Should you be looking at these five stocks?

NetComm Wireless Ltd

NTC Details
 
Strong financial and strategic partnerships: NetComm Wireless Ltd (ASX: NTC) recently signed a Master Purchase Agreement with a large U.S based telecommunications carrier for a fixed-wireless rural broadband network which will be built by that carrier. The company management believes that this is a major milestone in global growth strategy for regional broadband. For 1H16, the company reported a revenue surge of 53.7% over 1H15 while EBITDA rose to 123.5% and net profit after tax surged 538.9%.
 
 

Performance (Source: Company reports)
 
Looking ahead, the wireless M2M and Fixed Wireless markets hold enormous potential and the company expects improved revenues and earnings in 2016 as it grows strategic partnerships and generates additional revenues from the Ericsson-NBN Fixed Wireless contract. Based on the above stated factors, we remain bullish on the stock and give it a "SPECULATIVE BUY" rating at the current share price of  $2.74
 
 
NTC Daily Chart (Source: Thomson Reuters)
 

DUET Group

DUE Dividend Details
 
Returning to profit: DUET Group (ASX: DUE) reported for a surge in sales by 31.4% to $809.7 million driven by the $1.4 billion acquisition of EDL. There was a rise in net profit after income tax to $108.5 million as opposed to the loss of $11.1 million in the same period a year earlier. DUE further reported that the profit before significant items increased by five times to $98.9 million from $19 million.
 


Underlying NPAT (Source: Company reports)
 
DUE has raised $1.67 billion of equity to acquire and de-gear EDL. Looking ahead, distribution guidance for financial year 2016 is estimated at 18.0 cents cash per stapled security. With a strong dividend yield, we rate the stock a "HOLD" at the current share price of  $2.29
 
 
DUE Daily Chart (Source: Thomson Reuters)
 

Freelancer Ltd

FLN Details
 
Strong full year result at the back of acquisition: Freelancer Ltd (ASX: FLN) reported another record quarter with fourth quarter 2015 cash receipts at $11.9 million, indicating an increase of 62% from the same period a year ago, mainly driven by contribution from the Escrow.com acquisition. With this, the company also reported for record net revenue of $38.6 million in FY15 indicating about 48% surge over FY14. As of December 31, 2015, FLN held cash and cash equivalents of $32.2 million compared to $42.6 million at the end of third quarter but 59% up over prior corresponding period. For financial year 2015, positive operating cash flow stood at $1.5 million. Looking ahead, the Escrow business represents an outstanding source of future growth for the company and is foreseen to be a significant contributor to the financial year 2016 results. In 2016, NASA and FLN partnered to design an arm for a robotic astronaut on the international space station.  Based on the above stated factors, we rate the stock a "BUY" at the current share price of  $1.40
 
 
FLN Daily Chart (Source: Thomson Reuters)
 

Vocus Communications Ltd

VOC Dividend Details
 
Accretive acquisitions: The merger of Vocus Communications Ltd (ASX: VOC) and M2 Group Ltd (ASX: MTU), via an M2 Scheme of Arrangement through which Vocus will acquire all of the shares of M2, was recently approved by the Supreme Court of Victoria. With the merger, cost synergies of almost $40 million per annum are expected with further potential for revenue synergies, to be fully realized by the end of financial year 2018.
 


Historical strong revenue (Source: Company reports)
 
The merger will lead to strengthened balance sheet, cash flows and market capitalization in excess of $3 billion. In the past one month, the stock price has increased 17.3% and reached close to its 52-week high trading price. We believe that the stock is still "Expensive" at the current share price.
 
 
VOC Daily Chart (Source: Thomson Reuters)
 

AMA Group Ltd

AMA Dividend Details
 
Acquisitions to drive growth: Recently, AMA Group Ltd (ASX: AMA) announced that the integration of the Gemini Group within the company’s panel business is on track. The company has witnessed a positive momentum given the synergy opportunities. AMA believes that with the full integration of the Gemini business, the company's earnings outlook would see a positive momentum. The company also reported for the completion of sale of Perth Brake Parts business and assets.
 

Strong operational first half (Source: Company reports)
 
Also, recently the AMA Group completed the acquisition of Micra Accident Repair Centre Pty Ltd, a vehicle panel repair business servicing the Tasmania market for a purchase price of $2 million. This will expand the company's footprint. We rate the stock "SPECULATIVE BUY" at the current share price of  $0.84
 
 
AMA Daily Chart (Source: Thomson Reuters)

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