Republic Airways Holdings

With a PE ratio of 3 and the ability to post profits in an extremely tough environment, the price is right. Earnings in the summer of 2008 were stable with oil hitting $140/barrel, so their business is resistant to swings in energy prices. Q1 2009 earnings include a goodwill impairment charge of $13M and the company still reported a profit. This means there is now zero value attributed to intangible assets on the balance sheet. For Q1 earnings this is a charge, but for valuation based on PE this is a plus indefinitely.

-0.33 < 100-min EMA(200)
-0.33 < daily EMA(200)
-0.34 < weekly EMA(200)

The float is 95% institutionally owned, so the stock does not get points for being off the radar. However, airlines are beat to a pulp at this point and some might have to disappear. This will probably be good for RJET because they are not on the short list to bankruptcy. Owners of the stock would need to be under major deflationary pressure to sell it down to, say, $3. This could still happen, although it is unlikely with the US government offering money to any bank that needs it. On the other hand, in an environment where value investors are looking for good deals on stable companies, RJET fits that description compared to other airlines.

This is not a special situation stock where a questionable catalyst could spike the price. The only catalyst that matters is the economy, because in better times the company could receive a PE ratio of 10. An event that could change their fortunes is a disaster in the airlines business, bringing the viability of the entire industry into question. RJET is relatively well managed and might stand to gain market share in this situation. Otherwise, the main catalyst is that they are stable in an unstable industry.