Axsys update

Just wanted to give people a quick update on Axsys, which is potentially for sale. Since I wrote the initial story, the stock price has remained right in the $40 range, where it jumped on news of the potential sale. However, that's still well below December's high near $75. The price hasn't really gone up this week, either, despite strong Q1 numbers (warning: that's a pdf): Period comparisons vs. the first quarter of 2008. • Sales increased 18% to $66.6 million; • Gross margin was 33.1% compared to 34.0%; • Operating margin improved to 16.4% from 14.2%; • Net income increased 37% to $7.0 million; • Backlog increased 3% year over year to $162.1 million. A 10.5 percent net margin's not bad at all. But it would still take about $500 million (guessing that $45 a share would do it) to acquire a $275 million (+/-) manufacturer. Not totally a bargain.