Penny Stock Pick - NEXM

The penny stock pick of the today is NexMed Inc. (NEXM), the East Windsor, NJ based drug maker. For the past three years the stock has been on a long slide from $5 per share all the way to as low as 47 cents per share. However recently we are seeing some positive momentum from the stock suggesting the stock may be on the come back.

Technical
The technical chart is showing positive sign as 50 day moving average has just crossed on top over 200 day moving average. In addition MACD is on top over signal line. This indicates the stock is back to bull market.

Insider
Both the insider and institutions are slightly bullish about the comapny as the directors have been acquiring the stock while the insititutions have bought 687,301 additional shares representing a 4% increase.

Financial
The year 2005 was very strong with revenue went seven fold compared to previous year. However based on the first three quarters of 2006 unless the company has strong fourth quarter otherwise 2006 may have less revenue. However net loss would drop as well.

Penny Stock Score (1~5) 5 is highest
1. Market Potential(Drug Maker): 4
2. Technical: 5
3. Insider: 4
4. Financial: 4
Recommendation: Strong Buy