There are not a lot of stocks that are making money for individual investors, right now. But there is one stock that is under heavy accumulation that has been showing some extremely strong growth in many key fundamental matrix.

OFI is a manufacturer of frozen food products for branded retail, private label, food services, and airline customers. It has even recently declined an offer to be acquired by GESD Capital Partners which tells me that this company believes it is the growth machine in this industry.

EPS has recently exploded rising 300% to .24 a share from .06 a year ago.
Sales growth has been wonderful rising 4%, 12%, 2%, 5%, 21%, 29%, 40%, and 44% the past eight quarters.

That growth comes along with an incredible 47% return on equity which will help pay down the 333% debt to shareholder equity.

Management still owns 12% of the stock along with funds owning 16%. So there are plenty of insiders that have a vested interest in this stock to move higher from the current levels. Especially when the 5-year EPS growth rate is 65% and estimates for 2008 and 2009 are for EPS gains of 138% and 23%.

The P/E ratio is currently at 18 which is in the lower end of its 5-year historical range of 4-58. So the stock is still relatively cheap despite it being near new highs on very strong volume.

IBD confirms the strength of the stock via an EPS rating of 90, an RS rating of 99, a group RS rating of 80, an SMR rating of A, an acc/dis rating of A, a composite rating of 99, a timeliness rating of B, but a horrible E for mutual fund sponsorship. One blemish is not that bad.

Other leaders in the group include OME, FLO, DMND, SDA, and THS. They are all rising in a horrible market bucking the trend of the general market.
This is how good stocks act.

OFI is a continuous buy off the 50 day moving average with a final cut loss with a close below the 200 day moving average.

In a rough market it is important to pay attention to not only fundamentals but technical levels. Aloha!

Disclosure: Joshua was long OFI at the time of publication

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