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Microcap & Penny Stocks : Gator's Picks from the Swamp -- Ignore unavailable to you. Want to Upgrade?


To: Guy. who wrote (333)3/4/1999 7:53:00 AM
From: Gator  Respond to of 616
 
Our portfolio is up again from yesterday, $17,777.50 in stock and still holding $167 in cash for a total of $17,944.50, up nearly 80% in 6 days.

Current holdings:
CRNC - We've got a real winner here. Already doubled our money. Yesterday it ran over $3, but profit taking set in and brought it down to just a small gain for the day. People who bought CRNC in early February or before were in under $0.50, so those people were looking at 400%-600% gains on their investment, which they wisely took profits. Good news is that the shares that were traded yesterday were traded in the $2 to $3 range, so our average price base has risen substantially. We should see less profit taking (and less selling pressure) going forward. Several things to look forward to which may boost buying, including:

- an 8K filing on Edgar confirming the Letter of Intent
- Possible added publicity from IBD and/or Barrons news ads.
- Additional acquisitions announced (several are in the works, should be hearing about some within the next couple of weeks)
- Actual closure of targeted acquisitions
- Nasdaq application shortly thereafter
- Nasdaq acceptance
- 1st quarterly report including acquirees
- Announcement of a "big name" CEO

Where should this stock be trading? Well, based from the company's targets using industry multiple and $1.11 projected earnings, they're saying $23. I'd say cut that by 50% because the deals aren't closed ($11.50), and cut that in half again because we're on the bulletin board ($5.75). That seems a good target, puts it in line with a CAGI, which has similar revenue potentials, is fully reporting, and is soon acquiring larger market status. Of course, our $5.75 target goes up with any additional acquisitions that are accretive to earnings, and goes up with closure of acquisitions. At $5.75, I'll part with enough shares to cover my original investment, and let the rest ride for free, looking for double digits after larger market listing.

CMMI, looking for the rumored short covering to come. Starting to wonder if it ever will. Company needs to release some sort of news to indicate to us that they are executing their business plan. Looking at exiting around $4 and $6.

On our watch list, I really like EBLD. If we started with $20,000 instead of $10,000, we would have put most of the other $10K in EBLD. Still waiting for RDIM news to get that stock going, MDIH is way too cheap where it is trading right now. ETPI is rumored to be nearing completion on some acquisitions. IGHS has signed two state contracts now for their internet-based health risk management system (around a million bucks a pop). You can bet that more is coming. I would expect that they either merge or get acquired by someone to increase their funding and workforce to implement these contracts.

Gator



To: Guy. who wrote (333)3/5/1999 9:32:00 AM
From: Gator  Read Replies (1) | Respond to of 616
 
Great news from EBLD this morning. Natural progression into e-commerce. The convergence of entertainment and e-commerce has been discussed as the next big event in the internet's progression. Looks like EBLD is right there at the head of the pack.

CRNC got way oversold yesterday. Sell volume eventually trickled down to nothing, then buying came in. Expect to see more buys than sales today and going forward. Hopefully all the profit takers in under a buck are now out. Good writeup on the company and acquisitions in the Tampa Trib today (see tampatrib.com). Company is aggresively trying to get the word out. Still lots more to come. Expect to see the 8K posted early next week on Edgar, should give a lot more details on the acquisition.

Gator