Motorcar Parts Of America (NASDAQ:MPAA)

On May 3, 2010 Motorcar Parts America issued preliminary fourth quarter fiscal 2010 results which call for revenues to come in at around $37.0 million vs. an estimate of $34.6 million. We like MPAA as a play on the consumers trend to delay purchase of new cars during a weak economy in a recession.

Its products are sold to automotive retail outlets and the professional repair market throughout the United States.

2011 EPS growth is expected to come in at 15%, but we feel this could be conservative as the company has been exceeding estimates in recent quarters. The stock is selling at a P/E of 15. Please note that sub par revenue growth may limit P/E expansion. But investors may see reason to take company shares to at least its book value of $8.34. Coding as a GeoSpecial at $6.30.