The name of my blog subject today reminds me the old commercial and that old Saturday Night Live skit about Smuckers Jam…..The punch line went, “With a name like Smuckers, it’s gotta be good”.  I wonder if I can steal that line and apply it to my blog subject: Sulphco, Inc. (SUF).   What a terrible name….what were the founders of the company thinking?  Actually, I don’t care what a company is called as long as it performs for my members and readers.

And, I think that Sulphco COULD perform.   Here is the company description from their site,

“SulphCo, Inc., headquartered in Houston, Texas, was founded by Dr. Rudolf Gunnerman to develop and commercialize its Sonocracking™ technology, which utilizes high power ultrasound and is designed to reduce sulfur content in crude oil while simultaneously improving the overall quality of the crude..

We have been developing our Sonocracking™ technologies on an ongoing basis since the formation of GRD, Inc. in January 1999. We are currently in the process of commercially validating our technology on a full-scale basis and have installations in Fujairah, UAE and at a testing site in conjunction with a validation partner in Europe.”

What I take away from my research on the company is that they are development stage, have exciting technology, have a GREAT balance sheet that will allow them several years (if need be) to commercialize their technology.   It appears, from reading their press releases and their site, that it won’t take that long to launch their technology.  In my opinion, the best news is contained in their financials and their chart.

I say this all the time, but as a recovering CPA, sometimes I can’t help myself.  I look at balance sheets to see if I can get any feelings about how a company runs its business, how well it is capitalized, etc…  I must admit I am favorably impressed with Smuckers…uh, I mean Sulphco.  And, I like their chart.

I WISH I could show you the dang chart, but I on vacation working on a borrowed MAC machine and I can’t figure how the grab the charts that I want.  So, you will have to click on this link: SUF on Stock Charts and see for yourself.

What I think you will see is a stock that is on the upswing.  Stochastics are positive, the MACD has crossed over and appears to be indicating a bullish direction (weak bullish signal since it is below the zero line still)…the stock price is trending upwards again.  Good news could send this stock flying.

Radar this and get to know the company. I think there is a bounce in it and if any good news is issued, it could be a prolonged bounce.

Good luck and good trading

Editors Note:  Earnings call is being hosted on the Sulphco site Tuesday, October 20th at 4:30 p.m. (EDT).  Details are contained in a PR….click HERE for info

I get all kinds of email from members singing the praises of their favorite stock of the day.  Some actually do research and other tout it because their “Uncle Phil” told them about it.  Regardless, I do my research before anything goes on my site.  Bill P. sent me an email this week asking me to take a look at his favorite stock of the week:  GOVX.  I did and I liked what I saw.

Geovax Labs, Inc. (GOVX) is another pharma company, a penny stock pharma play….I love Pharma plays.  I keep thinking about Dendreon when I think Pharma.  Remember DNDN.  It was a $2.50 stock in May and in the course of a month ZOOMED to the $20 level.  That came because of a with a successful Provenge Phase lll prostate cancer clinical trial.  GOVX is not DNDN…I am not saying that.  But, the potential is there with any pharma stock.

GOVX most well known drug is for the treatment of AIDS.  It has a vaccine drug that is in phase II clinical trials and everything I have read from and about the company has been positive.  GOVX has spiked recently, but it could have much farther to go.  An AIDS vaccine is a noble and worthy goal and any positive news about that effort will send the stock SKYROCKETING.

Here is today’s chart….which has all sorts of good news:

The chart looks to me like it is setting up for a bounce.  After several down days after their latest high of 32 cents, the stock retreated back to the 17 cent range.  Today’s “pop” could be the first of a prolonged series of “pops”.  If you look at the balance sheet for the company, they have enough financial “juice” to last for several more quarters with their own cash and limited revenues.  If they continue to put out positive press, financiers will be beating down their door to give them money.

The chart itself is promising.  RSI is indicating the stock is under accumulation again.  The Stochastics are giving the same signal and saying the stock is not overbought.  The MACD is positive and showing “bullish” trends.

This is definitely one that I recommend that you watch.

So, if you don’t have an “Uncle Phil” you are welcome to come to my site and get my picks.  I think I know a little more than “Uncle Phil”.

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