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Friday, April 13, 2007

Penny Stock Pick - CNLG

The penny stock on the spotlight today is Conolog Corp.(CNLG), the Somerville, NJ based digital signal processing design company. The company recently shows positive sign as it received new orders of communications systems in early April and earlier in March received one year extension of another communication equipment contract. This may be the time that the stock is going for prime time.

Technical
The technical chart is showing bullish sign as the 50 day moving average has crossed above 200 day moving average in February. Although KD is showing weakness as K line is now below D line, as soon as KD reverse back the trend we should see the stock moving up again.


Insider
The insiders are bearish about the company as officers and directors have been selling the stock this year while in the previous year most transactions were purchase of stocks. The institutions on the other hand are bullish about the company as it has added 24% of their holding.

Financial
Although the revenue hasn't changed the net loss has been on the rise so the company still needs to borrow money or keep selling the stock.


Penny Stock Score (1~5) 5 is highest
1. News: 5
2. Technical: 5
3. Insider: 3
4. Financial: 2
Recommendation: Buy

Monday, April 09, 2007

Penny Stock Pick - MEMY

The penny stock on the rise recently is the Montvale, NJ based Memory Pharmaceuticals Corp. an Alzheimer's disease drug maker. The two day boost which push the stock up from $1.63 on Friday all the way to as high as $3.22 today started since the company announced it has completed enrollment in the midstage study of a Alzheimers drug. The 100% rise in two days attracts us to look into more detail of this stock.

Technical
Although MACD still show weakness as it is still below 0. Now that the stock is back above 200 day MA while 50 day MA is still above 200 day MA there's great chance that the stock can be back to bull market rally again with K line now above D line again indicating new rally.


Insider
The insider seems to be bullish about the company with numerous purchases from directors and officers. The inistitutions in additional have been even more bullish as they purchased 9 million shares adding 27% more shares in the latest quarter.

Financial
The company earned less revenue in 2006 compared with 2005 although the net loss was still the same but was still way over the earnings. The 10 million in financing that the company received in late March was a huge boost as the company still needs a lot of cash to cover its huge Research and Development expenses.


Penny Stock Score (1~5) 5 is highest
1. News: 5
2. Technical: 3
3. Insider: 5
4. Financial: 3
Recommendation: Buy

Penny Stock Pick - ZTM

The Mundelein, IL based Z-Trim (ZTM), a fat substitute products maker could be the next hot penny stock. The company is on the right track making health realated product in a very health conscious society. With increasing media coverage on the media we may see more buyers so before the major rally comes this could be a good time to buy.

Technical
The technical chart shows very bullish sign as the stock is back on top of 50 day moving average with 50 day MA also on top of 200 day MA recently. In addition K line is still above D line and MACD is back above 0 which show beginning of new bull market rally.


Insider
For the past year the directors acquired total of 300 thousands shares and many other transactions before that have been acquisitions. The institutions though sold 400 shares which is insignificant volumn-wise.

Financial
The annual report which came out this month shows promosing sign as the revenue has increased from $514,608 in 2005 to $601,544 on increasing products sales. However the company is still using lots of cash and continue to borrow money.


Penny Stock Score (1~5) 5 is highest
1. Industry(Health): 5
2. Technical: 4
3. Insider: 3
4. Financial: 4
Recommendation: Buy

Thursday, April 05, 2007

Penny Stocks On The Move - MDII

  • MDI Inc. (MDII): shares of the enterprise security software maker soared 30% to $1.43 per share. The stock is in a very strong bull market with 50 day moving average on top over 200 day moving average and MACD above signal. In addition KD indicates the stock is still in rally as K line is on top of d line. However with ROC is showing the stock is slightly overbought, do expect some profit taking. However when the sotck drop back it is always good time to buy. [Accumulate]

Monday, April 02, 2007

Penny Stock Pick - AIS

The Ewing, NJ based Antares Pharma (AIS) is a penny stock way undervalued as described by Dawson James Securities which is why the investment firm today reiterates Strong Buy rating and also gives a price target of $4. In addtion earlier this month another firm Punk, Ziegel and Co. also initiated the coverage on the stock with a Buy rating. All these bullish rating make us wondering why these investment firms are so hot about the stock. And with some simple analysis you would see why.

Technical
The technical chart shows very bullish sign as the stock is on top of both 50 day and 200 day moving average with 50 day MA also on top of 200 day MA. In addition K line is back above D line and MACD is back above 0 which show beginning of bull market rally.


Insider
Although there were no significant activities from the insiders the instituions have been very bullish and bought almost 2 million shares in the latest quarter.

Financial
The lastest earning result reported on March 27 showed very bullish sign as the company had $2 million revenue for the fourth quarter of 2006, a 175% increase compared to 2005 which result in the total revenue of $4.3 million for the year of 2006 almost doubled the revenue of 2005. The increse in revenue was due to increase in product sales which was definitely a plus sign. Besides that the net loss for the quarter was also lower thatn the previous year.


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