Saturday, April 10, 2010

Stock Scans

I am regularly asked to take a look at charts for people. Normally, I keep my responses limited to private messages. I decided that it is time to bring some of it to the public. My latest responses to a member's stock scan can be viewed at: http://pincherplays.com/forums/viewtopic.php?f=7&t=143

Friday, April 2, 2010

New Leaf Brands, Inc: A Few Minutes with CEO, Eric Skae

A few days ago, New Leaf Brands, Inc. (OTCBB: NLEF) reached another milestone by signing on their 100th distributor. I spoke with Eric Skae, the CEO and founder of New Leaf, on Tuesday evening about the rapid growth of his company and would like to share portions of our conversation with all of you. Those of you that follow me know that I don’t pull a lot of punches when it comes to asking questions that need to be answered when researching a company trading on the “Over the Counter Bulletin Boards” (OTCBB). Mr. Skae is one of those Chief Executive Officers that I genuinely enjoyed the conversation.
I was interested in Mr. Skae’s background and his leadership ability as CEO of the company. What I found out is that he has almost 20 years in the beverage industry including working for beverage beasts such as Arizona and Hansen (NASDAQ: HANS). During his time at Hansen, Eric was responsible for the “Energy” brand while he was serving as Vice President of national accounts, which soon became the “Monster” brand drink explosion that became a household name right after his departure. He was responsible in part for laying the pavement for the road to success of “Monster.” Starting slow at first to build the foundation for New Lear Brands, Inc., he has now been working full-time on New Leaf Brands for the last two and a half years. Mr. Skae is more than experienced at how to “put the bottles on the shelf” (his words, not mine) and run the team and the company surrounding the actions.
So, just what has he done to “put the bottles on the shelf?” With their products now being dubbed “The Official Beverage of Taste”, the growth of the New Leaf distribution chain is rapidly expanding. Their products are now found in over 8,000 locations including restaurants, delis, health food stores and pizzerias. They are nationwide with United Dairy Farmers (UDF) stores and now found in 33 different Traxx stores as well. As mentioned in the opening paragraph of this article, New Leaf has 100 different distributors moving their brand at this point. This is quite the accomplishment in a short period of time. The New Leaf brand is not just teas anymore either. Recently, they announced the release of their lemonade line of beverages to compliment their tea line. All of the New Leaf beverages are sweetened with 100% pure cane sugar and available in 14 different flavors. They also have patented their own high-visibility shelving units to display their drinks and have negotiated “prime” locations within customer’s sales floors. Details of the growth are seen in numbers such as with Manhattan Beer, the largest beverage distributor in the New York City metropolitan area. Starting at the bottom of the list with regards to volume of sales for Manhattan, New Leaf has already climbed to #8 on the distribution giant’s list. Let’s not forget the competition on that list. Manhattan distributes beer items, such as Coors, Labatts and Corona on that list along with many brands of single serve beverages like New Leaf and other wine, cider and water products. New Leaf has recently signed top-notch salesman, Tim Brown, who has 32 years experience in national accounts for beverage giant, Hudepohl-Schoenling/Tradewinds. Mr. Skae, when referencing Mr. Brown’s experience in the industry is quoted as saying “He is the most connected guy in the business. There isn’t anyone who knows more people than Tim.”
Also discussed were the nuts and bolts of shares of the company. Mr. Skae confirmed the share structure as being 66 million shares issued and outstanding with 19 million shares in the float. The numbers are rounded off for literary sake, but accurate. Yes, there were shares added last year, but with good cause. Unlike many OTC companies that do not use the monies generated from dilution in a positive manner, the balance sheets and corporate structure were “cleaned up” as debt was eliminated and existing warrants are now gone. The share structure is still in good shape for a company with the potential revenues that New Leaf has, in my opinion. Are more shares going to be issued? It is a definite possibility. The one thing that I enjoyed about my conversation with Eric was his sincerity and candor. I have spoken with countless CEO’s and investor relations personnel in my life and I have heard the “song and dance” about how it dilution won’t happen, but Mr. Skae was quite “matter-of-a-fact” about dealing with the question. Even with revenues coming in, New Leaf is growing at a rapid pace and not looking to slow down. The momentum of this growth requires capital and it may have to be obtained through share issuance. What I do like is that even with everything that has been done over the few years of the New Leaf existence as a beverage company; the share structure has not been decimated. I do not get the feeling that it ever will as Mr. Skae seems to hold shareholder value as a true high priority as he has proven with the manner in which he has issued shares in the past.
To sum up my conversation in one word: “impressive.” I mean this from every aspect. New Leaf Brands is heading the right direction with a strong management team guiding the reigns. When researching companies such as this, I look for a few things:
• Leadership and experience
• Product and the public’s desire for said product
• Sales management and team
• Share structure and planning for handling it for the future
My conclusion is that New Leaf Brands, Inc. is a company that is worthy of continued research and a good hard look as an investment. I invite all of you to join me at OTC Showcase as we continue to dig deeper into this little gem of a company.
Disclaimer: At the time of penning this article, I own no shares of NLEF and have received no compensation for any of the information provided. All opinions expressed are purely my own. This article has been reviewed for accuracy by New Leaf Brands, Inc. prior to publication.

Sunday, March 28, 2010

Cellceutix CFO, Leo Ehrlich, on KM-391

Leo Ehrlich comments on Cellceutix Corporation's breakthroughs with their ground-breaking compound KM-391 for the treatment of autism.

Microcap Pipe Dreams or Previews in Reality?

Microcap Pipe Dreams or Previews in Reality?
Today’s investment world is clad with people of all different styles, but they all have one thing in common; a desire for profits. It doesn’t matter if you are a seasoned, multi-millionaire day trading shares of Berkshire Hathaway or the newest investor looking to start with five hundred dollars, the individuals do not enter into this aspect of finance with the goal of losing money. One of the most common phrases asked of anyone who makes any mention of being involved in the stock market is known globally and it goes a little something like this: “Got any hot tips?” The big boys of the macro cap markets and blue chip companies tend to keep a very tight lip for obvious reasons with miniscule amounts of information shared with everyday citizens. So where do many people look to find the next big thing? Many look to the microcap world to discover the “diamond in the rough”, the “hidden gem” or “the next Microsoft.” You can take your pick of any number of phrased given to describe a small, developmental company that is sliding under everyone’s radar while making big strides in their chosen industry. In the world of Over The Counter Bulletin Board (OTCBB) stocks, there is much speculation and rumors that are passed daily through one “hot tip” after another, so finding the companies worthy of your attention is indeed a challenge. Which companies are truly previews in reality as they research, develop and market their products and not just the vision of a dreamer?
Well, I have to believe that a person must start with some basic facts to increase their odds of success. I tell people to think about what they would look for if they were starting a company of their own. Would they want to enter into an industry with billions of dollars available for revenue potential? How about management? They must also consider their product. Is it unique, but something the majority of the world would desire? In order for a company to be strong and have a serious shot at longevity and growth potential, these are a few of the important factors that must be accounted for. When you find a company that answers these questions with solid answers, you have quite possibly gotten a glimpse of a preview in reality.
Cellceutix Corporation (OTCBB: CTIX), a developmental biotechnology company based in Beverly, MA is a company that has answered the required questions and passed all initial tests with flying colors. For management, Cellceutix was co-founded by a 26-year veteran of Pfizer, Inc., Mr. George Evans. Mr. Evans was General Counsel of Pfizer's worldwide prescription drug unit (accounting for about 96% of Pfizer’s revenues) and integral in the development and marketing of many of Pfizer’s pharmaceutical products before leaving to start Cellceutix with Dr. Krishna Menon. Dr. Menon’s list of biotechnology accolades throughout his almost 40 years in the field of research is impressive, to say the least, including being a President’s Recognition Award recipient while at Eli Lilly. With an extensive background in oncology research, Dr. Menon has been a lead researcher in several drugs that have gone on to produce billions of dollars in revenues for their respective companies.
As far as products, Cellceutix owns the rights to 8 different compounds that they are developing to treat a variety of major diseases in their own, innovative manners. Their flagship product, Kevetrin, has been shown with animal subjects to be effective in the treatment of cancer in subjects that have proven to be resistant to standard, proven cancer treatments on the market today. Cellceutix has already completed its pre-IND meeting with the FDA and is in the process of filing an IND for Phase I studies for Kevetrin. Tomorrow, per the Cellceutix website (www.cellceutix.com), a press release will be issued detailing the successes that they are having with another major compound in their pipeline, KM-391 in the treatment of autism. KM-391 is completely unique in that it merely doesn’t treat the behavior that results from autism; it is being developed to treat the disease at its root core.
The final piece of any successful company is responsible finances. Mr. Leo Ehrlich, CPA, handles this aspect of the business for Cellceutix. With a BBA from Bernard Baruch College of the City University of New York and over 25 years experience at a variety of upper-level management positions with several companies, Mr. Ehrlich has been with Cellceutix since its inception and more than adequately fills this crucial position.
Based on the requirements for getting a glimpse of reality, rather than a microcap pipe dream, Cellceutix is certainly a company worth keeping an eye and as this company is flying under the radar, but stands a great chance and making a large impact on a multi-billion dollar industry.
From a technical standpoint, CTIX still trades at a very low average daily volume. This is not without cause, however. Cellceutix is very “low key” about publicity for starters. The CTIX share structure does not have a very large float with only approximately 40 million free-trading shares out of the 92 million currently issued and outstanding. The float is held almost exclusively by a tight group of investors that are very optimistic of the future of Cellceutix (per Mr. Ehrlich). CTIX has been in a channel closing between .30 and .50 on low volume for about 5 months at this point, but I would suspect it may be seeing some more trading as their products keep working their way through the pipeline.

Cellceutix Corporation: Breaking Down the Autism Barrier

Cellceutix Corporation: Breaking Down the Autism Barrier
“Autism”. The mere word is scary to most every parent. There are no known drugs for the treatment of autism. In fact, there are few, if any, products on the market that attempt to stop autism or counter-effect what is happening in the brain of the person with the disease. Autism spectrum disorders have a wide array of behaviors that result from it and the drugs that are prescribed are meant to deal with those symptoms, not the disease itself. Specific examples of the symptoms can include, but are not limited to:
• Bi-polar disorders
• Anxiety (or depression)
• Obsessive-compulsive disorder
• Hyperactivity
• Attention deficit
• Behavioral issues
• Seizures
There are many drugs that treat these symptoms including Prozac, Wellbutrin, Ritalin, haloperidol and Risperdone, which is still relatively new and without long-term studies being concluded for side effects. Regardless of which symptom these pharmaceuticals treat, they all have one thing in common; they only treat the symptom, not the underlying cause.
On Monday, March 29, 2010, you will be able to read about a company that is attempting to solve this long-time problem. Cellceutix Corporation is seeing positive results in the studies of their compound KM-391 that will be issued in a press release on that day.
To quote the Cellceutix website: “Preliminary testing of KM-391 in mice revealed that the test animals showed a significant increase in serotonin uptake compared to controls, with no apparent side-effects in the long-term administration of KM 391 in mice. The equalization of serotonin uptake is considered by many researchers as an important development in the treatment of autism spectrum disorders.”
The Cellceutix research team, headed by Chief Scientific Officer, Dr. Krishna Menon, has seen their small molecule have a direct impact on neonatal serotonin depletion and the plasticity of the brain in Wistar rat pups used in their experiments. Using three groups in their studies, the team replicated some of the leading features observed in autism in the rat pups at birth and then proceeded to conduct the studies on those features with treatment of KM-391. The results have been extremely positive. Cellceutix Corporation will be continuing to move forward with patents and eventual clinical testing of this possible solution to the root causes of autism.
Cellceutix Corporation, based in Waverly MA, is a publicly traded, developmental biotechnology company on the OTC Bulletin Board trading under the ticker CTIX. Cellceutix was co-founded in 2007 by a 26-year veteran of Pfizer, Inc., Mr. George Evans. Mr. Evans was General Counsel of Pfizer's worldwide prescription drug unit and integral in the development and marketing of many of Pfizer’s pharmaceutical products before leaving to start Cellceutix with Dr. Krishna Menon. Dr. Menon’s list of biotechnology accolades throughout his almost 40 years in the field of research is impressive, to say the least, including being a President’s Recognition Award recipient while at Eli Lilly. With an extensive background in oncology research, Dr. Menon has been a lead researcher in several drugs that have gone on to produce billions of dollars in revenues for their respective companies.
Cellceutix owns the rights to 8 different compounds that they are developing to treat a variety of major diseases in their own, innovative manners. Their flagship product, Kevetrin, has been shown with animal subjects to be effective in the treatment of cancer in subjects that have proven to be resistant to standard, proven cancer treatments on the market today. Cellceutix is in the process of aligning Phase I studies and patenting processes for Kevetrin.

Tuesday, March 23, 2010

Consorteum Holdings, Inc (OTCBB: CSRH)

QualityStocks.net has asked me to do some videos for them. I am proud to work with a website of their caliber. My annotated video chart on CSRH: http://www.youtube.com/user/QualityStocks

Wednesday, March 17, 2010

CPF - Central Pacific Financial - Another Winner!

At OTC Showcase, we work with pincherplays.com on their forums to make trades daily. CPF was another solid winner yesterday for us and it is still moving up nicely today after busting through resistance yesterday.

You can also view this video in High Def on YouTube here. Join us at PincherPlays and OTC Showcase to start reaping gains daily just like us!!