Several weeks ago, a stranger knocked on doors around our neighborhood at 6 a.m.
We didn’t know who he was or why he did this in the twilight hours.
But it prompted my wife to suggest putting a video doorbell on our front door.
That way, we can see who is at our front door danger-free.
The chart above shows the revenue from security system services in the U.S.
From 2020 to 2024, revenue in the market will increase 16.7% to reach $27.3 billion.
Today’s Power Stock is security products maker Napco Security Technologies Inc. (Nasdaq: NSSC).
NSSC makes and sells fire alarm systems, alarm monitoring, keypad door locks, video doorbells and more.
It even created a security system that doesn’t require an internet connection.
Napco Security Technologies stock scores a “Strong Bullish” 94 out of 100 on our Stock Power Ratings system.
We expect it to beat the broader market by 3X in the next 12 months.
NSSC Stock: “Strong Bullish” Momentum + Growth
NSSC released outstanding quarterly results:
- Net income was a record $7.5 million — a 36% increase from the same quarter a year ago!
- Its recurring service revenue jumped 33% year over year with 87% gross margins!
- Year-over-year net sales also increased 27%!
Those numbers show why NSSC scores a 97 on our growth metric.
It’s also an excellent quality stock, with a return on equity of 18.9%. The commercial electronics industry average is negative 20.7%. NSSC trounces its peers on quality!
NSSC has market-crushing momentum as well.
The stock hit a 52-week low in May 2022 during a broader market sell-off.
As you can see above, NSSC has since rocketed 83.5% to show the “maximum momentum” we love to see in stocks.
It’s up 31.8% over the last 12 months. It’s also hammering its peers (the blue line in the chart above), which are averaging a loss of 22.5% over the same time.
Napco Security Technologies scores a 94 overall on our proprietary Stock Power Ratings system.
That means we’re “Strong Bullish” and expect it to beat the broader market by at least 3X in the next 12 months.
We all want to feel secure at home or in the office.
Napco Security provides cutting-edge technology and products to make us feel safe. Its stock will help secure your portfolio.
Stay Tuned: Top Automation Co.
Remember: We publish Stock Power Daily five days a week to give you access to the top companies that our proprietary Stock Power Ratings identify!
Stay tuned for the next issue, where I’ll share all the details on a leading supplier of automation and IT solutions.
Matt Clark, CMSA®
Research Analyst, Money & Markets
P.S. Love Stock Power Daily? Don’t forget to check out The Stock Power Podcast, where I dive deep into one of our “Strong Bullish” Power Stocks and tell you why you should consider it for your portfolio.
Best of all? This is a separate stock from the ones I share five days a week in Stock Power Daily!
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