This Small Cap Is A Titan (TITN)

Shares of small cap Titan Machinery TITN are near its 52 week high as the agriculture and industrial sectors are on fire and Titan is a beneficiary of both. Looking at a business summary of Titan, it reads: "Titan Machinery Inc. owns and operates networks of full service agricultural and construction equipment stores. It engages in new and used equipment sales; parts sales; repair and maintenance services; and equipment rental and other activities." Titan Machinery really only sells Case New Holland CNH products, but it has been a beneficiary of strong earnings results from Caterpillar CAT and the sharp run up in shares of John Deere DE. Taking a further in depth look at Titan's financials', you can see the company has a Price/Earnings Growth (PEG) of 0.74, compared to the industry average of 1.23, meaning it is undervalued compared to its peers. It has strong revenue growth, growing revenues over 23% year/year, far higher than its peers. The return on equity is just over 8.4%, far lower than its larger competitor Tractor Supply TSCO. Looking forward, Titan Machinery is cheap when using a forward P/E, which is about 12.4. I would look to be a buyer at about this price and I would put a conservative 12 month price target on the shares at $18, significantly higher than where they are today. Titan Machinery reports its earnings on September 6th, so you have some time to think about whether you'd like to purchase this small cap "Titan". Disclosure: long CAT, no other positions in companies mentioned. See Some of the Top Moving Indexes Here.