Reo Plastics, Inc. (REOP) research, news, and more from GeoInvesting

Company description

Mon, 29 Jul 2013 04:00:00 GMT

For over 50 years, we have continued to expand our capabilities and focus on satisfying our customer's needs. We believe that forging relationships with our customers is critical to our mutual success and strive to do so by providing the utmost in Quality, Service, and Productivity. Whether your requirements are for high or low volume, simple or complex parts, or complete assemblies, look to REO Plastics to satisfy your custom plastic injection molding needs.

Research

Wed, 22 Jul 2026 16:52:41 GMT

Reo Plastics, Inc. (OTCID:REOP) ($54.50; $24.3M market cap) reported fiscal year 2026 results:

Q4 2026 sales of $15.7 million vs. $14.4 million in the prior year
Q4 2026 EPS: $2.95 vs. $2.75 in the prior year
Fiscal 2026 sales of $58.1 million vs. $51.0 million in the prior year
Fiscal 2026 EPS: $9.36 vs. $6.54 in the prior year

Our Quick Take:

REOP does not issue press releases, so we cannot really get a good insight into what management is thinking. That said, the financials speak for themselves: strong quarter. Our one concern is that the easy EPS comps are behind us, so growth will likely slow from here. Even so, the stock is cheap at a trailing P/E of 5.8x.

We also want to track the story very closely because part of the past expansion initiatives included putting the company in a better position to sell more products to its current customers, as well as expand into other markets.

In December 2025, MS Microcaps contributed an article outlining its investment thesis for REOP. It said the company’s expanded manufacturing capacity had created room for continued revenue growth. It also believed that stable overhead could allow higher sales to produce meaningful operating leverage and eventually support a valuation re-rating. The expansion was also expected to help REOP sell more products to existing customers and move into new markets.

REO Plastics is a family-owned custom plastic injection molding company across industries like electronics, healthcare, and industrial products.

Research

Mon, 08 Dec 2025 05:00:00 GMT

Reo Plastics, Inc. (OTC:REOP) ($60.00; $26.7M market cap) announced Q2 2026 results:

Q2 2026 sales of $14.3 million vs. $13.4 million in the prior year
Q2 2026 EPS: $2.32 vs. $1.71 in the prior year

Our Quick Take:

Results were released Friday during the trading day only via the OTC quarterly report. The company does not issue press releases.

This marks the 6th straight quarter of strong growth for the company, with 6-month EPS of $4.46.

With the stock trading below book value of $69.00 and an annual run-rate P/E of 6.4x, we view the shares as still being very cheap, even though they are trading at a new 52-week high.

We are excited to see if recent capacity expansions will translate into accelerated growth and continued operating leverage.

If all goes well, REOP will join Mueller (Paul) Co. (OOTC:MUEL) and CRAWA as illiquid stocks on the OTC that were trading at value-trap valuations and later experienced sharp upward revisions in valuation multiples, as the value-trap labels were eventually “removed.”

Please be aware that the stock is on one of the more illiquid stocks in our coverage universe.

Reo Plastics, Inc. provides plastic injection molding, tooling, automation, assembly, and value-added manufacturing services for a wide range of industrial, consumer, and medical applications