Make Mine a MTEX

Yesterday I decided to pick MTEX over PLAY as my 20^th MFI stock. I think I had really decided after my posting on Sunday evening. Then when MTEX dropped during the day, I picked it up at $13.11. In reading a boatload of earnings reports, there is a major change in 2006. Many people may think it "doesn't matter", but firms are now required to expense the costs of their stock options they give to employees. This is making comparisons for many companies with 2005 unflattering until you look at things on a "non-GAAP" basis. But it is a real cost and can tend to snowball.

That is actually one reason I liked MTEX over PLAY. MTEX seems like a low-tech company. They have thousands of "associates" all over the world selling their products (I vision them like Avon reps). But I don't think they are incented by stock options, but rather travel awards, which should be cheaper in the long run.