Tuesday, May 3, 2011

TLAN - Under Significant Accumulation

TLAN after all the positive news, including posting their first annual profit, is showing signs of significant share accumulation.  I expect the share price to begin its ascent back to recent highs of $.0058 - $.006 before ultimately breaking and surpassing $.01. 

I have already outlined the many reasons why I like this stock in previous blog posts.  At $.0032 this stock, in my view, offers a tremendous opportunity to profit in the short term.

May 3rd Winners and Losers

 I HAVE FIXED THE ACCESS PROBLEM TO THE LINK


Todays Winners: THMRQ +200%, EHSK +150%, AVMC +130%

Todays Losers:  TECA -75%, AGOE -64%, KRMC -58%

A Detailed List of Todays Winners and Losers, Click Here

Monday, May 2, 2011

Tuesdays Stocks To Watch - EXPH, AVEW, TLAN, BRZL


EXPH news out today confirmed why i am high on this stock for a big move in the short term. The company has no further plans for dilution. Also the company just boosted revenue by over 300%. For a $.0003 stock, I think the risk/reward offers a great opportunity.

AVEW the stock sold off early then rebounded and rallied strong into the close. This mometum should carry over to tomorrow. The chart looks ready for an upward move, lets see if traders agree.

TLAN any selling today was met with solid buying interest. The chart and LEVEL II are looking very good for TLAN. This company recently reported an annual profit while reducing liabilites, increasing assets, reducing outstanding shares and eliminating preferred shares. I know that is a lot to chew on, but to sum it up, I believe TLAN is a bargain at these prices.

BRZL is in the midst of a very strong rally. Currently the stock rests comfortably above its 50dma, and looks to continue upward tomorrow. BRZL should be a great stock to trade throughout the week.

Chart of The Day - OTGI


EXPH - Revenue Up 345% - No Further Dilution of Stock




Today EXPH released great news which should allay any doubts about this company and its stock going forward. They are growing revenues, they do not plan any share recapitalization, and there is no dilution going forward. The chart is showing some impressive accumulation and I don't think it will be long before EXPH is trading much higher form here.

As we all know these triple zero stocks can get quite explosive once they start to move. While there is no guarantee that EXPH will move, it could even fall from here, I feel that the risk of any pullback is small when compared to the potential rally in shares.

In order to make money in these markets you need to be risking your capital. With that risk comes the chance of a big reward. The fact that the company stated no further dilution, in my view, reduces the risk for EXPH when compared to other penny stocks. The threat of dilution is gone, and that in itself should help bolster shares. Factor in growing revenues and visible share accumulation on the chart, and EXPH could post a nice rally from here. Add it to your watch list.


Expo Holdings, Inc. Announces April Sales Up Over 365% Business Wire "Press Releases - English"
NORTH WILKESBORO, N.C. --(BUSINESS WIRE)-- Expo Holdings, Inc. (Pink Sheets: EXPH - News), completed approximately $170,000 in sales during April 2011 compared to approximately $36,400 in April 2010 .

Sales for the month of April 2011 were approximately $170,000 compared to approximately $36,400 in April 2010 . This figure does not include approximately $75,000 in deposits received in April 2011 (for projects in process) as deposits are booked as a liabilities until the orders are completed and the billing process is completed. The company typically requests a 10% (or more) deposit for orders over $10,000 in size.

The company has completed approximately $590,000 in sales during the first four months of 2011 compared to approximately $216,000 in sales for the same time period last year.

The company continues to expect sales volatility for the balance of the year.

The company currently employs approximately 37 with 11 part-time members as part of this total.

The company has raised funds via its stock in early 2011 as well as during 2010. The company anticipates no additional stock issuances now or in the foreseeable future and has no plans or considerations for a reverse stock split.

As always, shareholders are invited to visit our facility and view products in production. Contact us at 336-667-8765 to visit.

This release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 27E of the Securities Act of 1934. Statements contained in this release that are not historical facts may be deemed to be forward-looking statements. Investors are cautioned that forward-looking statements are inherently uncertain. Actual performance and results may differ materially from that projected or suggested herein due to certain risks and uncertainties including, without limitation, ability to obtain financing and regulatory and shareholder approvals for anticipated actions. If you invest, you may lose some or all of your investment.

Expo Holdings, Inc. J.D. Brown , 336-667-8765
Source: Expo Holdings, Inc.

May 2nd Winners and Losers

Todays Winners: IGPG 170%, SLIF +158%, ENTID +112%
Todays Losers : WCYN -74% RZTI -73% STDF - 70%


Click Here For A Full List of The Winners And Losers

Sunday, May 1, 2011

Finding winners among penny stocks can be tricky

Finding winners among penny stocks can be tricky



By John G. Edwards
LAS VEGAS REVIEW-JOURNAL

If only more penny-stock company executives showed the kind of commitment that Donald McGhan had to MediCor Ltd., a Las Vegas-based manufacturer of breast implants.

MediCor Chairman McGhan was willing to steal $54 million to keep the Over-the-Counter Bulletin Board company going, but it all ended for naught.

Meanwhile, Samaritan Pharmaceuticals and CardioVascular BioTherapeutics Inc., both of Las Vegas, are doing business, but it's hard to tell how well. Samaritan Pharmaceuticals hasn't filed financial reports with the Securities and Exchange Commission for two years; CardioVascular BioTherapeutics hasn't reported financial results to the SEC in three years.

These are just some of the locally based companies with publicly traded penny stocks that investors buy and sell on the Over-The-Counter Bulletin Board or the Pink Sheets.

Investors can find gold nuggets amid the penny-stock rubble, but analysts said it's easier to get burned than it is to make money.

"Anybody who wants to play these stocks has to be willing to lose their entire investment," said Harvey Cohen, a retired executive who helped numerous small companies go public with stock offerings.

He was chief financial officer of Vegas Chips, a potato chip company that earned a listing on the Nasdaq and had its products carried by Vons supermarkets around 1990. But the company got bloodied trying to compete with big-name national brands and eventually was sold, Cohen said.

Investing in penny stocks is more akin to betting on roulette or playing the lottery than it is to buying and holding billion-dollar blue-chip companies with names known around the world.

"It's a huge risk," Cohen said. "Four out of five (penny stocks) have to be outright frauds."

In good times, penny-stock promoters try to appeal to people with extra money for investments, Cohen said.

"When times are bad, everybody hopes and dreams and they think they can turn $1,000 into $10,000 with a penny stock," Cohen said. "This has to be money you can afford to lose."

Jag Mehta, a chartered financial analyst and adjunct professor of finance at the University of Nevada, Las Vegas, invests in some small-cap stocks, but he warns that investors must do continuous in-depth research to find worthy companies.

"Generally, I tell people to stay away from penny stocks," Mehta said. "They are companies you know little about."

Instead, Mehta suggested that casual investors invest in mutual funds that hold small-company stocks. He recommends Pinnacle Value Fund (ticker: PVIX), Wasatch Micro Cap Fund (ticker: WMICX) and Wasatch Microcap Value Fund (ticker: WAMVX).

But investors with the expertise and diligence to research small-cap companies can find gems that Wall Street analysts haven't noticed, Mehta said. He screens data from the American Association of Individual Investors to find small-cap stocks that have solid financials.

He mentioned one jewel he found: Elron Electronics Industries (ticker: ELRNF.PK, Pink Sheets), an Israeli company with $60 million in cash.

"This company has been in business for the last 49 years," Mehta said in an email. "It pays extraordinary large dividends every time it has a large amount of cash collected. It is an unusual company."

On the other hand are penny stocks like McGhan's MediCor Ltd., the breast implant manufacturers.

McGhan, 77, is serving a 10-year sentence for wire fraud at the Bastrop Federal Correctional Institution in Texas.

A lawsuit filed in January by the Securities and Exchange Commission blames McGhan and his son, Jimmy Joe McGhan, also of Texas, for diverting $54 million of real estate investors money into MediCor. The elder McGhan was MediCor's chairman; his son was MediCor's chief operating officer.

The money came from investor clients who entrusted Henderson-based Southwest Exchange with money from the sale of real estate so they could delay income taxes on capital gains. Donald McGhan also controlled Southwest Exchange.

MediCor, which had shares traded on the Over-the-Counter Bulletin Board, filed for bankruptcy in 2007 after Southwest Exchange was closed and MediCor lost is primary source of money. MediCor was dissolved in November.

Las Vegas seems to attract medical companies. Samaritan Pharmaceuticals (ticker: SHPC.PK, Pink Sheets) and CardioVascular BioTherapeutics (ticker: CVBT.PK, Pink Sheets), both of Las Vegas, have penny stocks. Neither has filed any recent financial reports to the SEC, however, so it's difficult to know how well they're faring.

In a telephone interview, Samaritan Chief Financial Officer Eugene Boyle was repeatedly asked why the company didn't regularly make public reports of financial results and refused to answer. Boyle said the Las Vegas Review-Journal should find a securities attorney and ask that attorney about Samaritan's lack of recent financial statements.

Samaritan's last 10-K or annual report filed with the SEC showed that $100 invested with the company at the end of 2003 was worth $3.15 at the end of 2008.

In a February 2008 statement, the Las Vegas company said its sales revenue was growing but failed to disclose how much sales grew or quantify total sales.

CardioVascular last reported to the SEC on financial results for the nine months ended in September 2008. CardioVascular lost $4.7 million during that span. The company reported $574,000 in assets and a shareholder deficit of $12 million. The voice mail for CardioVascular spokeswoman Allison Caplan was full and she didn't respond to an email.

Securities lawyer Ira Levine of Levine Garfinkel & Katz said companies with stock traded on the Over-the-Counter Bulletin Board are required to file regular financial reports, as provided in the Securities and Exchange Act of 1934.

Some companies with stocks traded on the Pink Sheets aren't required to file financial reports with the SEC, he said. However, Pink Sheets companies must file regular reports if they have more than $10 million in assets and more than 500 investors, he said.

Samaritan and CardioVascular shares are traded on the Pink Sheets.

CardioVascular in December licensed Phase II diabetic wound-healing data from Merck Sharp & Dohme Corp., a subsidiary of Merck & Co., to use in developing pharmaceuticals.

Other penny-stock companies in Southern Nevada include MK Automotive, American Wagering and Power Efficiency Corp. All three companies have shares trading for less than a dollar.

Power Efficiency Corp. (ticker: PEFF, Pink Sheets) makes controllers for electric motors, including those used for escalators. Chief Financial Officer BJ Lackland said the company's equipment has been installed at the Las Vegas Convention Center, McCarran International Airport and U.S. Capitol Visitor Center.

The company lost $3.3 million last year, down from $4.2 million in the prior year. Revenues totaled $577,000, up from $293,000 in the prior year. The company said it had a $2.7 million cash deficiency at year-end 2010 and has reported recurring losses from operations.

"Our auditors have stated that these factors raise substantial doubt about our ability to continue as a 'going concern.' " the company stated in its annual report.

Power Efficiency's annual report said it needs to develop new products, find new customers and boost sales to existing customers to become profitable. The company is trying to raise additional capital.

Before investing in a company, Cohen said he insists on having audited financial reports, preferrably from a major national or regional firm. BDO USA, a national firm, audited the company's financial results.

However, even audited financials may be bogus, Cohen warned.

The SEC in 2009 charged certified public accountant Michael Moore of Las Vegas of securities fraud for issuing false audit reports for 300 penny-stock companies. Moore agreed to a final judgment enjoining him from future violations, to disgorge $190,000 and to pay a $130,000 penalty.

Cohen noted that Power Efficiency was thinly traded. The company had the 11,200 shares traded on March 21 and a closing price of 11 cents, and Cohen figured that transactions for the day totaled approximately $1,400.

"If the broker tells you to buy it, hang up and change your number," Cohen said, laughing.

MK Automotive of Las Vegas (ticker: MKAU, Over-the-Counter Bulletin Board) franchises auto repair shops that do business as Mike's Master Mechanics. Company spokesman Richard Groberg said MK Automotive has four franchised locations and operates six company-owned locations.

President Michael Murphy and Secretary-Treasurer Tracy Maurstad are married. The company started as a private corporation in 2002.

Mike Murphy and director Thomas Kubik own 87 percent of the company's outstanding common stock. The company reported $3.4 million in net sales for the nine months ending Dec. 31, down from $3.5 million in the same period of the prior year.

The company almost broke even with a $5,600 loss for the nine months ended Dec. 31, compared with a loss of $347,000 a year earlier.

Contact reporter John G. Edwards at jedwards@reviewjournal.com or 702-383-0420.