Xybernaut (XYBRU) is an IPO by Kensington Wells and Royce Investment, both of which had exceptional IPOs in the past. The last one by Kensington Wells was VideoLAN (VLNT/VLNTW) which was the biggest
success on Wall Street last year. The unit rose from $4 to $19, lingered in the teens for a while and then made the move to the 80s - yes the 80s as a unit ($47 - VLNT and $39 - VLNTW). Since then it has
come down and the unit is about $30 now. However, the point is it made a sudden move after two months after the IPO. I expect the same
to happen with XYBRU, though not to the same degree. Royce was also the underwriter of Company Doctor (CDOC/CDOCW) which had nearly tripled from $5 to $13-14. I can see the potential of this IPO, with
the weight that these two investment firms can put in.
Xybernaut is a good company which has a unique product - computers that can be worn by users needing information, while on the job. Part of it is attached to the waist and the viewing is done through a headset. It has immense potential as a product in many fields - aerospace, defense, manufacturing, etc.
VideoLAN had surprised Wall Street last year, but this year the big
boys are already buying Xybernaut - waiting for the runup to come
soon. I expect the stock to run up to the 30s in 45-90 days. My
expectations are again based on the past performances of the underwriters and the potential of the company itself, based on its unique product. I bought at 16.25 and will be buying some more. Good luck.
Divyendu Mohanty |
