BODIES, Premier Exhibitions

Stock of the Day
Premier Exhibitions Inc. (PRXI)
Wednesday’s Intraday Price: PRXI – $14.99

Sector: Consumer Discretionary
Industry: Leisure Facilities
52-week Price: $4.63 – $18.62

BODIES, The Exhibition is currently receiving worldwide acclaim attracting nearly five million visitors in New York, Las Vegas, Washington, DC, San Diego, Durham- NC, Branson- MO, Sao Paulo, Lisbon and Prague.

I have been to the exhibition in NYC, down at the South Street Seaport and all I can say is: AMAZING.

The exhibition was fabulous and my wife (the biology/chemistry professional) agreed. See the bottom of this post for a detailed description of the company. I should have bought shares in the company over the winter if I subscribed to Peter Lynch’s idea of successful investing: buy what you know and like. Unfortunately for me, I had no idea that the company presenting BODIES was publicly traded. It has doubled in price since I walked in and out of their doors.

What caught my attention is the accumulation of shares by institutional investors and the strong up-trend on the weekly chart.

Ideal Trade Set-up:
Ideal Entry: $11.60 (currently $14.99)
Risk is set at 1.0% maximum of total portfolio or $1,000 of $100k
Stop Loss is 10% or $10.44 (below the spike in price in May)
Number of Shares: 862
Position Size: $10,000
Risk: $1.16R
Target: $24
Reward-to-Risk: 7.75:1

Accumulation Trade Setup:
Ideal Entry: $14.00-$14.50 (currently $14.99)
Risk is set at 1.0% maximum of total portfolio or $1,000 of $100k
Stop Loss is 25% or $10.49 (below the spike in price in May)
Number of Shares: 286
Position Size: $4,000
Risk: $3.50R
Target: $24
Reward-to-Risk: 2.85:1

Institutional Analysis:
Total Institutions: 69
Money Market: 42
Mutual Fund: 26
Other: 1

Shares Held: 11.7 mil
Shares Held Previous Period: 2.8 mil

Shares Bought: 9.5 mil
Shares Sold: 0.6 mil
Value of Shares Bought: $160.2 Mil
Value of Shares Sold: $9.8 Mil

Top Institutional holders; Shares Held:
Fidelity Small Cap Independence Fund; 1,530,071
Tiger Global Management, LLC; 1,300,000
American Century Companies, Inc.; 670,138
Mariner Investment Group Inc.; 666,400
Bonanza Capital Ltd.; 600,000
Morgan Stanley; 555,576
Allianz Global Investors of America L.P.; 512,800
North Run Capital LP; 508,600
Dimensional Fund Advisors Inc.; 489,350
American Century New Opportunities Ii Fund; 431,961

Key Fundamental Numbers:
Market Cap.: $443.07M
Outstanding Shares: 29.56M
Float: 23.08M
ROA (%): 29.04%
ROE (%): 32.36%
P/E (TTM): 51.17
Price to Sales Ratio: 12.81x
Price to Book Ratio: 12.01x
PEG Ratio: 1.71 (this is high)
PEG Ratio (5-yr): 0.74

Net Income:
2/2007: $7.4M
2/2006: $5.3M
2/2005: ($1.5M)

Earnings:
Yearly (2009): 1.16E
Yearly (2008): 0.70E
Yearly (2007): 0.24

Company Profile:
Premier Exhibitions, Inc (Premier) is in the business of developing and touring museum quality exhibitions. The Company’s business consists of exhibitions based on the RMS Titanic and human anatomy. The Company is known for its Titanic exhibitions, which it conducts through its wholly owned subsidiary, RMS Titanic, Inc. Through its explorations the Company has oceanic material and scientific data available in various forms, including still photography, videotape and artifacts from the Titanic wreck site. The Company utilizes this data and the artifacts for historical verification, scientific education and public awareness. It generates income through ticket sales, third-party licensing, sponsorship and merchandise sales. In July 2007, Premier acquired ownership rights to the personal property on board the ocean liner RMS Titanic from Liverpool and London Steamship Protection and Indemnity Association Limited.