Hope everyone’s weekend has been a good one. In tonight’s report, I’ll go over my thoughts on $OMVS‘s possible 4th spike? Take a deeper look into penny stock companies surrounding the cable dilemma (aka $CCLX, $OTTV, $RIHT). Last, we will follow up with Friday’s winner $EXOL, touch base on $TMPS‘s resurrection and newsletter promo $VGID.
So lets get started with good ole OMVS. Based on charts, indeed we witnessed the predictable 3rd spike, (2 week range) that saw a low of .039 and a peak of .12 (300%+). Most people would love to see those kind of gains in a YEAR never mind 10 days. Yes, the stock has eased back to the .09 range (as of close Friday) which leaves me wondering is there enough time for one more glorious 4th spike?
Hmmm, so what do you mean by time for a 4th? Well if you haven’t followed OMVS too close, a few months ago, the company has “teased” investors of a merger/acquisition with a Artificial Intelligence company in California called “RAD”, which does security robots. OMVS (we will politely say) is basically a shell or holding company in which RAD would be it’s biggest asset and the primary value of the company. This acquisition was announced months ago and is set to close by August 11th, 2017. When looking at a 3 month chart, you will now see 3 spikes. The 1st coming on the news of the possible merger, the 2nd on rumors of an earlier closing? or was it because the price fell too low? or did RAD related news of potential contracts of their robots?Well, it’s hard to say exactly what brought on the 2nd spike, but it ran from .0255 to .134 and was beautiful. The 3rd spike that just happened over the last 2 weeks (.039 to .12), was mainly on the anticipation of everything, some RAD news and the deadline drawing nearer.
So again, is there TIME for a 4th spike scenario? There could be if the company waits to the last moment, there are still 4 weeks until August 11th. Momentum traders, impatient short term investors and day traders may have chose to sell or take profits at the .11-.12 range in hopes of profiting in other momentum type plays or to simply have their money liquid for the next gainer. If the company does in fact wait till the last possible day, it in fact may be difficult to maintain the overall shareholder enthusiasm and share price. With this said, it could ease back to the .06-.07 level (still a higher floor) before setting up for a 4th spike as sideline investors jump in for the momentum ride up in anticipation of the August deadline. Many will wait out the volatility over the next 4 weeks with hopes of an earlier announcement. This is the gamble some will take. What scenario will be correct? Can one play something else, make money and bounce back in at a better price than of which they sold? All these things help make investing exciting. This 4th spike though, could be the biggest. Investors have asked me how high I think OMVS can go to with this merger? So called gurus or hypers will throw out numbers like a quarter, a dollar, $5… and even the investors this very moment waiting on the 10Q, which was due the 15th, are seeking any tid-bit of information to the equation of how soon and how much. There is a formula many use to figure out a company’s valuation. Those components may be revenues, or earnings and what PE ratios they may trade at based on those ratios or earnings…then you divide that number by the # of shares outstanding and “poof” you get a price/share of what it should be. Does it mean it has to trade at that number? No. If it trades lower, then simply put… its undervalued, if it trades higher than that number or price… its over-priced. So, back to my thoughts on OMVS’s price… well, we have a good idea of what RAD is worth based on revenues and potential contracts. The one major unknown is how the company will be structured share-wise after the deal is complete. Once we know that number, we can plug it into the formula and get a much better answer… and YEAH that’s my answer – My safe… cowardly answer. Haha, I will continue to follow up on OMVS as things progress.
Next, we are excited to look into the whole cable dilemma. We want to cover it, because companies like $OTTV have been one of the most actively trading companies this past month. I want to believe its because investors understand there is a growing dilemma today with the price of cable, its content, whether it be TV, music or movies and our options on how we watch and listen to them. We have witnessed the DEATH of renting videos as Blockbusters shut their doors, and companies like RedBox, Netflix and Hulu have grown. People are sick and tired of paying high cable bills. On top of that, subscribers are offered packages that usually include too many channels they will never watch, nor want to watch. Example: You may just want HBO, but the pack has to include 6 different HBO’s. Many have sought alternative solutions. Some cut the cable cord and just watch Hulu or Netflix, pay $8.99/mo or whatever and as long as they have a wifi provider for the home, they can stream movies and shows. If they want sports, music or news they can stay updated online. Then there is SlingTv, who offer small packages and affordable add on packages. They have quietly grabbed 2 million subscribers since its debut in 2015. SlingTV happens to be owned by DirectTV and probably won’t be able to save that company. Many sought DirectTV’s option to cable years ago, but are unhappy with service due to bad weather, fees, or the need for gaudy equipment on their roof or in the yard.
$OTTV (Viva Entertainment Group) has developed an OTT system through which television services are delivered using the Internet protocol suite over a network such as the Internet, instead of being delivered through traditional terrestrial, satellite signal and cable television formats. Subscribers get access to the content they want anywhere, anytime. With a WiFi connection our customers can watch Live TV from around the world, TV shows, as well as movies on demand, Tele-video conference and many other interactive features. Independent and Major film studios, television networks, Telecoms, Cable Companies, and emerging ISPs partner with Viva for enhanced capabilities in multi platform video distribution. Their app is available on iOs and Android platforms.
Now the CableClix ($CCLX) Intelligent Video Delivery and Cloud DVR solution brings all local channels (including High Definition and Ultra High 4K) as live streaming television within a given metropolitan broadcast area and up to one hundred additional satellite and premium channels to subscribers. CableClix proprietary technology first determines which channels should be present at a given location and then decides whether to feed those channels to the subscriber from the OTA broadcast (if available) or to stream the channels live from our equipment from the nearest CableClix Content and Caching Server. CableClix Intelligent Video Delivery eliminates “dark spots” and other obstacles that keep viewers from enjoying high definition over-the-air broadcasts.
- CableClix set top box determines what network channels should be available at the subscriber’s location
- Any channel that cannot be received at the subscriber location via OTA transmission is transparently fed to the subscriber over broadband
- CableClix lists all available channels, as well as any premium content subscriptions through a unified channel / program browser
- Subscribers watch live programming on a CableClix set-top box, computer, tablet, or smartphone
Personalized content delivery
The CableClix app delivers premium content to viewers both in and outside of our VPCN. Viewers do not think of video content in terms of the channels on which they appear any more. People like shows, not channels. CableClix delivers the content you want: local, curated, personal.
Other cable options are to go without. Some have bought Amazon firesticks, some of which are jailbroken to get every channel, creating another obstacle for providers. Others still download their movies and music illegally through “scraper” sites, or have special software. This is where comes $RIHT (Rightscorp) comes into the cable/ISP mix. RIHT has a few business models, but mainly they are trying to work with ISP’s to better police their users from illegally downloading copy-written content. Many ISP’s are turning a blind eye on their users and are crying it is impossible to control what their users do. One large ISP COX Communications lost a judgement of $25 million to BMG and Rightscorp in August, and later awarded an additional $8.3 in February. Rather than sue ISPs for millions of dollars like COX, they hope to work with ISP’s and charge a low fine ($20-$30 per infringement). Cable companies, who are already bleeding customers monthly, fear that these fines will cause customers to cancel their service. Rightscorp is simply looking out for the Intellectual Property Owners. They do not want a family to lose or cancel their wifi because a teenager in the house wanted to download a song or movie to their laptop, but their should be some sort of policing and small fine for the illegal activity.
ISP’s are not the only guilty party RIHT is going after. Digital music content providers such as Google, Amazon, Spotify, iHeart and Pandora have all been guilty of using a loop hole called “Unknown address” to avoid infringing downloads. Over 30 million instances have happened according to RIHT’s patented monitoring software from April of 2016 to January of 2017 alone. The company believes it is probably twice that now. Amazon alone was guilty of 19.4 million instances. Do they have the balls to go after the Googles, Amazons, Time Warners and Comcasts of the world? I believe the facts will speak for themselves and with 1 big win against ISP giant COX Communications to refer back… the ISP dominoes may fall into row and the rest will soon step up to play ball. RIHT has a 4 month low of .0158 and now trades at the .04 level and is trending higher. The company has recently announced in late June that they received a patent in Isreal so they are expanding their copy right policing globally, not just in the United States. With the growing use of the internet, media sharing and streaming, someone needs to look out for the original content creator.
$TMPS (Tempus Applied Solutions) did comeback to life starting Thursday morning. I would like to believe that the stock was extremely oversold. TMPS was June’s hottest stock, running from .03 to $1.07. Sure people will take profits and it took weeks to fall to this past Wednesday’s low of .19, but that’s when investors said I have o pick some up it’s just too cheap. At one point an investor will ask themselves, is this not the same exact company that traded millions of shares in the .75-$1 range? No bad news has come out, so how can it not be of value after falling over 80% off its highs. The bargain hunting created a flurry of buying that brought the share price from .19 to .48 (150%+) over the last 2 days and settled to close at .39 on Friday. Make a note to yourself, if TMPS falls again to the low .20’s, you may want to pick some up as long as there is no negative news.
$EXOL EXOLifeStyle Inc. was Friday’s BIG RUNNER closing at 0.0054 +63.64% on volume of nearly 20.8 million shares. We like to believe that this stock fell into the scenario of an investor doing his homework after coming across a company that was on the shelf. Let’s face it, there are over 9000 OTC companies and only so many investors and money to go around in these penny stocks. There was no recent EXOL news or filings, it simply was an investor seeing an undervalued company (in their eyes), bought it, then told the world about it and some listened. After Thursday’s close, the company’s market cap was only about $500k, which is arguably the value of a good OTC:QB shell company, meanwhile EXOL has a real business and revenues. It will be up to the company to maintain and keep their sudden wave of new investors by performing and releasing timely news updates.
$VGID was our sole Newsletter promo for Sunday going into Monday morning. V Group Inc. is a beverage producer. It’s broad line of products include antioxidant nutritional drinks and CBD (marijuana infused) beverages. The sub-penny priced at (0.0015) traded 144 million shares on Friday, way above its 30 day average. The company traded sideways as it closed down 6% on all that volume. The newsletter goes on to tout that VGID can see 275% gains if it trades back to its 52 week high.
Investors… Feel free to comment below about your reaction to the stocks or articles. What stocks did the newsletters you subscribe to promote this weekend? We want to hear from you!
Disclosure: Of the all the companies mentioned here, we are only LONG $CCLX with shares we bought on the open market. PSInvestor.com was NOT compensated for the mentioning of any the companies either.