4
Feb

I released this pick on my Twitter site a few days ago and have followed it since.  I didn’t have time to do a blog on it until now.  I think that the trend is ZAGG’s friend once again.

ZAGG was one of last year’s stock stars vaulting from $1.00 to almost $8.00.  And, like most stars in the stock market, it was a “shooting star” and its fall was almost as dramatic as its rise. The stock hit a low of $2.10 just a few days ago (that is when I posted it to Twitter) and has made a strong recovery.  A recovery that I think might have some legs.

This is strictly a chart play.

zagg

Oh, yeah…what does ZAGG do?  ZAGG Incorporated designs, manufactures, and distributes protective coverings, audio accessories, and power solutions for consumer electronic and hand-held devices.  ZAGG is solidly profitable, has cash in the bank and no debt.

Will ZAGG get hot again.  Watch it and see.

Jeffrey Dean

Category : General Commentary | Blog Bookmark and Share
6
Jan

One of my alerts of previous months was Wind Works Power Corporation (WWPW).  It was a great stock for members!  When I profiled WWPW on November 19th, 2009 it opened around 88 cents and hit an intraday high of $1.40 just three days later. That is a potential gain of almost 60%.  Since that time,  however, the stock has “taken a break”.  It has retraced all of that gain and is trading below my alert price.  I think the time is right to take another look at WWPW.

I like wind power. I believe that it is one of the energy technologies that will help get America off the oil habit.  The challenge with companies is realizing that promise.  The high-profile “crash and burn” of Texas billionaire, T. Boone Pickens, and his failed mega wind farm in TX is just one of the black eyes the industry has gotten in recent years.

However, I understand more about WWPW and I like their business model. I have kept it on my trading radar and have talked to their IR people and I understand even more about the company.  If you read their PR and peruse their website, you will notice that they have an impressive array of projects in Canada and around the globe.  The challenge for an investor is to look beyond the hype and see if there is a business there.  I could say that I am a wind farm developer but without utility contracts, contracts with landowners, and financing, I am just a promoter.  WWPW appears to be much more than a promoter, BUT….

The important thing to understand with WWPW is that they will never complete a single wind farm project!

I will let you digest that fact for a moment.  What WWPW does is “packaging”.  They have a management team that has done before exactly what WWPW is contemplating now.  I will use their Canada operations as an example.  Currently, the company has 190 MegaWatts (MW) of wind power on the drawing boards (spread over 15 different projects).  With land locked up, plans drawn up and utility power purchase agreements in place, these projects are VERY VALUABLE.  The value of these projects is derived by applying a dollar sales multiple per megawatt and also factoring the ongoing revenues from the profits interest WWPW will retain.  According to the company, those 190 MW’s could conceivably demand a purchase price (from a utility or another energy company) of $500,000 per MW and also the company would keep a net profits interest of 5 to 20%.

Do the math in your head and it appears that WWPW could be a very valuable company in the near future.  At 53 cents, WWPW seems cheap to me based upon expectation of future earnings. I will use another company similar to WWPW as corroboration of my point.  Recently, Schneider Power, Inc. (SNE.V) was purchased by Quantum Technologies for what appears to be a high premium, but what initially drew me to SNE was that they had sold one of their wind projects off recently for a good price.  Read release here.  Schneider sold their interest for over $5 MM  and retained a profits interest going forward of up to 20%.

I apologize for going long in this blog, but I want my readers and members to understand the opportunity as I see it.

Here is the chart…which is attractive in its own right.  See my notations on the chart.

wwpw-2

I plan on trading WWPW (probably today) and have a good feeling about it.  It is a company that has a quick path to profitability… and don’t forget that it has another 210 MW that are located in the United States and Europe that are in various stages of development.   Here is a link to an investor presentation nested on their site that makes a very strong case for WWPW (as you would expect it to) - Investor Fact Sheet

I have so much more on this company, but since I am not trying to write ‘War and Peace’, I’ll save it for another time.  WWPW might be worth taking some time to get to know.

Good luck and good trading

********************************************************************************************************

DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority. We are neither licensed nor qualified to provide investment advice. Neither InvestorSoup.com nor its affiliates have a beneficial interest in the mentioned company,  Investor Soup had previously been compensated to cover WWPW in November of 2009.  That agreement has expired. The information contained in our report is not an offer to buy or sell securities. We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.

Category : General Commentary | Blog Bookmark and Share
4
Jan

Wind power stocks have demonstrated extreme volatility over the past year and today’s blog subject, Nacel Energy, Corporation (NCEN), is no different.  From an opening 2009 price of around $2.00, the stock dropped below $1.00 on two occasions only to rally back to around $1.50.   August 2009  was the last high (around $1.50).  The stock has declined steadily since that date to now trade around 60 cents.   NCEN has not stopped churning out press releases to keep the public interested and informed, but it hasn’t seemed to work. Even November’s news of a successful capital raise didn’t do anything to raise the stock.

Let’s take the nickel tour of NCEN.  According to the company, they are one of the first U.S. public companies exclusively developing utility class wind power generation facilities. NCEN’s domestic market niche is the development of 10-30 MW projects in Class 4 or higher wind corridors with favorable existing transmission infrastructure.

They have 5 projects that that are currently in some stages of completion (i.e. off the drawing board) - 4 in TX and 1 in AZ.  The Company believes that they could have several of these sites “up and running” by the 3rd Q of 2010 IF things go according to plan.

The capital raise of $750,000 (press release here) was at good terms for both the investor and current shareholders.  It sets a near term value for the shares of 90 cents (with discounts, the floor price could be 75 cents).  The terms also includes warrants that if exercised over the life of the agreement could raise another $3 to $4 Million for the company.  The market didn’t seem to care.

The chart shows a slow decline that is remarkable for how unremarkable that it has been. The price trend for the last 6 months has been down as indicated in the enclosed chart.

necn

I NEVER attempt to call a bottom on a stock.  I cannot say for sure how much farther NECN could fall, but I am going to watch it.   Even though the stochastics are deeply oversold and would appear to indicate that a bounce is possible, the trend is definitely down.  The old saying that “trend trumps oscillators” certainly applies here.

Having said that, I actually LIKE the company.  I think that they are well positioned to succeed.  The combination of wind power dynamics , a successful capital raise, an experienced management team and projects in various stages of completion makes me bullish on NCEN.  By “windpower dynamics” I mean that there is a perfect storm of incentives and reasons for windpower to succeed.  With government subsidies in place, alternative energy quotas being imposed on utility companies, specialized companies devoted to financing wind turbines, the chances for windpower companies like NCEN to succeed increase exponentially.

I encourage my readers to tour their website which has lots of good information in it.

This is definitely a radar stock for me.

***********************************************************************************************************

DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority. We are neither licensed nor qualified to provide investment advice. Neither InvestorSoup.com nor its affiliates have a beneficial interest in the mentioned company; nor have they received compensation of any kind for any of the companies listed in this communication. The information contained in our report is not an offer to buy or sell securities. We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.

Category : General Commentary | Blog Bookmark and Share
17
Dec

I can’t quite understand why the market is so down on Newmarket Technology, Inc. (NWMT) Despite having a very solid company, the market (and traders) continue to sell the “hell out of the stock”.  As you will see in the accompanying chart, sellers are dominating and have turned a $1.00 into a penny stock over the past year.

A little about the company (from one of their PR’s):

NWMT is a reporting company with audited financial reports filed with the SEC. NewMarket provides systems integration, technology infrastructure services and emerging technology worldwide. NewMarket has a focus on providing technology and support services to rapidly growing economies where technology purchasing is on the rise (Emphasis added). In addition to its base of operations in North America, NewMarket has operations today in the growing economies of China, Southeast Asia, Brazil and Northern Latin America. Last year the Company reported over $40 million in revenue from Asia and over $20 million in revenue from Latin America. Overall, NewMarket reported over $95 million in revenue for 2008.

NWMT has been a victim of their own press release machine.  When we did an alert on NWMT a few months back, I fully expected it to be a good trading stock.  Well, it continued to freefall,  so today you can pick up shares for around 7 1/2 centsNWMT has hyped itself so much that traders have turned a deaf ear to their PR’s.  They continue to trumpet the fact that they were on the Deloitte and Touche Fast 500 as one of the fastest growing companies…..that is old news.  Move on, NWMT.  You are no longer a growth company.  Get over it and move on.

Let’s talk about what you are.  NWMT has got a lot of good going for it.  It should book around $100MM in revenues for 2009 in line with 2008.  No longer a growth company but in light of the current economic malaise booking the same revenue year over year is not bad at all.  It has a strong balance sheet with low debt and great debt coverage ratios.  NWMT has 19 cents in cash per share (and the share price is only 7 1/2 cents)!!!! They are a typical IT firm with razor thin margins, but they have shown the ability to turn a profit quarter over quarter and year over year.  Their focus on under-served foreign markets seems to be a good one.

Here is the chart that I mentioned:

nwmt1

This is a chart for a company that has lost the hearts and minds of traders.  And, they need us! They have no institutional ownership and insiders hold less than 2% of the shares.   Stop hyping the hell out of the stock and let traders know what a good, solid company this is.

I don’t know how much farther this stock can fall (my guess is “not much more”), but trying to guess a bottom on a stock has never been one of my talents.  I am looking at the indicators and thinking “bounce”.  Time will tell if I am right.  According to the company, the 4th Q is traditionally the strongest for the company.  Let’s see if NWMT can break the magic $100MM barrier and issue some news that traders actually care about.

Good luck and good trading

*******************************************************************************************************

DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority. We are neither licensed nor qualified to provide investment advice. Neither InvestorSoup.com nor its affiliates have a beneficial interest in the mentioned company,  Investor Soup had previously been compensated to cover NWMT in previous months.  That agreement has expired. The information contained in our report is not an offer to buy or sell securities. We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.

Category : General Commentary | Blog Bookmark and Share
17
Nov

Just a quick heads up on one of my favorite stocks:  Legend International Holdings, Inc. (LGDI). I blogged it back on September 14th when it was at 60 cents…….good timing on my part because it ZOOMED to $1.11 in just a week after I blogged it. I believe the setup is very similar and a short-term bounce is possible.

I love this stock and this company.  LGDI is a very boring natural resource play….they are an exploration company that is exploring and mapping giant deposits of  Phosphate Rock….a crucial component of fertilizer and industrial products.  They own millions of acres of land in Australia (in proven mining zones) and are a well-capitalized, well-managed mining operation.

I will have more about LGDI in the future, but they announced some strong news today, too.  The company announced the formation of a strategic alliance with Wengfu Group Co. Ltd (Wengfu) for the development of LGDI’s phosphate mine, a beneficiation plant and a phosphoric acid plant in the Mt Isa region, Queensland, Australia.  Wengfu, once the DD is completed, will become an equity partner (joining an already prestigious group of institutional investors, including George Soros) and lend its technical expertise to LGDI.

Here is the chart….you can see the stock has given back much of its gains and has an attractive chart.

lgdi-ii

I expect that you will hear a lot about LGDI from me in the weeks and months to come.  I really like it!

*******************************************************************

BlueWave Advisors, which is the owner of this website has been compensated a total of seven-thousand five hundred dollars by Legend International Holdings for coverage of LGDI.

Category : General Commentary | Blog Bookmark and Share
4
Nov

My Dad sends me emails all the time….political stuff, jokes, spiritual sayings.  It is all fun stuff….what else is Dad going to do with his retirement?

Today, he sent me a video that was just plain “fun”.  It actually turns out to be an advertisement for VW.  That’s O.K. by me…I love VW’s.  I owned a 2000 Passat wagon and it was one of the best cars I have ever owned.

Enough talking….enjoy

Category : General Commentary | Blog Bookmark and Share
3
Nov

I love getting emails from my members and readers….I feel that the feedback makes my site better.  I especially love stories from people that have traded one of my alerts or blog picks and banked! I also get lots of emails from people asking me to take a look at a stock for them.  Some of them are absolute train wrecks, but others have merit.

Like today’s blog subject:  Fieldpoint Petroleum Corporation (FPP).  One of my readers, Jon, asked me to take a look at it.  I liked what I saw.  It has a real business, decent fundamentals and a great chart.

FPP is a producing oil and gas company.  According to the company, they own over 300 wells in Oklahoma, Louisiana, New Mexico, Texas and Wyoming.  They do a good job of press releasing so traders can get a flavor of their progress….and, they seem to be making some.

I mentioned that they were a producing oil and gas company and, when I took a look at their financials, they are not too bad.  Many oil and gas producers seem to be built solely on hype. Not FPP…they actually have revenues (but no profits).  Their balance sheet, while not strong, will get them through the near term.

Insiders own 38.9% of the company while there is even some institutional ownership.  The company does something on their website that I have never seen before in a company like this:  they have an “ethics” section on their site.  A nice touch and I hope they live up to it.

What really caught my eye is the chart:

  • Stochastics indicate that the stock is in oversold status
  • The MACD is above the zero line, but is indicating bearishness
  • Volume has remained steady (around 50K shares per day)
  • Volatility is present in this stock and it could spike again on good news (as it has in the past)

fpp

No one can say when a stock will move, but based on the chart this one looks like it might have a move in its future.  The nice thing about the chart is that those moves have been multi-day moves rather than a one-day wonder.

Check out FPP.  Their company website really doesn’t have a lot of information on it, but they are not shy about press releasing.  I plan on watching them closely.  Oil and Gas prices remain high and that should be a positive for a stock like FPP.

Good luck and good trading

*********************************************************************

DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority. We are neither licensed nor qualified to provide investment advice. Neither InvestorSoup.com nor its affiliates have a beneficial interest in the mentioned company; nor have they received compensation of any kind for any of the companies listed in this communication. The information contained in our report is not an offer to buy or sell securities. We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.

Category : General Commentary | Blog Bookmark and Share
29
Oct

I have a wife that loves to shop.  The recession has only made her a better shopper.  She looks for value and quality for herself and my two daughters.

Today’s alert company is right up her alley!PanGlobal Brands, Inc. (PNGB)

If you’re looking for a good trade, it should be on your radar as well! continue

Category : Daily Soup | Blog Bookmark and Share
25
Oct

Who woulda thunk?….That you can make fuel out of that green stuff that used to get stuck between your toes when you waded in swamps and ponds.  Origin Oil is only one of several companies that are hard at work trying to commercialize the technology to extract oil from algae.

I have followed OOIL for several months and like what I see.  It is a development-stage company but they seem to run a “tight ship”.

Here is a really good description of  the company and its goals (taken from a corporate presentation):

“The OriginOil business model can be compared to Microsoft’s in the world of computers. It is OriginOil’s intention to become part of the operating system of the algae industry (delusions of grandeur? - ed.). ……. OriginOil plans to sell its technology through its network, both as integrated technology and as branded devices, and to offer its services to help design, build and manage algae installations the world over. To help reach customers widely, it intends to develop regional partners to provide local manufacturing, sales, and services to regional end users.

The company is not in the business of producing and marketing algae-based oil or fuel as an end product. (emphasis added) OriginOil is in the preliminary stages of commercializing its scalable algae-to-oil technology. In Sept. 2009, the company presented the first comprehensive algae production model, developed with the Idaho National Laboratory (INL) of the Department of Energy under its collaborative research agreement with OriginOil.  (The Algae PDF is also an excellent sleep aid…it is packed with a great deal of information about algae)

The Chart (annotated below) looks promising.  See for yourself.

ooil2

I encourage my members to put OOIL on their radar list.   OOIL is still many years away from being a revenue-producing company, but they appear to have some solid momentum going for them and run a tight ship as I had mentioned earlier.  They are, in my estimation, a short-term trade and with this chart and the buzz that is surrounding it could very well move.

Good luck and good trading.

Category : General Commentary | Blog Bookmark and Share
22
Oct

I monitor a number of boards including our own Stock Hideout.  “Supposed” hot stocks are flying all over the board, so that I almost have become immune to all of the hype.  However, one name that keeps popping up (so much that I can’t ignore it) is Atlantic Wind and Solar (AWSL).  I must admit that I first heard about AWSL in mid-August when it was around $1.20.  Looked interesting, but seemed extended. Boy, was I wrong.

AWSL reached an intraday high of $4.84 today. It was a rocking stock, too.  Short sellers hit it and it dropped down to $3.02 only to recover strong and close at $3.89.  The question that it begs is are the short sellers going to rule or not.  Tim Sykes was all over AWSL and, while he is right that it has been promoted vigorously, I am not convinced that it is going to fall.

AWSL (The Company) - Whoever wrote their website copy majored in expressive writing in college, but I was able to cut through the flowery speech and figure out what these guys do.  They are aiming to be in the forefront of the wind and solar revolution that is sweeping the world.  By partnering with corporations, associations, land and business owners, AWSL will install, service, manage solar and wind installations that can range from a single rooftop to a full parks.  They are touting relationships that they are working on that will drive them to profitability and a pre-eminent position in the industry in a short time.

The important thing to remember that solar is not the answer to our energy dilemma, just part of the answer.  Most solar installations have a hard time running…um, in the dark for instance.  However, a combination of tax incentives, energy savings, profits from sale of excess energy and the cachet of being green should make this a hot commodity to their intended customers.

Keep in mind that AWSL has two things going for it:  News and Chart

The latest release proclaims that “AWSL Strengthens Alliances and Declares Dividend

AWSL has a small float (under 20MM shares I am told) and this dividend will increase their market liquidity.  The release went on say, AWSL has “declared a 1-for-3 stock dividend, payable on December 7, 2009 to shareholders of record on November 23, 2009. For every three (3) common shares held on the record date, shareholders will receive 1 free additional share on the payable date.”  That to me will spur more buying in the stock.

Another release that I find encouraging is that they have retained an SEC auditor to get them compliant as part of their plan to upgrade their stock listing (AMEX would be my guess).  It is about time!

Here is their chart with my comments:

awsl

Also of note are several insider buys.  Two insiders have purchased a combined $3.2 million in stock at prices ranging from 50 cents to $1.54.  Obviously, they are betting that AWSL will go a lot higher.

My conclusion is that traders should radar list AWSL.  If you trade it, make sure you have a tight trailing stop on it.  Take the gains as they present themselves.  If the stock goes up appreciably, you can relax the trailing stop so you don’t get “stopped out” on any dips (and there will be some IMO).  If this stock gets hot, it could be a $10.00 stock based upon the buzz about it…..Don’t trust buzz though.  I would like to see AWSL start booking deals, signing contracts, getting necessary financing, become a reporting company, etc…, but until then I still remain a fan.

Good luck and good trading

**********************************************************************************************************

DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority. We are neither licensed nor qualified to provide investment advice. Neither InvestorSoup.com nor its affiliates have a beneficial interest in the mentioned company; nor have they received compensation of any kind for any of the companies listed in this communication. The information contained in our report is not an offer to buy or sell securities. We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.

Category : General Commentary | Blog Bookmark and Share

About Us

Traders make huge profits from penny stocks! Our Hot stock alerts are sent the second we identify likely stocks that we feel will fly! We are passionate about small caps, penny stocks and sub-penny stocks. We are the resource that you need to profit from penny stocks. Bookmark us and check back frequently. Read more »

Subscribe

Subsribe via RSS Feed Reader

form

Contact Us

InvestorSoup.com
4828 S. Broadway #182 | Tyler, TX 75703

Privacy Policy    |    Related Links
close this