ORLANDO, Fla., Feb. 9, 2010 (GLOBE NEWSWIRE) -- RedChip Visibility, a division of RedChip Companies, Inc., has initiated coverage on WPCS International Incorporated (Nasdaq:WPCS), a design-build engineering company focused on communications infrastructure.
Rick Grubbs, CFA, RedChip Research Analyst, reported:
"WPCS has experienced increasing opportunities based on the amount of new projects out for bid. We believe this is a result of a rebound from recessionary lows in spending, and the effects of fiscal stimulus funds making their way into the system. The company's bid list has grown substantially from $136 million at the start of 2009 to $245 million in the most recent quarter, indicating the potential for future revenue growth.
"We think the $787 billion in American Recovery and Reinvestment Act of 2009 funds, signed into law in February 2009, are finally reaching state and local governments including grants for upgrades in WPCS' key industry verticals: healthcare, public services, energy, and corporate enterprise markets."
Grubbs continued: "While there are many competitors in the design-build space, we think WPCS leverages an established and diversified customer base, expertise, and core competencies. We are initiating coverage of WPCS with a Speculative Buy rating and a target price of $5.50."
To receive a complimentary copy of the RedChip Visibility Initial Research Report for WPCS, please visit: http://www.redchip.com/about/aboutmain.asp?rid=217">http://www.redchip.com/about/aboutmain.asp?rid=217
To learn more about WPCS International Incorporated visit http://www.redchip.com/visibility/investor.asp?symbol=WPCS
About WPCS International Incorporated
WPCS is a design-build engineering company that focuses on the implementation requirements of communications infrastructure. The company provides its engineering capabilities including wireless communication, specialty construction and electrical power to the public services, healthcare, energy and corporate enterprise markets worldwide. For more information, please visit http://www.wpcs.com/
About RedChip Companies, Inc.
RedChip Companies is an international, small-cap research and financial public relations firm headquartered in Orlando, Florida with affiliate offices in Qingdao and Beijing, China; Paris, France; and Seoul, Korea. RedChip delivers concrete, measurable results for its clients through its extensive national and international network of small-cap institutional and retail investors. RedChip has developed the most comprehensive platform of products and services for small-cap companies, including: RedChip Research™, Traditional Investor Relations, Digital Investor Relations, Institutional and Retail Conferences, RedChip Small-Cap TV™, Social Media Services, and RedChip Radio™. To learn more about RedChip's products and services please visit: http://www.redchip.com/visibility/productsandservices.asp.
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Disclosure
None of the profiles issued by RedChip Companies, Inc., constitutes a recommendation for any investor to purchase or sell any particular security or that any security is suitable for any investor. Any investor should determine whether a particular security is suitable based on the investor's objectives, other securities holdings, financial situation needs, and tax status. All materials are subject to change without notice. Information is obtained from sources believed to be reliable, but its accuracy and completeness are not guaranteed. WPCS International Incorporated ("WPCS") is a client of RedChip Companies, Inc. and of RedChip Visibility, a division of RedChip Companies. WPCS agreed to pay RedChip Visibility a fee of thirty thousand dollars for RedChip Visibility Program services, which includes the preparation of the equity research report(s). The equity research report(s) are prepared for informational purposes only and are paid for by the company portrayed in the report. The equity research report(s) are not a recommendation of a solicitation to purchase or sell any security, nor do they constitute investment advice. RedChip Companies, Inc., is currently engaged by this company to provide investor awareness services. Investor awareness services and programs are designed to help small-cap companies communicate their investment characteristics. These services may include investor conferences, digital and print distribution of WPCS investor-related materials and radio programming. WPCS agreed to pay two thousand five hundred dollars for each conference, payable 30 days before the date of each conference, through November 30, 2010. RedChip Companies, Inc., employees and affiliates may have positions and affect transactions in the securities or options of the issuers mentioned herein.