Value Investor Touts EnGlobal's 43% Rally: 'I'm Not Surprised By Today's Move'

Shares of EnGlobal (NASDAQ: ENG), an engineering company in the clean energy sector, spiked more than 40% on Thursday after the company reported a year-over-year increase in sales from $56 million to $64 million.

Value investor Jack Hurley joined Benzinga's "Power Hour" with Benzinga CEO Jason Raznick to talk about the stock.

Hurley owns shares of EnGlobal and is a long-time bull. He originally pitched the company on the "Power Hour" show in January.

"If you remember our earliest discussion when it was $3.70, my rationale was that they had $300 in back-log and their margins are 50% or 60%," Hurley said. "I'm not so surprised by today's move. I think it's a little bit of the market and a rising of all the ships, but I'm glad to see it bounce off that low point."

Watch Hurley's interview in the video clip below:

Hurley said he's not adding more shares to his portfolio, but he made sure his initial investment was sufficient.

"My typical mode of action is to buy it when I hear about it," Hurley said. "If I lock my shares in at $3.70, I'm happy up at $6, but I'm not going to raise my average when it goes to $4.50 or $5.00 as tempting as it may be… I think traders can really benefit from rationalizing with that margin of safety in a similar fashion."

The stock closed up 43% at $6.50 a share.