GigaMedia Limited (Ticker: GIGM) Stage II Breakout

GigaMedia Limited, a Taipei Taiwan company that according to Yahoo! Finance, engages in the development and license of entertainment software and a operator of game portals, to sum it up, they’re into online gaming and they’re growing like gangbusters. GigaMedia Limited is a 567 million company, has close to 31 million in cash and 19.69 million in debt, and their profit margins are 51.44%. Their Income Statement says quarterly earnings growth (year over year) was up 819%. For the company's impressive highlights of the Q2 2006 Results go here. I usually like to buy into a company before it’s gone up 400% in a year, but the great looking cup with handle breakout on the day chart (top left) is an attractive entry from a technical perspective. On Sep. 7 the stock broke to a new high on four times the three month average volume, a very positive confirmation signal of continued growth. I bought shares on Friday 9/15 for two accounts I manage.