Blue Horseshoe Stocks

Blue Horseshoe Stocks: RSH Update & More

Radio Shack Corp. RSH

RSH has made regular appearances in our reports over the past couple of months, starting in the beginning of August, when we caught the stock off of its 52-week low of .55.

Following a major run-up to the 1.60-range on August 29th, the stock has been under a general consolidation amid bankruptcy rumors. This week, the company was hinting at possible refinancing deal that would allow them to avoid that situation for the time being, and this morning, that deal was confirmed.

As a result, the stock is up significantly today, having traded as high 1.65 in the premarket. We’re going to want to see support hold at previous resistance points at 1.15 and 1.30. Already, at today’s early highs, we’re seeing more than a 100% increase off of the lows we observed following our most recent RSH alert (.80)

Rockwell Medical, Inc. RMTI

RMTI is another morning gapper that we’re going to place on watch today. With the stock coming off of a recent bottom, it’s going to be interesting to see how today’s development affects its price action.

The company put out a hefty PR this morning regarding a commercialization/distribution deal with Baxter Healthcare (BAX):

WIXOM, Mich., Oct. 3, 2014 (GLOBE NEWSWIRE) — Rockwell Medical, Inc. (RMTI), a fully-integrated biopharmaceutical company targeting end-stage renal disease (ESRD) and chronic kidney disease (CKD) with innovative products and services for the treatment of iron replacement, secondary hyperparathyroidism and hemodialysis, announced today that it has signed an exclusive agreement with Baxter Healthcare Corporation, a subsidiary of Baxter International Inc. (BAX), to commercialize Rockwell’s hemodialysis concentrate product line in the U.S. and in select overseas markets.>> VIEW PR

BioCryst Pharmaceuticals, Inc. BCRX

BCRX appeared on Wednesday in our extended watchlist, and what has followed has been two fruitful sessions in a row. From a low of 9.89 on Wednesday, we witnessed as the stock bulled its way into yesterday’s close, reaching a daily high of 11.49, a solid 16% overnight increase.

Inovio Pharmaceuticals, Inc. INO

Speaking of pharma plays, INO, a stock that has appeared several times in our reports recently, is also making moves concurrently with the present concern over the Ebola virus outbreak. The company actually has a Ebola vaccine with which they’ve reported success in treating animals with the deadly virus. Anything to do with Ebola is getting a lot of attention at present, and INO is no exception.

Side Note:

Jobs numbers were out this morning, to a positive reception. We will subsequently be looking for dip-and-rip opportunities with regard to options trading. Friday is characteristically a day when premiums start to come down as a result of time decay, with expirations looming. We’re looking at potential opportunities trading Calls in plays like SPY, AA, ISRG, & GPRO.

Extended Watchlist:
HALO, JBLU, WAVX, IAG, SFUN, NXTD

Blue Horseshoe Stocks: Special Report on GPIW

Grand Perfecta, Inc. GPIW

We have a rare occurrence with GPIW this morning; a stock that is both new to our reports, and operates in an industry which is also new to us. Grand Perfecta, through its Link Bit Consulting subsidiary, is in the business of researching, publishing, and disseminating horse racing information in Japan.

Don’t be fooled by the apparent obscurity of the sector; horse racing, and more specifically, betting on horse racing, is actually huge in Japan (the world’s top market). Between the two governing entities in the country, the Japan Racing Association (JRA), and the National Association of Racing (NAR), more than 20,000 horse races take place on Japanese soil every year, including the Japan Cup, which is the world’s most lucrative turf race (Annual purse of $5.6M USD).

Some estimates place the number of active weekly track bettors in the country at 3 million individuals, generating turnover in excess of $25 Billion USD annually. GPIW estimates roughly $8 Billion of that comes from its 1 million subscribers, who access data through sites like uma-jin.net; one of GPIW‘s racing information portals, as well as SMS messaging and traditional print. (Below is an example of the company’s Horse Racing magazine, also called Umajin, which has been in print for 15 years running.)

The company is also planning a move into other markets, including expansion to the US, and they have the manpower to do it. GPIW employs over 70 people, including a management team with several decades of tailored industry experience:

Shuya Watanabe – CEO – With 19 years logged in the business of horse racing, Mr. Watanabe is one of the co-founders of Link Bit Consulting.

Takashi Ozawa – COO – A 16-year industry vet, Mr. Ozawa is in charge of the company’s day-to-day operations.

Masashi Takegaki – CFO – For over two decades, Mr. Takegaki has been working in accounting, with more than 11 of those years being specifically focused on the financial side of horse racing.

Hiroaki Watanabe – VP – Mr. Watanabe operates out of Santa Monica, CA, and is in charge of online expansion and marketing. He’s spent a decade in international business management with a focus on internet solutions.

In addition to the company operating in an interesting market niche and having a solid executive roster, we like the potential of the GPIW chart as well, as we point out below. All in all, we see enough good things about GPIW to make sure we keep it on our radars in the near future.

The company also released its year-end fiscal results yesterday, the highlights of which included annual sales growth of 20%, unadjusted earnings of $3.8M compared to $2.1M in 2013, and net profits of $2.2M, as compared to $426K for the year prior:

TOKYO, Oct. 1, 2014 /PRNewswire/ — Grand Perfecta, Inc. (OTCBB: GPIW) today reported their July 31, 2014 year-end preliminary unaudited financial results. These preliminary results are still subject to adjustment as the company is working with its auditors to transition from Japanese GAAP to US GAAP and prepare audited financial statements for the July 31, 2014 fiscal year end >> VIEW PR

For More Information on GPIW:
www.g-perfecta.com

Blue Horseshoe Stocks: Bottom Play Alert, HEB & More

FBC Holdings, Inc. FBCD

We wanted send out an alert on FBCD this morning, if for no other reason than the fact that it’s been quite awhile since we found a bottom play trading near all-time lows in the super-subpenny range. We’ve definitely been known to do some bottom-fishing in our day, with some of our biggest wins coming from bargain shopping.

What we have in FBCD is a stock that has been beaten back to a record low of .0005 (reached yesterday) which catches our attention in a big way. We are going to stay vigilant as we monitor this play for a solid bottom, because a snapback to to the double-zero range is not only very possible, but also has the potential to happen quite rapidly.

With so little room to the downside, one might classify FBCD as a “lottery ticket” type of play. The action on super-subpennies have the potential to return exponential gains, which is why we’re going to give it a spot on our running watchlist.

A quick glance at the chart shows that each time an influx of volume has come into the stock, it makes a run to test its 50DMA. From present levels, a jump to the current 50DMA would mean a chance for gains of at least 66%

Hemishperx BioPharma, Inc. HEB

We were passively tracking HEB via our extended watchlist last month, and are going to keep giving it our attention as the new quarter kicks off today. The stock is gapping up to the tune of roughly 25% in the premarket.

We caught notice of HEB following the company’s announcement that it would collaborate with US Army Medical Research to develop treatments to attempt to overcome the emergence of drug resistance due to Ebola virus mutation.

With the current Ebola breakout making it a hot-button topic, and the company stating this week that it would be expanding its Ebola research, we’re going to still be keeping our ears to the ground on this one.

Spherix, Inc. SPEX

SPEX made an appearance in yesterday morning’s extended watchlist and had one heck of a solid session. The stock came out of the gate and ran from a low of .99 all the way up to 1.58, offering us the chance to bank up to 60% in profits as it traded more than 13.5X its 3-month average volume.

Disappointment over the delay of some upcoming litigation that Shperix has against VTech and Uniden (View PR) is the apparent cause of the stock’s gapping down in today’s premarket.

Extended Watchlist:
LAKE, BCRX, ANGI, RVP, NNVC, CGA

Blue Horseshoe Stocks: MKHD Recap & More

Mount Knowledge Holdings, Inc. MKHD

MKHD was a stock that we had to tag yesterday after noticing the company’s big announcement on our premarket news scanner that it would be acquiring 100% of cyber-security firm Civenergy, Inc., which did $35M in revenues in 2013.

We were anxious to see how the news would affect this low-float stock, and on 9x the average volume, it traded in a range from .042-.085, an intraday spike equaling 102%

We’re going to leave this play on our watchlist, at least until we receive further updates on the acquisition.

MKHD is also receiving a rare “100% Buy” Rating at BARCHART.COM

Terra Tech Corp. TRTC

Also among our interests from yesterday, and indeed the past couple of sessions, was TRTC. We re-flagged this play on Friday at a low of .25, and have witnessed a solid two-day uptrend since then. After seeing a low of .3060 yesterday, the stock would run into the close, ending the day at its high of .37.

That marked a 21% intraday gain, and an increase of 48% over our observed low on Friday.

dELiA*s, Inc. DLIA

DLIA is appearing this morning as a possible bottom-play. The stock is gapping up this morning, and there seems to be a gap to fill on the chart roughly to the 50DMA of .46. Per a PR out this morning, DLIA is “considering a possible sale, merger or ‘other form of business combination‘”, so this is another one that we want to continue to follow as a potential story plays out.

Extended Watchlist:
CNET, CPRX, WYY, SPEX, NXTD

Blue Horseshoe Stocks: TRTC, RPRX Recaps & MKHD

Mount Knowledge Holdings, Inc. MKHD

MKHD is one that we want to flag this morning after our news scanner picked up an intriguing PR that just hit the wires. Apparently the company has moved to acquire cyber-security firm Civergy, Inc, which apparently generated revenue in excess of $35M last year.

It’s going to be interesting to see how this stock, which is unaccustomed to heavy trading, responds to this significant development.

NEW YORK, NY–(Marketwired – September 29, 2014) – Mount Knowledge Holdings, Inc. (MKHD), a software development and sales company focused on providing innovative technology solutions announced today that it has entered into a definitive agreement to acquire 100% of Civergy, Inc, >>> VIEW PR

Terra Tech Corp. TRTC

Among the cannabis plays that we were watching for a resurgence on Friday was TRTC, which put forth a significantly fruitful session as the stock came out of the gate at .25 and ran up as high as .33 on volume exceeding twice the 3-month average.

That move was good for intraday gains of up to 32% and marked the fourth consecutive day that TRTC registered both higher lows and higher highs. It leaves the stock firmly near the top of our marijuana watchlist which is certain to garner more attention as we approach voting season.

Repros Therapeutics, Inc. RPRX

We also saw a nice pop out of RPRX, which appeared in Friday’s extended watchlist, and would go on to post a solid performance on the day. After trading as low as 9.23, we witnessed a run to 11.18, a bullish move of 21% on just a shade under four times its 3-month average volume.

It’s a good signal that after the recent beatdown of the stock from the $14+ range that we’re seeing a turnaround, so we’ll definitely have RPRX on our radar going forward.

Extended Watchlist:
ECYT, EXEL, ALIM, AMBI, HEB