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Filed under: Newsletters, Stocks to Buy

Jack Adamo looks to Novatel Wireless (NASDAQ: NVTL) as a new buy. In his Insiders Plus newsletter, he assesses the firm's newest products and recent insider buying.

"Novatel provides wireless broadband access solutions for the mobile communications market worldwide. The company offers third generation (3G) wireless PC card and ExpressCard modems, embedded modems, USB modems and other fixed-mobile convergence solutions. It also provides many related support services.

I can see the company earning $1.50 in 2008 and Over $2.00 in 2009 based on current trends in the core business and only modest success of the new "large opportunities" that the company discussed in its last conference call..

Now if the company executes on its buyback and actually buys more as it indicated it might do, this could increase earnings estimates above to $1.80 this year and around $2.50 for 2009. Given this kind of earnings power and growth $45/share is very reasonable even in the worst of market environments.