Friday, May 28, 2010

VCTY - A Visual Example of Why We Trade Reverse Mergers


I recall a comment to one of my watch lists a few weeks back. The anonymous poster asked something to the tune of "What's with all these mergers?" He had a point. Many of my picks, alerts, and watchlist stocks involve mergers of some sort. Why? Because these mergers can pay off handsomely.

I'll give you one recent example of a merger paying off in a big way.

When I spotted some recent changes with VCTY in early February I made it my stock pick for my subscribers. Here is some of what I wrote:

The next stock pick is VCTY.

Bid $.0007 Ask $.0008 Last $.0008

With merger news this stock could see much higher levels considering the authorized share count is only 105 million per the Secratary of State. The play is that at some point this year Marc Pintar and Mina Mar group will get this shell active in the market with press releases as they did with EEGI, GOIG, HTDS, RMDM , and SKGO. You guys have all seen how those have run and the amount of money that went into them. This could very well happen with VCTY and at $.0008 this is a great chance to get in before the crowd. With any type of merger news or press VCTY will trade well over $.005 and possibly over $.01. Remember EEGI had a very similar share structure before the news started flowing on that one.


Today VCTY closed at $.0335. If you had purchased $800 worth of VCTY at my pick price it would be worth $33,500 as of today's close. How is that for a return on investment? I would think most penny stock traders would be happy pulling that type of return over the course of a year, not with one trade. Which is the point I am trying to make, reverse mergers are the most lucrative investments in the sub-penny stock market. When I say reverse merger, I am talking about potential 1,000%+ gains. This is the result of a dead, shell stock getting value put into it.


With my picks, alerts, blog posts, I am always on the look out for the most lucrative, money producing stocks out there. If happens to be a reverse merger play, you know it has the potential at running several hundred to several thousand percent. VCTY has been a 3,000% call thus far and the stock still looks to be running. After all is said and done VCTY could turn out to be a 10,000% call. That is the best part about these stocks.... you never know just how high they will go.

6 comments:

mrmark said...

Well Bob...

I quess we will find out just how many savy investors we have in our community! And I agree, this is not a day in day out type of trade for those who are willing to invest a little time/money for the larger pay-0ff. IMO, One would be foolish to even intertain the thought of selling below the .001 level. Thanks for bringing this pick and your thoughts to the forfront...

mrmark

mrmark said...

Seems I posted my comments under the wrong Blog! My comments were in reference to your Blog on SSWC!

JohnMathew said...
This comment has been removed by the author.
JohnMathew said...

Your site is extreamly informative and you have provide a great resource.
http://www.ninjapennystocks.com/

Unknown said...

I am finding it a bit difficult to agree with you. The so called reasons stated by you do not have that strength to hold back to your view because you haven’t given any idea about the silent consent, which may be a nod too.

http://www.pennyinvest.com/

Steven Anderson said...

You give very useful and valuable information's.Give me any idea about penny stocks.
http://www.coolpennystocks.com/