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Microcap & Penny Stocks : Tokyo Joe's Cafe / Societe Anonyme/No Pennies

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To: DanielleC who wrote (90977)8/25/1999 2:43:00 PM
From: Kevin McKenzie  Read Replies (3) of 119973
 
I like TOPP for a few reasons;

(1) It's a true turnaround play even without Pokemon. Their most recent quarterly revenues were $85 million vs $53 million for year ago comparable. More importantly, their earnings were $.20 vs $.06. There margins are up and they're some of the best in their industry (printing).

(2) Their Pokemon cards just hit the market this week. They are rumored to be sold out, but who knows. They have a worldwide distribution network for those cards and other candy/novelties.

(3) The "Wizards of the Coast" cards are the Pokemon item that are selling out all over the place. I can find toys, school supplies, etc. But I can't, for the life of me find the cards. I had to order directly from the manufacturer. If Wizards of the Coast went public today, they would have a market cap of several hundred million. I'm betting the Topps cards will sell just as well (and Topps IS public)

(4) Topps Pokemon items are repeat purchase type stuff, like trading cards, candy, small novelties. They (Topps) are masters of churning out new variations of cards that keep kids (and kids-at-heart) buying.

Anyway, I still wish all my money had been in GRIN this week. I made some on it, but not quadruple my trading account.

Topp's downside (I guess) is their large float. However, I think it makes Topp's a more likely candidate for fund accumulation and coverage.
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