Tuesday, July 20, 2010

Keep Your Eye on These Penny Stocks

Listed in this post are three penny stocks at inflection points with high expectations and excitement. The Penny Stocks are OMEX, WYY and CHIO. For more penny stock picks or websites consider clicking on the related articles provided by Google on the right hand side or the top of this blog. (Click to continue reading.)

Odyssey Marine Exploration Inc. (OMEX)
Current price: 1.24
52 week range: 0.94 - 2.33

OMEX is a treasuring hunting company engaging in the exploration of sunken treasures using high-tech equipment to detect and recover sunken and buried treasure.

Since its low of 0.94 on June 29, the stock has risen 0.30 or 31.91%. Technical indicators are pointing higher as the stock moved above its 50 day moving average in trading yesterday. The stock is still trading below its 100 and 200 day moving average and will need to move over 1.30 to cross its 100 day average.

WidePoint Corp. (WYY)
Current price: 0.80
52 week range: 0.50 - 1.25

WYY provides technology-based products mainly to the government including Wireless Mobility Management, Cybersecurity and IT Consulting Services. 

I originally picked WYY around 0.75 and held it until it crossed over 1.20. I felt uncomfortable with the pace the stock took so quickly and got out. The stock price is now trading around 0.80 and I fell this is a great price to get in. The company has now become profitable and has free cash flow which will enable the company to grow. I feel the stock price could reach 1.30 or around there by next year without any negative surprises in earnings.

China INSOnline Corp. (CHIO)
Current price: 0.31
52 week range: 0.28 - 1.68

CHIO is a Chinese insurance agent representing insurance companies in China. The company seeks to benefit from the growing demographic of middle class individuals shopping online for insurance.

Because of non-compliance with NASDAQ rules CHIO is facing possible delisting for its bid price being below $1.00. The company was just granted an extension for 180 days ending on December 27, 2010. With their current price 0.31 CHIO has a long way to go to be in compliance. This period will either make or break them and will cause management to dig deep and come up with a creative solution. If the company is successful, investors could see returns over 200% if not it is possible to lose everything.

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1 comment:

  1. any news on CHIO? do you know what happen to the 82% loss of revenue? and where the company is going?