There seems to be a sea of semi-obscure Israeli tech companies with good technology, healthy financial numbers, and robust growth. Investors willing to dive in might be interested in NICE Systems
Growth is accelerating at NICE; the company's third-quarter revenues grew 30% year over year. Enterprise gear remains the dominant component of revenue, but the company's public and security business grew at an above-pace clip of 43%. Margins and earnings were presented according to both GAAP and pro forma calculations, and showed healthy growth in both cases.
The company is also performing well from a cash flow standpoint. Free cash flow has nearly doubled through the first nine months of this year, making up more than 20% of NICE's reported sales. Structural free cash flow, though not quite as impressive, still grew by 50%.
While competitors like Verint
It's pretty clear to me from NICE's valuation (and its more-than-80% rise in share price in the last 12 months) that the cat is somewhat out of the bag here. Still, institutions appear to own fewer than half the shares at this point, and NICE is hardly a household name yet. What's more, as long as the company can keep earnings and cash flow growth on track, investors could still find it a pleasant opportunity.
For more Foolish intelligence:
Fool contributor Stephen Simpson has no financial interest in any stocks mentioned (that means he's neither long nor short the shares).