares are valued at a paltry 33 cents per share for every $1 per share in sales. The average competitor trades a $1.55 a share per dollar in sales.

Besides the price being right, the timing could be spot on too.

Coldain’s technical analysis of PLNR’s stock chart reveals one of the truest buy signals: a bullish MACD crossover!

Investors with a taste for above average risk might find this tech company to their liking as Coldain believes Planar Systems’ industry is right, the price is right, and the timing is right. PLNR has the potential to see gains in the 50% range in the next 1-to-3 months.