To: David Smith who wrote (4137 ) 12/31/1997 3:26:00 PM From: Hawkmoon Read Replies (1) | Respond to of 11708
hmmm... Small cap, microcap, or big cap?? Let's see... Microcap stocks offer a number of attractive examples. Some of my favorites are ECGOF, TPRO, and for the more strong of heart and faith, GRNO and USXX. Let me say that GRNO has been enduring a devastating SEC investigation, but has recently agreed to settle with the SEC with no fines and a promise to never do whatever it was that it did again... :0) Not out of the woods quite yet until the official documents are signed later this Spring, but their waste oil processing technology seems to be ready for the commercial. A number of GRNO shareholders have visited the company and its demonstration waste oil processor in Charleston, SC (I was down there earlier this month) and I think that we'll see some support for the stock in 1998. The negatives are having shareholder confidence shattered by the investigation, but the positives are that the company's mangement continues to spend money on development, and proper corporate legal representation that should help keep it from breaking "the rules" in the future. USXX has an exclusive 1-year contract with Wackenhut for them to install their prison industry business plan in selected correctional facilities. The gov't has operated what they call the "PIE" program for many years very inefficiently. USXX was taken over last December by a management team that injected a considerable amount of their personal money into the venture. From what I've gleaned their goal is to employ 20% of the prison population in jobs that pay at least minimum wage in the prison. Standards are strict and that keeps the employed 20% on their best behavior since they know the other 80% of the population is looking to replace them. And the other 80% behaves themselves as well in hopes of a good paying job (compared to what is available now) and some vocational training. Midcap... Anything that deals with Y2K and computer services consulting. Avoiding the ZITL's and DDIM's in the market, but KEA, IMRS, AMSY, and others look very attractive and seem to be enjoying a sector rotation in their favor. Big Cap... I would wait for the end of the current rally and look for good short candidates. Personally, I'm looking for exit strategies on all my big cap stocks wherein I ride the current rally, make a couple of points and get the hell out before Y2K awareness really hits later this year. Regards, Ron