Quest is moving sharply off of a three-year low where there is significant support. Stock was upgraded today from Hold to Buy. Quest has a current P/E ration of 2.75. Whereas there may be some weakness in the current quarter, the telecom section stands to profit from the turn-around in the economy, especially with the drop in oil prices. Although there is resistance in the 4.5 to 5 area, the volume accompanying this rise from resistance would indicate that this resistance level will be easily overcome. I would expect shares to rise rather quickly to next resistance level at 6. Once past this area, stock should move back toward the 52-week high near 9.5.
$4.05 (08/11/08)
