Blue Horseshoe Stocks: NTFU Special Report


Nutrafuels, Inc. NTFU

We’re excited about our primary point of focus today, NTFU, and the space in which the company operates. We’ve paid a lot of attention to traditional pharma plays in the past, but seldom have we run across a stock that represents the niche market of orally-introduced nutraceuticals.

The main distinction between pharmaceuticals and nutraceuticals, or health supplements, is the manner in which they are regulated in the US. Pharmaceuticals, even if derived from natural compounds, are meant to be used under the supervision of a licensed practitioner, available by prescription only. The guidelines surrounding nutraceuticals are far less stringent, and they may be sold over-the-counter without limitation, or a rigorous, years-long approval process.

We like NTFU because they don’t just talk a good game, but walk the walk as well, with a fully-established line of natural, orally ingested supplements that are already available for sale. By some estimates, the Health & Wellness industry is expected to grow by more than 70% over the next few years, and NTFU is uniquely positioned to take advantage of that trend. The company has gone on record in stating that a key goal is to capture a 1% market share of the oral spray category inside of the next three years, and the pieces are in place to make a good effort to do just that.

The ‘sublingual spray’ method of delivery offers a high rate of bioavailability, thanks to the human mouth’s knack for trans-dermal appropriation of nutrients. It’s also an invaluable nutrient delivery method for the estimated 40% of Americans who have trouble swallowing the large pills that are often associated with supplements. The oral spray sector of the nutraceutical industry is estimated to have an annual worth upwards of $250-300M; a 1% share of that would mean substantial yearly revenue, yet does not appear to be an unrealistic goal by any stretch.

It’s a relatively underdeveloped market, with no clear leaders or household names, and NTFU aims to change that with NutraSpray. They have a number of approaches to retailing that we find well thought out, and poised for maximum effectiveness:

In addition to the brand establishment that is well underway, on the technical side of things, we can really appreciate the share structure of NTFU. With less than 23M shares outstanding, this low-float play could be subject to substantial gains with relatively little buying pressure. NTFU is coming off of its 52-week lows of .10, so we’re coming across the stock an an opportune time, and this morning’s exciting PR is only going to add to that:

Today’s News:

COCONUT CREEK, Fla., Oct. 22, 2015 (GLOBE NEWSWIRE) — NutraFuels Inc. (“NutraFuels” or “NTFU”), (OTC Markets OTCQB:NTFU), announced today that the company has initiated marketing and distribution of three of its leading oral-spray products on Amazon’s marketplace. >>FULL PR


Additionally, we’d suggest our readers view the detailed investor presentation that NTFU has made available, highlighting all aspects of the business and plans to move forward. Just tap or click the clock below to view and/or download the PDF:

NTFU Investor Presentation


As we said, some of NTFU’s products are now available for sale on Amazon, but you can also get the full line direct from the company’s website, which can be found at NutraFuels.com

Blue Horseshoe Stocks: PLKD Update, WTW & More

Weight Watchers International, Inc. WTW

The hype-fueled wave of buying pressure connected to Oprah Winfrey’s announced investment in WTW continued to push the stock higher yesterday. We began on Monday by commenting that this would be one of the major stories of the week, and it has certainly turned out that way.

Though we’ve been focused on several different plays in the WTW options chain, the move we’ve observed in just a couple of sessions from the stock itself has been rather impressive as well. From Monday’s low of 10.76, we’ve witnessed a two-session increase amounting to 78% as of yesterday’s high of 19.15.  After pulling back slightly the stock once again pushed past the $19-mark in premarket trading today.

As to the sustainability of this big run, we have to keep in mind that nothing has changed materially for Weight Watchers, which remains deeply in debt. As we said, the upward pressure is being caused simply due to the perceived value of Oprah’s name and inclusion on the board. We’ll continue to take advantage of the momentum while it’s still possible, but take it under advisement, that at some point this hysterical buying will give way to a substantial selloff as traders actualize their recent substantial gains. On the other side of that eventuality, we’ll also be ready and waiting to formulate some related bounce-play ideas.


MaxSound Corp. MAXD

We included MAXD on yesterday’s extended watchlist, and the stock did come through with a fair opportunity to bank a significant profit with the intraday increase it managed. We observed a daily low of .0275, which gave way to a subsequent high of .0372. That registered as a solid 35% upswing, and occurred on a fair amount of volume to the tune of more than thrice the 3-month average.

The look of the chart still appears bullish, with the RSI about to breach into the powerzone and the MACD showing upward divergence. The next areas of resistance beyond the 200DMA of .041 are sitting at .045 and .055. Yesterday marked the third consecutive session that MAXD posted higher highs and higher lows, qualifying it for momentum play status. Provided it continues to follow that pattern, we’ll remain interested in this play.


Peasant Kids, Inc. PLKD

We also want to pat ourselves on the back for our notion on PLKD a week ago today. We noted that we’d be interested in the stock if it could maintain support above its 200DMA of .0599 on a consolidation from the previous day’s run, and not only did it hold at .06 that day, but it has been on a continuous run since then. It culminated in a high of .14 yesterday, marking a five session swing of 133%

We’ll continue to stay hot on its trail following this morning’s announcement of a substantial share reduction:

MIAMI, Florida, October 21, 2015 /PRNewswire/ — Pleasant Kids, Inc. (PLKD) today announced that the Board of Directors has authorized a reduction in the amount of shares authorized by the company from 9,500,000,000 to 360,000,000 by filing a Certificate of Amendment with the State of Florida. >> VIEW PR


Extended Watchlist:
BIEL, GDSI, VAPE, PXYN,
DRNK, BYSD(Super-Subpenny Bottom-Watchers)

Blue Horseshoe Stocks: WTW, TRIP Updates & More


Weight Watchers International, Inc. WTW – Options Update

Mentioning the stock for the first time in our reports after catching yesterday’s news that Oprah is taking up a 10% stake in WTW, turned out to be yet another great feat of intuition on our part. We suspected that the hype-fueled run in the premarket would be subject to a classic dip-and-rip scenario which would allow us substantial opportunities on the options-trading front, and our assumption ultimately proved to be correct.

Just to refresh your memories, our specific target range was the WTW 11/20 $10-13 Calls, and all but one set in that range produced the chances for which we were looking. The $10 Calls were a bit too far out of the money to see any notable increases, but the $11, $12, and $13 Calls were all winning selections as WTW itself traded from 10.76-15.09 (+40%).

$11 Calls – Daily Range: 1.30-3.99 – Max Gain: 207%
$12 Calls – Daily Range: 1.00-3.50 – Max Gain: 250%
$13 Calls – Daily Range: .75-2.70 – Max Gain: 260%

The stock has continued to barrel upward in the premarket today, having once again cracked the $15 mark. By now it should go without saying that we’ll have to take a look at rolling up our strike prices to stay closer to the money in the event that the uptrend is sustained.


TripAdvisor, Inc. TRIP – Options Update

We began taking advantage of the TRIP options chain last week, where we tracked several different sets of contracts to triple-bag gains and better (we even had a 650% single-session mover!). To kick off the new week yesterday, we reiterated our interest in a specific idea, and it took almost no time at all for it to bear fruit.

We mentioned that we’d continue to observe the TRIP 10/30 $85 Calls and they logged a winning session for us once again. From a daily low of 1.50, they managed to run as high as 1.93. That goes down as a respectable intraday move of 29%
.
We’ll look for TRIP to maintain support at or above yesterday’s swing low of 82.53 on any pullbacks to stay interested, but we will continue to track these contracts in the days ahead.


Extended Watchlist:
KALO, MAXD, GMET, ILST, WSTI