IMHO, "security through obscurity" is not such a stupid idea... Granted, it does not secure things that much... But it helps to keep honest people on the right side of the fence...

If i bury my gold in a field, anybody can take it, but i may hope to find it later... If i just leave it on the ground, there is almost no chance...

Now, that said, i must agree with the writter of this article regarding this script encoder... But anyway, the worse danger is, as always with security, to think you are protected.... As long as people are aware of that, i would recommend obscurity....