MUEL: New Stock Idea. Eps improvements

[admin]

It's selling off on earnings, but this is somewhat curious. While revenue increased 10%, EPS was down a bit (both relative to Q12013) at $1.01 (from $1.18).

However, the company continues to use the cash it generates to reduce debt:

• Cash from operations: $5.4M
• Repayment of short-term borrowings: $1.04M
• Repayment of long-term debt: $3.22M
• Long-term debt down to just $5.55M (from $8.77M)

A 20% sell-off seems a bit overdone to us..