So here’s where I’m at with the 3.
CCME: As I mentioned before they were uplisted on the Nasdaq, the extra liquidity would drive the stock down and the stock could hit $9. I was right there, most of you followed when I sold pre uplisting (or all of you?).. I really don’t like the fact that it’s down here, but it’s clearly being manipulated by shorts. The company still has a big 4 auditor, and as far as I know nothing changes materially. The big problem we have is China is not in vogue, and as long as that’s the case the stock will remain heavily undervalued for some time to come. I am not worried about it because I trade the stock, and I’ve done okay so far on it.
BOTTOM LINE: Company has Deloitte as their auditor, numbers are great, earnings around the corner. The big negative is China. I’m not adding anything at the moment.
SYNM: 3Q is when they said the plant would be online in full capacity, they didn’t mention a specific date, but all indications are good. The BP spill in LA will not affect them (they don’t need ocean water for this process). I fully expect the governor of LA to help turn this opening into a big event. The stock is under major margin pressure at the moment, but insider buying is a very good sign. One of my accounts got hit with a margin call while I was on vacation and they ended up selling some of my stock without my knowledge, so I’ll be adding soon. I’m sure there is time to add though, no pressure to buy anything, the market is too weak to call a bottom.
BOTTOM LINE: Company is still good, plant is still in check, insider buying is great! I’m not adding yet.
NEP: UGH. What can I say about this company? The dark horse that so far this year turned into a disaster. We are expecting news this month. The CEO is still on board, I don’t expect it to be a major deal, but it will certainly be a major setback to the stock price. As long as the deal with Petro China is still there then there is always a possibility for a great ending to a fairy tale turned horror story. This could be epic.
BOTTOM LINE: AMEX approved their plan they are still listed, Petro China deal is still there, the company still prints money. The problem they had was related to the CEO treating the company like his own personal piggy bank. Lots of foreign companies do this, its part of the culture — and probably why people hate investing in them. I expect the audit to end this month, we should see news soon.
So we wait. I’m still happy about SYNM. I trade CCME (not betting the farm on a long term hold), and NEP I hold without a choice, however I believe long term on OIL is still over $100, and if all goes well this story will be something we can tell our grandchildren about.
Sorry I wasn’t able to blog before – I really wanted NEP to become clear before I blogged anything further. The two stocks that are keeping my overall investments alive are HPQ and AAPL. The Canadian oil sands stuff I hold are all stable, as are the mineral companies. NEP, however, was a total disappointment … If only I had kept my entire position off the table when I sold between $10-$11.50…but you know, greed kills, and sometimes we break our own rules. I totally broke my rules on NEP, but I still think there is a chance for it to recover. We shall see.