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Microcap & Penny Stocks : DD-CIA Due Diligence Central Intelligence Agency

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To: PitBull who wrote (8)6/29/1998 2:55:00 PM
From: Jeffrey L. Henken  Read Replies (2) of 120
 
MRTI- Lets see what we can dig up. What are we are looking for in a good investment here?

1.) Reporting companies with excellent prospects for growth.

First lets see if MRTI is actually a reporting company by first checking Yahoo and getting the company's full name:

quote.yahoo.com

Yahoo shows SEC documents and the company's full name is METAL RECOVERY TECHNOLOGIES INC. Now lets take that name and look for filings at Edgar where you will get more complete documents than at Yahoo:

sec.gov

Look at the company name box towards the bottom of the page and try the 10 K that came out in April for a complete document full of disclaimers:

sec.gov

It looks like the company has possibilities in the future but that future may be a ways off.

2.) A hook: Something that will excite investors in the future.

No hook for excitement here, as the company is in, as you said, a pretty boring business and we are still awaiting the big profits.

3.) Insider buying as opposed to selling.

Well you have that but the company is issuing stock to pay off loans and they are currently allowed to issue up to 100,000,000 shares.

4.) DD based on actual discussion with company officials.

I would really want to know when they are going to get started in this business and how far off they feel real profits are for them. This is the single most important thing you can do is talk to the company before investing.

5.) URLs which will make your research easy to find and follow.

Once again start here and then head to Daily Stocks:

quote.yahoo.com

dailystocks.com

If you want to search for zinc metal recovery I would do it by using Excite's search engine. Remember there may be competition out there in the form of a non public company.

excite.com

Unfortunately MRTI does not meet my investment criteria. It may in the future and it might even be a great investment in the meantime. Doing all the due diligence you can will only help to eliminate the poorest investment candidates. It cannot entirely remove the risk of investing. Today for instance is hardly a banner day for my portfolio.

Good luck, Jeff
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