One of the places that I find stocks to blog about is on Google Finance. On the first page is a listing of the stocks that are “in the news”. These are the stocks that are getting the most searches or maybe are a leader in volume, price change or some other measure. One penny stock that caught my eye was:
Newport Digital Technologies, Inc. (NPDT)
NPDT, for the purposes of this blog, is primarily a chart play. The company has yet to generate revenues, but from the PR’s it sure sounds like they are the next Microsoft (jk). They are a technology company allied with incubators in Taiwan and are creating products to match their competencies in WIMAX, RFID, Digital Signage, VOIP and Security and Surveillance. The technology is very interesting and has the potential to be HUGE. Personally, I would like to see more PR’s touting sales, sales commitments, contracts, etc….
But, as a chart play, it might make sense.
I actually like the technology behind what NPDT is offering. It recently announced that A WIMAX/RFID Alpha site is being brought online with a medical complex in Newport Beach, CA. I will watch with interest to see how that goes and if it can be a springboard to other projects. In the RFID arena, their goal is to replace bar codes and bar coding.
Here are some sites for your own due diligence:
Good luck and good trading,
Jeffrey Dean
Editor-in-Chief
——————————————————————————————————————————————-
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.
Investor Soup experienced a “phenomenon” the other day.
I did a research report on Washington Mutual (WAMUQ) and posted it to my trade alert section. Link to my research report. The response was overwhelming! I have had literally thousands of unique users follow that link and view it on my site.
That report was a straight forward research report, but I recieved a number of emails asking for my OPINION of the stock. Well, here you go…
First off, I must repeat the warning that is posted at the beginning of the research report:
Washington Mutual Inc. is in bankruptcy. Investors should be cautious in buying common stock of companies in bankruptcy. It is extremely risky and is likely to lead to financial loss.
Any questions? No? Good. It is clear that WAMUQ is not out of the woods, yet. I find it interesting that a penny stock has a market cap of $354 Million and its branches still number in the thousands. But WAMUQ’s problems may be much bigger than their branch network.
A particularly harrowing article I read on Seeking Alpha quoted the ongoing legal battles between debtors and WAMUQ and stated that “In their motion to disband, the debtor’s counsel revealed – for the first time – that WaMu’s debts could surpass $50 billion making hopes of any recovery for the equity, “extremely remote.””
There you have it….Equity holders have NO chance with this one. And, I believe it. Does that mean that WAMUQ should be avoided? Not at all, but do not make the mistake of thinking that WAMUQ might be a good position for your IRA.
The chart is telling me several things that nimble traders will want to look at. I have laid out those items on the annotated chart below:
With WAMUQ, it pays to keep an eye on the chart and on the news. WAMUQ has been a great trader and could conceivably turn (and turn quickly), so watch the chart. Look for confirmation that the trend is reversing. The candles are indicating that buyers are still interested in the stock because it has not been closing at the low of the day. However, the trend is clearly bearish.
The other thing to watch is news. WAMUQ has a blizzard of lawsuits, injunctions, and motions between itself and the Fed, FDIC, Goldman Sachs, Regulators, etc… The Government could pull the plog on WAMUQ at any time.
Lastly, WAMUQ is a sad story. A proud, venerable institution that traces its origins back to 1889, it fell victim to the its own poor banking practices and the financial tsunami that wiped out so many banks. WAMUQ is gone for good….what is going on now are just the death throes.
Good luck and good trading,
Jeffrey Dean, Editor-in-Chief
Today’s alert company Biopack Environmental Solutions Inc. (BPAC) is a second look for many Soup members. I previewed this stock with members in early 2010 and, in a multi-day move, returned a solid 42% gain.
It was one of the easiest moves I have watched in a long time. The chart is setting up nice right now, and I am hoping that we are all in for another nice ride. continue
I did a screen for small cap stocks on a losing streak of over 7 days and came up with several Junior Gold stocks: Golden Star Resources, LTD (GSS) and Apollo Gold Corporation (AGT). One is a company that I would suggest putting on the radar and the other is one that I be very cautious with.
Part of the reason that these companies are here is because of the slide in the price of Gold. Once gold resumes its upwards momentum, stocks like these could become supercharged
Be careful with Apollo Gold
Apollo Gold is a junior miner that is increasing revenues incrementally, but not making any money while doing it. Their losses, through 3 quarters, is almost $38MM. I realize that a great percentage of that are paper losses from writedown of assets in 2009. Then, the theory goes, if they have a strong balance sheet things should be o.k. Unfortunately, they don’t have a strong balance sheet. They have lousy liquidity ratios and long-term debt that is due and payable and has been accelerated. Things are so bad that the company has put its 50% interest in the Montana Tunnels Mine property up for sale.
Here is the chart with my annotations:
I would never suggest holding AGT long-term, but you can play the volatility. This is not a stock for the faint of heart.
A Golden Star?
Like AGT, GSS can show a steady climb since December of 2008 when it was trading for only 50 cents. GSS is significantly larger than AGT and could book over $350MM in sales for 2009. However, they are showing losses quarter over quarter, too. Their balance sheet is not pristine, either. Their ratios are better, but GSS has taken on a great deal of debt. The company is trumpeting the fact that 2009 was their best year ever, but they need to continue to increase revenues and get a handle on expenses for the investing public to be convinced.
GSS should be watched to see if it continues to decline and touches the next support level. I don’t think it will. Seller exhaustion may have set in and prices could rise.
Both companies, I can only imagine, are hoping and praying that Gold prices come back. And, it is not like gold prices have crashed, either. The spot price at 10:33 a.m today as I was writing this was $1,098.55. But, in the mind of traders and investors, gold prices are “DOWN”.
Both are good radar stocks and could run on news specific to the company or about gold in general.
Good luck and good trading,
Jeffrey Dean
*****************************************************************************************************
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.
One of the alert stocks that I really liked from a few months back was Vivakor, Inc. (VIVK). It was a biotechnology firm that had revenues, patents in place, a full product pipeline and great prospects. The stock went out on alert and generated a 20% gain…..but, nothing like what I was expecting.
Once I do my DD on companies, I tend to watch them. And, I watched VIVK plummet shortly after our alert. I wasn’t sure why…..there was no negative news, volume remained “adequate”, nothing adverse came to mind. Now that the stock is at .15/.16, I think that NOW is the time to take another look at VIVK.
When stocks go down without adverse news like VIVK, it means that there are significantly more sellers than buyers (no kidding). In my conversations with people in and around VIVK, it appears that there was a group of investors that decided to get out while the stock was at high levels and unloaded all of their shares on the market. These investors (I can only assume) had low, low cost “founder’s shares” and selling them at 63 cents (the most recent high) and down would be a HUGE windfall for them.
Here is an annotated chart, so you can see what I mean.
Vivakor, the company, is an interesting study. It is not a pharma biotech, but rather have a focus on equipment and consumables for the biotech industry. That is not to say that they don’t have an important R & D component to their business, but in this niche they are, in my opinion, much easier to understand. I have never claimed to be a pharma/biotech expert and many times I have a hard time understanding the products from a pure pharma/biotech play.
Some of this info is pulled from my original alert, such as:
VIVK has an astonishing breadth and depth of products, technologies and intellectual property. It conducts research in four primary areas of medical and biotechnological development:
The company has (at last count) over 12 products in various stages of FDA approval (with the related patents filed and patent-pending). Here is a link to their site that will allow you to review it for yourself. It is well put together and very informative.
Here is a list of products under development:
Revenues are still insignificant compared to the expenses, but with several products in phase III FDA trials, that could change rapidly upon approval. I am also watching to see if their announcement of a $5MM deal with Regenca for their nutraceutical product generates any near-term revenues. The Veritas deal for the sale of Vivathermic vials in Japan is also one that I am watching to see if it brings any significant income.
The 9-30-09 balance sheet doesn’t inspire awe, but it is not untypical for a small biotech firm like VIVK. It appears that they will have to get some outside financing from somewhere in order to continue in operations. They have minimal debt, but poor liquidity ratios. VIVK also announced that they are looking for acquistions. The way these things usually work is that VIVK will convince the owners of a private company to be acquired giving them access to the public markets and easy liquidity for the value of their company. Usually in deals like these, very little cash changes hands and it is all done in shares. That makes it EVEN MORE IMPORTANT for VIVK to get their share price up.
I like the company and think I understand why it has taken a dive. I get the feeling that the company is ticked that their stock price took a dive and are doing things to change that. It is in their own best interest to get the stock price up…and, I think they will.
I don’t know why I always say this, but “I never call a bottom”. But, this is definitely a radar stock. I had an order in yesterday for VIVK that didn’t get filled (I was trying to scalp a penny) and I will probably try again today.
Good luck and good trading,
Jeffrey Dean, Editor
******************************************************************************************************
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 VIVK in December 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.
I search high and low for stocks of interest to share with my readers and some days I don’t blog because I don’t find any. This week is a case in point. I didn’t find any likely companies until this morning when I came across Oil Sands Quest, Inc. (BQI).
BQI is engaged in aggressively exploring Canada’s largest contiguous oil sands land holding, which is located in northeast Alberta and northwest Saskatchewan.
This is a pure speculative play on an oil and gas exploration company that hasn’t made “dollar one” yet and has had losses for as far back as I can go. What they do have is some interesting properties with MASSIVE potential (according to the company) AND the amazing ability to raise capital seemingly at will.
The company just announced another successful private placement that raised $10.2 Million at a price of $1.05 per share. That is on the heels of 2009’s raise of $29.8 Million @ 83 cents per share. So, I see a oil and gas company that can raise money when it wants and at successively higher valuations. My experience is that the reverse is usually true for exploration companies. That is a huge vote of confidence for BQI.
What is also compelling are their estimates of the reserves that are contained in the over 1.2 Million acres that they own or lease in the Alberta and Saskatchewan Provinces. In a report issued in late 2009, the company’s high estimate for its Axe Lake, Raven Ridge and Eagles Nest properties was in excess 19 Million barrels (P90 and P50). That is a lot of oil.
The chart is also compelling….see the annotations below
With cash in the bank of over $46 Million and no long term debt, it appears that BQI has the financial wherewithal to make their dreams a reality. Investors seem to be buying their story and I am pretty convinced too.
Good luck and good trading
Jeffrey Dean
**********************************************************************************************************
<!– /* Font Definitions */ @font-face {font-family:”Cambria Math”; panose-1:2 4 5 3 5 4 6 3 2 4; mso-font-charset:0; mso-generic-font-family:roman; mso-font-pitch:variable; mso-font-signature:-1610611985 1107304683 0 0 159 0;} /* Style Definitions */ p.MsoNormal, li.MsoNormal, div.MsoNormal {mso-style-unhide:no; mso-style-qformat:yes; mso-style-parent:”"; margin:0in; margin-bottom:.0001pt; mso-pagination:widow-orphan; font-size:10.0pt; font-family:”Times New Roman”,”serif”; mso-fareast-font-family:”Times New Roman”;} .MsoChpDefault {mso-style-type:export-only; mso-default-props:yes; font-size:10.0pt; mso-ansi-font-size:10.0pt; mso-bidi-font-size:10.0pt;} @page Section1 {size:8.5in 11.0in; margin:1.0in 1.25in 1.0in 1.25in; mso-header-margin:.5in; mso-footer-margin:.5in; mso-paper-source:0;} div.Section1 {page:Section1;} –>
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.
Posted by (0) Comment
I have a lot of fun with ticker symbols….some are fitting for the stock they represent, but others are unintentionally funny…like BLAP. To me, it reminds me of the old Batman TV show when the words like “POW” or “WHACK” are superimposed on the screen during fight scenes. What would “BLAP” represent? Probably, if someone tripped and landed on their rear ends.
Seriously, though, BLAP is a stock that bears watching. The stock was a recent high flyer (a little pump and some good news) and has retraced its recent gains. The company continues to put out positive news and it appears that the sellers have all “gone home”. Nothing recent with news, but I have a call in to the company to see what is going on.
BLAP is a design house specailizing in creating cutting edge iPhone, Facebook and Twitter applications. They have little or no income, but have put out a whole host of positive PR. You can take a peek at Yahoo! Finance to see. Whether their intitiatives turn into income is yet to be seen, but BLAP, to me, is only a chart play right now.
Here is the chart…and, you will see what I mean.
This is a high-risk, high-reward play. BLAP, despite a ticker symbol that sounds like a rude sound, has potential and bears watching. Any break downward from here and the stock should be avoided. Any strengthening could mean that buyers are coming back in. I would like to see more recent PR’s from the company and with no financial data published, that increases the risk on this deal.
Good luck and good trading
Motorsports are hot! In fact, $31.5B Hot! (source: Motor Industry Council) That is how large the U.S. market for motorcycle/ATV sector is. Today’s alert company is already grabbing big handfuls of that market and has plans to get even larger.
So “Fasten your seatbelt” for my next pick: San West USA, Inc. (SNWT). continue
Today’s alert company has created technology and has installed its counterrorism products around the world to aid in the efforts to protect people like you and me.
That company is — IDO Security, Inc. (IDOI) continue
Posted by (0) Comment
I like the company Hard to Treat Diseases, Inc. (HTDS). The name doesn’t exactly roll off the tongue, but I have blogged it in the past (read it here) and it did REALLY well for my readers. My staff also did a “technical trade report” on HTDS back in early November (read it here).
I continue to track HTDS and think that now might be a good time to take another look.
Volatility has been the keyword for HTDS. When I first profiled it, it was trading at around .01, it zoomed shortly after to .014 (a gain of over 40%). Then it dropped to .008 and zoomed back to set a 52-week high of 2.1 cents. Here is the chart so my readers can see for themselves.
Here is some background info on the company from my previous blog:
It is in the Pharma business, but not really much of a player. They have operations in Serbia and China under two separate operating divisions and appear to have a “story to tell”. .
In China they operate through Shenzhen Mellow Hope Pharm Industrial Co Ltd.. According to the company, Mellow Hope is the biggest exporter of Biological Vaccines in China. HTDS purchased Mellow Hope in February of this year in an all-stock transaction. It appears that the company has a viable product line and an active global client base. Here is a link to the Mellow Hope web site that makes for interesting reading.
In Serbia, they have a controlling interest in a company called Slavica Bio Chem Company. Their primary focus involves the enhancement and modification of existing approved drugs such as “Virazole” for the purpose of chemical repair of damage to the CNS (central nervous system), MS (Multiple Sclerosis), SARS, Hepatitis C and HIV.
The challenges I see for HTDS is making all of these positive press releases into real numbers on the income statement. Also, they have a capital structure as confusing and as byzantine as any I have seen. Their puppet masters, Minamar Group, have got all sorts of preferred, restricted, under-the-table shares that I can’t figure out the capital structure. Keep in mind, also, that pinksheets.com has given these guys CAVEAT EMPTOR (let the buyer beware) because HTDS does not report ANYTHING….at least not yet.
I told you that trading HTDS is living dangerously.
SO…..this is a short-term trade only IMO. To me this is only a chart play. Watch to see if the stock holds this resistance and turns positive again. HTDS is very like SPNG. It has such a bloated capital structure that it is almost impossible to move the stock out of sub-penny land. But, it could be a nice play right where it is.
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.