Penny Stock Pick - SPF

Is the real estate market stablzing? After the bubble burst, the real estate market seem to be stablizing in some area such as California as record foreclosure attract buyers and actually bring the sales volumn back. With federal government and possiblly California state government providing subsidary for first time home buyer, it is very likely that the housing market could go up even more. So the California based house builder Standard Pacific(SPF) is now on our rader as a stock that could be a diamond in the rough.

Technical
The technical chart shows bullish signal as K line is on top of D line and MACD is on top of zero. There could be profit taking as the stock seems to rise too quickly in a short time. However now that the stock is above 50 day moving average, we should see the trend continue to be upward.

Insider
There are no insider share sale or purchase. The institutions have sold 71 million shares in the most recent quarter which showed the institutions have no confidence in stock.

Financial
The company is still losing money but the company does have enough cash to cover short term debt which is a huge positive crucial in today's economy situation.

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

Penny Stock Pick - CT

Is the commercial real estate industry stabilizing? For New York based real estate debt investment firm Capital Trust (CT), the real estate bubble burst and the depression came after have been a painful time as the stock dropped from $50 in early 2007 all the way to as low as 80 cents per share last month.

The stock today trades at $1.39 per share, up 27% compared to yesterday. Although it is still low compared to this year's high of $4 per share in January, maybe we could see new high for this year as the situation seem improving with government's rescue plan keeps coming.

The financial is still a little bit shaky as the cash in hand is less than the short term debt therefore this is still quite a risky investment but with potential high return