WARNING: This is a highly speculative stock play
One of my members, Bill P., sent me an email last week about Calypso Wireless Inc. (CLYW.PK). He said that it could be a huge payday for the right investor. Having heard such pronouncements from many emailers over the years, I was highly skeptical. I did my research and I am less skeptical. However, this is a highly speculative play and should be viewed as such.
Here is what Bill wrote:
Calypso Wireless has significant patents for switching from towers to wifi on the fly. They presently have a lawsuit against a major shareholder which will probably be settled by a mediator. It would be more beneficial to go to trial, but they need to organize and go after T Mobile which has infringed on its patents. Apple, htc, sprint, and motorola have all infringed on the patents.
T Mobile will be the first and are scheduled for court today. They must submit their side of the argument today. This will then go to December for court or for T Mobile to come up with a settlement which should be hundreds of millions of dollars. Next would be the other companies that would follow suit.
Huge paydays are ahead for Calypso Wireless. This was a $6.00 stock 6 years ago. It could very easily be there before the end of next year, maybe sooner. It should be moving forward from the .02 to .03 trading range. Most in the know investors look for this to be at least .50 cents by December. Not a bad return. This will happen. Calypso will clean up their internal problems in the next 90 days and as a united board of directors, they will take down the big guys and receive huge royalties. Could be a HUGE pop. (emphasis added by me)
Bill is an individual investor who runs a business. My conversations with him lead me to believe that he is a serious investor….so I looked deeper into this stock and found that he may be on to something.
Calypso Wireless, the company - According to CLYW’s website, they are the company behind the ASNAP™ technology for which it was granted U.S. Patent #6,680,923 titled “Communication system and method” www.uspto.gov (search U.S. patent number 6,680,923), which covers the seamless roaming of voice, video and data between Wide Area Network access points, such as cellular towers (GSM/GPRS/EDGE, CDMA, WCMDA etc.) and short-range Internet access points (such as Wi-Fi, Bluetooth, etc.).
According to what I have read, the entire mobile backbone around the globe is built on this technology. The ability to switch access points is crucial to our current ability to “roam” and receive date and voice seamlessly. Again, the story is that CLYW was in such bad financial shape that many cell carriers just used the technology because it appeared that the company would be going out of business. It might be time for them to pay up!
The court cases - CLYW has a case against a former officer and shareholder, Drago Daic and his ex-wife Cathy. According to what I have read, Drago was brought into the company to help “perfect” the patents. Instead, he made a power grab and has laid claim to the patents themselves. The case has been submitted to arbitration and the hope (from Bill and message board types) is that arbitration will pass on issuing a judgement and then the company can proceed with a court case to defeat Drago and his claims to the patents.
The second case (and most important) is the case that has been filed against T-Mobile. This is the first of a number of suits expected to be filed against other cellular carriers. This suit is expected to set precedent that T-Mobile infringed on Calypso’s patents and, by default, the rest of the cellular industry. The financial ramifications could be in the hundreds of millions for CLYW.
The decline and fall of CLYW
The chart illustrates the collapse of CLYW and the fact that it has treaded water for the last several years.
Last Close: $0.02
Buy Opinion: around $0.02 to $0.03
Short Term Sell: $0.05 to $0.10
Long Term Sell: $0.25 and above (If -and that is a big If - CLYW takes off, it is always recommend to sell enough to cover your initial investment and some profit and “play with the house’s money” to see how high CLYW could go)
Good Luck and Great Trading,
Jeffrey Dean
About InvestorSoup
InvestorSoup.com is committed to provide intelligent commentary and solid analysis of small cap stocks, micro-cap stocks, hot penny stocks and helping investors make informed decisions. Our focus is primarily on the underserved OTC stocks market, or “penny stock” market, which has traditionally been shunned by Wall Street. There are many hot penny stock opportunities present in the OTC market everyday and we seek to exploit these hot stock gains for our members before the average trader is aware of them.
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Disclaimer
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.
I get calls from Investor Relations people all the time. They all want me to know about their client, company X, that will be the next best….whatever. They are all earnest and mean well, but I don’t always trust them.
One IR guy that I do trust brought me AI Systems, Inc. (ASYI).
He arranged for me to talk with the President of the company, Stephen Johnston, several times. Despite Mr. Johnston’s understandable reticence to give me anything meaty, his passion for and confidence in his company came through clearly. I shouldn’t get too excited because I have been lied to by many IR guys and company personnel. But, I don’t think Mr. Johnston is lying.
I also think that ASYI is a company that traders should put on their radar. It is a longer-term prospect given its chart and current situation (no rev’s, no customers and little cash).
Sounds like a deal you can’t pass up? Right?
ASYI is a specialty software company that is targeted to the Airline Industry. They are offering a suite of software services that “Can change the airline industry as we know it“. Those words came out of Mr. Johnston’s mouth and I am quoting them. Let’s look at what is behind his bravado.
Currently, airlines plan their overall schedules (route, crew, fleet and maintenance) in a process that closely resembles a Rube Goldberg machine. For the largest airlines, it takes literally hundreds of personnel many weeks to create an overall schedule for the airline. And, it takes weeks and weeks to create…all at enormous cost to the airline.
According to ASYI’s latest press release, “The end-to-end process (of creating the master schedule) is extremely time consuming, inflexible and often hinders an airline’s ability to achieve and sustain profitability. Utilizing current technologies to create an airline business plan and schedule has become a highly complex, expensive and often error prone process typically taking weeks to months to complete.”
If there are any deviations in the schedule (Weather, Flight Delays, Broken Planes, Icelandic Volcanoes), then the process must start again. The Icelandic Volcano of 2010 is a perfect example of what I mean…ASYI believes their software could have saved the airlines MILLION$ during this crisis alone. ABC News reported (read it here) that airlines lost billions ($200MM per day) while the volcano had air travel shut down. According to Mr. Johnston, what airlines lacked was a way to quickly, efficiently and effectively change their schedules. There was NO WAY given the current way that schedules are constructed for airlines to change quickly.
That is what ASYI is counting on. They have created several pieces of software (jetEngine Business Planning Software (BPS) and jetEngine O/S) that could change forever the way that airlines manage their business.
The BPS software has been released and is currently on the market. However, no sales have been reported yet as the company is “working with several major airlines” who have expressed interest in both the BPS and O/S software. According to the company, the biggest impediment to full adoption is the airlines’ decentralized decision making structure and the cost of the software. The BPS software will cost airlines $1MM annually (which is a big number to swallow) and the O/S software is double that. The O/S (due out in 2011) will also include a $0.40 per passenger fee.
However, ASYI is counting on a cost/benefit analysis that clearly shows how much money airlines will MAKE using their software. Mr. Johnston told me of a collaborative study that was done with a major domestic airline. The airline gave ASYI all of their schedule data for a previous year and the company then ran those numbers through their program. According to Mr. Johnston, the use of ASYI’s software would have resulted in an increase in EBITDA of $300 MILLION dollars.
The benefits to ASYI are clear: The passenger fee alone could mean millions upon millions to ASYI since the major airlines routinely fly 100 MILLION passengers annually. In addition, it is important to note that there are well over 1,000 passenger airlines who are potential customers for ASYI’s software and at a million dollars per installation that could mean big dollars for the company.
Sounds great, but what’s the catch?
The catch is getting someone to buy the software. ASYI has been around for several years and seemingly had it made a few years back with the signing of a $35 Million dollar contract with AeroMexico. They were going to be the test bed for the new software. It looked like everything was going to turn out well for ASYI. Then the global recession hit the airline industry hard (AeroMexico too) and ASYI lost a great deal of momentum as well as the perfect test bed for their product.
The company has adopted a bunker mentality…dumping payroll (firing their CFO and COO recently) and keeping operations “lean and mean”.
The chart isn’t much help
With a bloated capital structure (over 90 Million shares in the float), I am curious how the company will generate trader interest. They have done some promotion in the past, but that didn’t seem to lift the stock for very long. I have a feeling that it will be news that drives this stock. If they are able to start closing some customers in the near term, they might be able to reach their goal of being cash flow positive by 3Q 2011.
Bottom Line:
If I had a “Top Stocks for the New Millennium” list, I would put ASYI on it. It is not a great stock to trade now (and that is management’s fault for large part), but the stock is all about the future. I would like to see management and their investment bankers work the price down and tighten up the bid/ask spread. Very few traders want to buy a software company with a market cap of $66MM that has no clients, no revenues and little cash in the bank.
HOWEVER, I am going to watch ASYI because I think it has real “home-run potential” . I will watch with interest to see if the company can truly “revolutionize the airline industry”.
I will keep you posted.
Here is what I am looking at for entry/exit points (There is a little bit of fantasy about these numbers since ASYI doesn’t trade predictably yet)
Last Close: $0.49
Buy Opinion: $0.20 - $0.30
Short Term Sell: $0.75
Long Term Sell: $1.50
Good Luck and Great Trading,
Jeffrey Dean
About InvestorSoup
InvestorSoup.com is committed to provide intelligent commentary and solid analysis of small cap stocks, micro-cap stocks, hot penny stocks and helping investors make informed decisions. Our focus is primarily on the underserved OTC stocks market (Stocks under $5), or “penny stock” market, which has traditionally been shunned by Wall Street. There are many hot penny stock opportunities present in the OTC market everyday and we seek to exploit these hot stock gains for our members before the average daytrader is aware of them.
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Disclaimer
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 covered this company under an expired promotion contract in June 2010. 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.
Good morning!
It seems lately that China Nepstar Chain Drugstore Ltd. (NPD) had an anchor around its neck. The stock has been on a persistent decline for well over a month fueled by some disappointing financial news. It is a NYSE stock that seems intent on becoming a penny stock
NPD has been its own worst enemy posting disappointing results for the first Q on expansion costs, increased expenses and a management shakeup, etc…
BUT, this is a company that has $1.58 in cash, great debt and liquidity ratios and has the clout of having over 2,500 stores in its Mainland China drugstore empire .
Eventually buyers get exhausted….and, that may be what has happened with NPD.
Here is the chart for NPD!
The question you have to ask yourself “Is this rally real?”. It might be….or it might fall back. If the stock falls back to $3.00 again and THEN climbs, popular consensus is that is when to really jump in. That is confirmation of the trend being broken and a great buying signal.
I would watch NPD. The stock is down now, but it won’t be forever. I expect bigger and better things from NPD….maybe soon.
Good luck and GREAT trading,
Jeffrey Dean, Senior Editor
About InvestorSoup
InvestorSoup.com is committed to provide intelligent commentary and solid analysis of small cap stocks, micro-cap stocks, hot penny stocksand helping investors make informed decisions. Our focus is primarily on the underserved OTC stocks market, or “penny stock” market, which has traditionally been shunned by Wall Street. There are many hot penny stock opportunities present in the OTC market everyday and we seek to exploit these hot stock gains for our members before the average daytrader is aware of them.
Disclaimer
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.
Good Morning Traders!
I have three quick charts for you to look at this morning on three penny stock biotech plays. ACTC and ANX have charts that look like they are definitely on the move (up, that is) and the third AEN might be following them.
Advanced Cell Technology Inc. (ACTC.OB)
Adventrx Pharmaceuticals, Inc. (ANX)
Adeona Pharmaceuticals, Inc. (AEN)
Three stocks that you should get to know this morning. They are all typical biotech plays with lousy balance sheets, marginal revenues and a great deal of uncertainty about their drugs. Any news could send them flying (in either direction). Trade carefully, but all three might have some gains in them near term imo.
Be sure and sign up for my HOT penny stock alerts. I do all of the hard work to give you trading ideas that you can make money on. My track record has been quite impressive. sign up here
Good luck and good trading,
Jeffrey Dean
Editor-in-Chief
Fero Industries Inc (OTC: FROI) is up 6.52% to $0.245 on above-average volume. The company has announced that it has retained key personnel to assist in the due diligence and the acquisition of Sucanon® from Gvest. (OTC:FROI), (FROI)
While up early, FROI closed the day down 28%. FROI has no revenues, no assets and, without the Sucanon acquisition closing, no reason to care.
The Sucanon acquisition sounds promising, but the PR was vague as to the revenues for the acquisition and the cost to FROI.
NT Mining Corp. (PINK: NTMG) is up 13.27% $0.350 on a strong volume of 4.85 million shares. On Friday, the company reported that it has hired former Terra Mining Ltd. employee and engineer Hank Sanche as a consultant to the company. (PINK:NTMG), (NTMG)
Tactical Air Defense Services Inc. (OTC: TADF) is up 10.00% to $0.0176 on a strong volume of 63.64 million shares. (OTC:TADF), (TADF)
TADF is a stock that looks like it will be in play a lot over the weeks and months to come. The stock offers a very intriguing story, but the question is how will that translate to revenues and profits.
I would continue to watch it going forward for opportunities to get back in.
Vasomedical Inc. (OTC: VASO) is up 87.33% to $0.281. The company has announced that its subsidiary, Vaso Healthcare, has signed a sales representative agreement with GE Healthcare. (OTC:VASO), (VASO)
VASO might have several days run in it with such good news. Lost in the PR is the fact that VASO raised $5 MM in funding to finance this venture. This could make (or break) the company.
Expert Group Inc. (OTC: EXPU) is down 11.11% to $0.0160 on above-average volume of 4.03 million shares. (OTC:EXPU), (EXPU)
Genoil Inc. (ADR) (OTC: GNOLF) is up 43.48% to $0.165. The company has announced updates on its sand decontamination & oil water separation technologies. (OTC:GNOLF), (GNOLF)
Cannabis Science Inc. (OTC: CBIS) is up 46.15% to $0.190. The company has announced that it has acquired 100% of a private company with two revenue producing operations. (OTC:CBIS), (CBIS)
EcoBlu Products Inc. (OTC: ECOB) is up 64.58% to $0.395 on above-average volume of 6.54 million shares. (OTC:ECOB), (ECOB)
Global Earth Energy Inc. (OTC: GLER) is up 50.00% to $0.0600 following the news that it has secured up to $10 million in equity financing. (OTC:GLER), (GLER)
Li-ion Motors Corp. (OTC: LMCO) is up 20.22% to $2.14. The company has announced that it will unveil its long awaited Inizio Supercar at an open house September 15, 2010. (OTC:LMCO), (LMCO)
Beacon Equity Group
This newsletter is a paid advertisement and is neither an offer nor recommendation to buy or sell any security. We hold no investment licenses and are thus neither licensed nor qualified to provide investment advice. The content in this report or email is not provided to any individual with a view toward their individual circumstances. Beaconequity.com is a wholly-owned subsidiary of BlueWave Advisors. BlueWave Advisors has been compensated thirty five thousand dollars from Golden Dragon Media, Inc. (a non-controlling third party shareholder) for TADF advertising and promotion. This compensation constitutes a conflict of interest as to our ability to remain objective in our communication regarding the profiled company. Because of this conflict, individuals are strongly encouraged to not use this newsletter as the basis for any investment decision.
While all information is believed to be reliable, it is not guaranteed by us to be accurate. Individuals should assume that all information contained in our newsletter is not trustworthy unless verified by their own independent research. Also, because events and circumstances frequently do not occur as expected, there will likely be differences between the any predictions and actual results. Always consult a real licensed investment professional before making any investment decision. Be extremely careful, investing in securities carries a high degree of risk; you may likely lose some or all of the investment.
Penny stocks is where it’s at! Whether driven by news, chart or promotions, Penny Stocks are fun to trade and the upside is enormous. I still am amazed that my call on SPNG last year delivered a 1,300% gain…and, I bagged another 80% when I correctly pegged its collapse.
I love Penny Stocks because they are so much fun!
I hope that my blog leads you to find out more about Investor Soup. Blogging is only part of what I do. I also send out periodic alerts on micro cap and penny stocks. When you sign up for alerts from my site, you will receive stocks from 1 cent to several dollars. My focus is finding small cap and micro cap stocks that look like they are ready to move. Sign up today! Last month back you missed LMCO which gained 160%. Lots of opportunity for gains on Investor Soup.
I do all the research and you make the profits!
HemaCare Corp. (OTC: HEMA) is up 52.17% to $0.700 on heavy volume. The company has announced an agreement with Dendreon Corp. to provide cellular collection services in Los Angeles and Maine for their new autologous cellular immunotherapy, PROVENGE(R) (sipuleucel-T). (OTC:HEMA), (HEMA)
ForeverGreen Worldwide Corp. (OTC: FVRG) is up 66.67% to $0.350. The company has said it has had a more than 300% positive growth in its cash flow from operations in its Q1 of 2010. (OTC:FVRG), (FVRG)
TBC Global News Network Inc. (OTC: TGLN) remains unchanged at $0.0002 on heavy volume of 36.85 million shares. (OTC:TGLN), (TGLN)
Vivakor inc. (OTC: VIVK) is up 31.11% to $0.0590 following the announcement that it has engaged IME Capital to structure joint venture relationships for its VIVASLICES MRI technology.(OTC:VIVK), (VIVK)
Tactical Air Defense Services Inc. (OTC: TADF) is down 7.24% to $0.0205 on heavy volume of 122.27 million shares trading hands. (OTC:TADF), (TADF)
Homeland Security Capital Corp. (OTC: HOMS) is up 24.75% to $0.0499. The company has announced that its environmental remediation subsidiary, Safety and Ecology Corp. (SEC) was awarded a task order to perform hazardous environmental services at the Y-12 National Security Complex in Tennessee. (OTC:HOMS), (HOMS)
RoomLinX Inc. (OTC: RMLX) is up 12.50% to $0.0360 following the announcement that it has been selected by Hyatt to install products at the new Andaz 5th Avenue in New York City after an extensive request-for-proposal (RFP) process to find a new in-room entertainment provider. (OTC:RMLX), (RMLX)
Amico Games Corp. (OTC: AMCG) is up 1.22% to $0.191 on a strong volume of 27.44 million shares trading hands. (OTC:AMCG), (AMCG)
Cord Blood America Inc. (OTC: CBAI) is down 14.29% to $0.0060. The company has today filed its Form 10-Q for the Q1 ended March 31, 2010 with the U.S. Securities and Exchange Commission. (OTC:CBAI), (CBAI)
Electric Car Company Inc. (OTC: ELCR) is unchanged at $0.0026 (OTC:ELCR), (ELCR)
Beacon Equity Group
This newsletter is a paid advertisement and is neither an offer nor recommendation to buy or sell any security. We hold no investment licenses and are thus neither licensed nor qualified to provide investment advice. The content in this report or email is not provided to any individual with a view toward their individual circumstances. Beaconequity.com is a wholly-owned subsidiary of BlueWave Advisors. BlueWave Advisors has been previously compensated twenty five thousand dollars from Level Up Industries (a non-affiliated third party) for AMCG advertising and promotional services that have expired. Currently BWA is being compensated one hundred and twenty thousand dollars from Lomond Marketing - non controlling 3rd party shareholder for AMCG advertising and promotion. BlueWave Advisors has been compensated thirty five thousand dollars from Golden Dragon Media, Inc. (a non-controlling third party shareholder) for TADF advertising and promotion. BlueWave Advisors has been compensated ninety five thousand dollars from Small Cap Consultants (a non-controlling third party shareholder) for VIVK advertising and promotion. This compensation constitutes a conflict of interest as to our ability to remain objective in our communication regarding the profiled company. Because of this conflict, individuals are strongly encouraged to not use this newsletter as the basis for any investment decision.
While all information is believed to be reliable, it is not guaranteed by us to be accurate. Individuals should assume that all information contained in our newsletter is not trustworthy unless verified by their own independent research. Also, because events and circumstances frequently do not occur as expected, there will likely be differences between the any predictions and actual results. Always consult a real licensed investment professional before making any investment decision. Be extremely careful, investing in securities carries a high degree of risk; you may likely lose some or all of the investment.
Pennystockapalooza for Wednesday morning! These are a mixed bag of penny stocks and small cap stocks. Several of these movers are past alerts of Investor Soup and I am not surprised they show up on this list. Companies like AMCG and IDOI have real potential and traders are playing them for gains.
If you are not already signed up for my weekly alerts, please do so. It is a simple process that I highly recommend for traders. As I have mentioned in previous blogs, I do the research and you get the profits. Not only do my alerts perform, but I am having great success with my blog. I correctly called a move for JADAE when it was at 43 cents. In a matter of three days, it was at 63 cents….a 47% gain. I am in the markets every day looking for stocks for my members. Whether they come from blogs or alerts, my goal is to make you money.
Tactical Air Defense Services Inc. (OTC: TADF) is up 30.91% to $0.0360 following Monday’s announcement that it has been approved for membership in the U.S.-Ukraine Business Council (USUBC). (OTC:TADF), (TADF)
Amico Games Corp. (OTC: AMCG) is down 0.69% to $0.144 on above-average volume. (OTC:AMCG), (AMCG)
Alternet Systems Inc. (OTC: ALYI) is up 22.81% to $0.0350. The company has announced that it has concluded a term sheet to acquire proprietary technology to support its recently formed subsidiary, International Mobile Solutions (IMS). (OTC:ALYI), (ALYI)
China Agri Business Inc. (OTC: CHBU) is up 23.75% to $0.620 following its Q1 results. (OTC:CHBU), (CHBU)
Octus Inc. (OTC: OCTI) is up 100.0% to $0.160 following the announcement that it has entered into definitive agreement to acquire Quantum Energy Solutions. (OTC:OCTI), (OCTI)
Pacific WebWorks Inc. (OTC: PWEB) is up 38.89% to $0.125 following its Q1 results. The company reported quarterly net income of $397,227 as revenues rose 13%. (OTC:PWEB), (PWEB)
Uni-Pixel Inc. (OTC: UNXL) is up 26.09% to $0.290. The company has announced the UniBoss(TM), a unique embossing technology that enables high-speed, low-cost production of printed electronic devices. (OTC:UNXL), (UNXL)
IDO Security Inc. (OTC: IDOI) is up 40.00% to $0.0007 on above-average volume. (OTC:IDOI), (IDOI)
Alternate Energy Holdings Inc. (NDA) (OTC: AEHI) is up 30.39% to $0.665 following the announcement that it has signed an exclusive deal with a China supplier to market the world’s first large commercial nuclear desalinization reactor. (OTC:AEHI), (AEHI)
Zevotek Inc. (OTC: ZVTK) is down 54.00% to $0.0023 on above-average volume. The company on Monday announced its financial results for the fiscal third quarter ended March 31, 2010. (OTC:ZVTK), (ZVTK)
Have a great trading day,
Jeffrey Dean, Editor-in-Chief
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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.
The information contained in our report should be viewed as commercial advertisement and is not intended to be investment advice. The report is not provided to any particular individual with a view toward their individual circumstances. 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.
Our newsletter and website have been prepared for informational purposes only and are not intended to be used as a complete source of information on any particular company. An individual should never invest in the securities of any of the companies profiled based solely on information contained in our report. Individuals should assume that all information contained in the report about profiled companies is not trustworthy unless verified by their own independent research. BlueWave Advisors has been previously compensated twenty five thousand dollars from Level Up Industries (a non-affiliated third party) for AMCG advertising and promotional services that have expired. Currently BWA is being compensated one hundred and twenty thousand dollars from Lomond Marketing - non controlling 3rd party shareholder for AMCG advertising and promotion. BlueWave Advisors has been compensated fifty thousand dollars from OTC Hotpick for IDOI advertising and promotion. BlueWave Advisors has been compensated thirty five thousand dollars from Golden Dragon Media Inc. for TDAF advertising and promotion.
Any individual who chooses to invest in any securities should do so with caution. Investing in securities is speculative and carries a high degree of risk; you may lose some or all of the money that is invested. Always research your own investments and consult with a registered investment advisor or licensed stock broker before investing.
Information contained in our report will contain “forward looking statements” as defined under Section 27A of the Securities Act of 1933 and Section 21B of the Securities Exchange Act of 1934. Subscribers are cautioned not to place undue reliance upon these forward looking statements. These forward looking statements are subject to a number of known and unknown risks and uncertainties outside of our control that could cause actual operations or results to differ materially from those anticipated. Factors that could affect performance include, but are not limited to, those factors that are discussed in each profiled company’s most recent reports or registration statements filed with the SEC. You should consider these factors in evaluating the forward looking statements included in the report and not place undue reliance upon such statements.
We are committed to providing factual information on the companies that are profiled. However, we do not provide any assurance as to the accuracy or completeness of the information provided, including information regarding a profiled company’s plans or ability to effect any planned or proposed actions. We have no first-hand knowledge of any profiled company’s operations and therefore cannot comment on their capabilities, intent, resources, nor experience and we make no attempt to do so. Statistical information, dollar amounts, and market size data was provided by the subject company and related sources which we believe to be reliable.
To the fullest extent of the law, we will not be liable to any person or entity for the quality, accuracy, completeness, reliability, or timeliness of the information provided in the report, or for any direct, indirect, consequential, incidental, special or punitive damages that may arise out of the use of information we provide to any person or entity (including, but not limited to, lost profits, loss of opportunities, trading losses, and damages that may result from any inaccuracy or incompleteness of this information).
We encourage you to invest carefully and read investment information available at the websites of the SEC at http://www.sec.gov and FINRA at http://www.finra.org.
American Oriental Bioengineering (AOB) has been one of my favorite trades for almost the last 10 years. I have traded in and out of it several times, blogged it twice for Investor Soup and have followed it faithfully. Now, might be a good time to put AOB back on the radar screen.
AOB stinks right now. It has been on a prolonged downtrend that shows no sign of abating. Or does it?
Here is the chart, so you can see for yourself:
Is penny stock land next for AOB? Hardly!
AOB, despite not impressing lately with its Q over Q financial results, is still a very strong company. The company has a stockpile of cash, manageable debt loads, great debt coverage ratios. It has profitable operations and sales are growing. There was some operating and net income margin erosion, but nothing fatal.
With AOB continuing to make new lows, the strong selling going on, now is not the time to jump in (unless you really believe in AOB long term). But, the time is coming (and I think it will be soon) that AOB will reverse trend. AOB has a history of volatility. It has been down before and will be down again, but right now I am looking for it to go back up.
Good luck and good trading,
Jeffrey Dean
Editor
I have a lot of experience with banks. As a bank auditor in my early 20’s, I got to know banks very well. I even worked for Bank of America for a few years (in their venture capital subsidiary).
All of this knowledge doesn’t really help me with my analysis of banks. Banks have been extraordinarily cyclical lately and even with the overall rebound in the sector, the ‘Sword of Damocles’ still hangs over their heads. It will only take the government to pull out of the mortgage market to cause the next crash…or some other piece of bad economic news.
But, here are some bank in the news. These banks are all on the bounce from an prolonged downtrend:
Bank of Ireland (ADR) (NYSE: IRE) is up 18.00% to $8.72. The company has said that it will reduce the size of its planned rights issue by around 161 million euros to 1.72 billion euros after debt swap, MarketWatch reported. (NYSE:IRE), ($IRE)
Look at the chart and you will see that IRE has some real potential. The oscillators (MACD and Stochastics) are just starting to turn and could help fuel a rally.
Banco Santander S.A. (ADR) (NYSE: STD) is up 23.90% to $12.18 on above-average volume. (NYSE:STD), ($STD)
You may have missed the start of STD’s rally, but it coud have legs. Look at this chart.
Barclays PLC (ADR) (NYSE: BCS) is up18.60% to $19.70. The company is planning to split and sell off part of University Partnerships Programme, The Financial Times reported. (NYSE:STD), ($STD)
These charts all look eerily familiar. These banks (including BCS) have been on a strong downtrend…not any more. The bank sector just got a shot in the arm.
Bank of America Corp. (NYSE: BAC) is up 6.98% to $17.31. Bank of America, Citigroup will likely take charge for U.K. bonus tax, American Banking News reported. (NYSE:BAC), ($BAC)
BAC is a juggernaut. This is another one that was on a prolonged decline and snapped back.
Citigroup Inc. (NYSE: C) is up 6.12% to $4.25. The company on Friday said it will purchase $535.9 million worth of notes as part of a previously announced tender offer, American Banking News reported. (NYSE:C), ($C)
Citibank is still the laggard in the sector
Washington Mutual, Inc. (Pink: WAMUQ) is also up to a whopping 14 cents! I get yelled at all the time with WAMUQ, but it has so many problems. I am hopeful, but not convinced with WAMUQ.
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Clean Power Concepts Inc. (OTC: CPOW) is up 158.06% to $0.800 on above-average volume. The company on Wednesday announced it has acquired established bio energy products manufacturer General Bio Energy Inc. (OTC:CPOW), ($CPOW)
EnergyConnect Group Inc. (OTC: ECNG) is up 32.50% to $0.159. The company reports its first quarter 2010 financial results on May 11 after the market close. (OTC:ECNG), ($ECNG)
America West Resources Inc. (OTC: AWSR) is up 27.62% to $0.134. The company this week said it has agreed to supply a major west coast utility company with compliant thermal coal mined from the Horizon Mine in a deal valued at $7.4 million. (OTC:AWSR), ($AWSR)
Quantrx Biomedical Corp. (OTC: QTXB) $0.320. The company has today announced that it has entered into a two-year agreement with VetRed BV for the European distribution of products developed by QuantRx (QN Diagnostics) for veterinary applications. (OTC:QTXB), ($QTXB)
Greenchek Technology Inc. (OTCBB: GCHK) is up 14.63% to $0.0470. (OTCBB:GCHK), ($GCHK)
Anglo Swiss Resources Inc. (USA) (OTC: ASWRF) is up 23.67% to $0.297. The company has today confirmed that all outstanding claims made by parties to an Option Joint Venture Agreement dated September 5, 2002 have been resolved. (OTC:ASWRF), ($ASWRF)
China Crescent Enterprises Inc. (OTC: CCTR) The company is scheduled to present an overview of an anticipated return on investment potential on May 10. (OTC:CCTR), ($CCTR)
CCTR is a mess. It has been up and down and is subject to a great deal of hype. It actually is a good company with revenues but it has been the traders’ plaything and is not to be trusted.
CCTR has come down to a very attractive level. Watch it to see if it bounces off the next support level.
Cytta Corp. (OTC: CYCA) is down 3.45% to $0.0028 on a high volume of 43.78 million shares. (OTC:CYCA), ($CYCA)
Deltathree Inc. (OTC: DDDC) is down 9.11% to $0.199 following its first quarter results. (OTC:DDDC), ($DDDC)
Legend International Holdings Inc. (OTC: LGDI) is down 0.93% to $1.07. The company has announced that it has set a record date of June 4, 2010 for entitlements for the spin out of its diamond, gold and base metal interests. (OTC:LGDI), ($LGDI)
I really like LGDI. I have for quite some time. I have done both an alert on LGDI and blogged it and both times it delivered some solid gains. LGDI is still a exploration company, but it is one of the best financed and best run companies in the mining sector.
LGDI may be down now, but it will not be down long.