Tuesday, December 10, 2013

2 Stocks to jump at least 25 - 30% before Christmas !!! $MEIL and $HRT

Congrats to those who got in $CRDS at 1.90 on my alert yesterday! You would have made 25% if you bought it in the pre-market and sold it during regular hours at $2.40!!!

Here are my new picks...

Pick # 1 - MEIL - Methes Energies International Ltd., through its subsidiaries, designs and installs biodiesel processing systems under the Denami 600 and Denami 3000 brands. It also produces and distributes biodiesel in North America. Methes Energies is developing cutting-edge biodiesel processors, pre-treatment systems, as well as other solutions that address real and specific biodiesel production challenges. While the North American demand for biodiesel is sizeable, we are positioned for a global expansion with a focus on Europe, South America, Africa and Asia, where the need for biodiesel is increasing. At Methes Energies, our focus is to become the leading developer, marketer, manufacturer and service provider of compact continuous flow biodiesel processors, processor systems, training, maintenance and related biodiesel services.

Click here to view their facility 

 Why Buy Now? 

Global Demand: The global biofuels market is currently valued at around $90 billion. [2] High crude oil prices, government mandates on the use of biofuels due to increased focus on reducing carbon emissions as well as improving energy security, and technology advancements driving cost reductions are some of the key factors driving the rapid growth in the biofuels market..click here for more information on demand for Biodiesel markets.

MEIL is a thinly traded small cap stock with 4.9 million shares in float. It's 3 month average volume is 6,800 shares but today it traded about 15 times of its average volume on the news that it signed Letter of Intent to acquire the assets of OTC Energy Technologies Inc. Click here

Here is what both CEOs had to say about this transaction

John Loewen, Vice President of Operations at Methes Energies said, "We are first and foremost a technology company, and we are proud to be adding to our portfolio this way. We are excited about the opportunity to offer a smaller solution to people that don't have the $100's of millions typically associated which such projects. What we've seen at their small scale facility is truly amazing, and our goal is to quickly package and deploy turn-key solutions similar to our biodiesel processors. We look forward to the completion of this transaction which we expect will bring substantial revenues and in turn create significant value for our shareholders."

Paul Goodrow, President of OTC Energy Technologies Inc. continued, "What attracted us to Methes was their proven ability to turn innovative process designs into working, efficient production plants. We believe that the OTC technology has the potential to be a low cost producer of renewable and alternative fuels. And we believe that smaller, modular plants and low costs are not mutually exclusive. We anticipate that our hydrocarbon fuels will be cost competitive with, and will prove to be an acceptable replacement for crude oil derived transportation fuels. We look forward to working with Methes to rollout what we think will be a game changing business model."

This news was overlooked by many players today and as usual I got lucky to get in the trade ahead of the crowd. Stock was sold out for various reasons in the past and it formed a nice base between $2.50 and $3 in the last couple months. It tried to breach $3 level today but failed. I think once it gets more
exposed to trader community it will not stay at these levels for long. Today's news is a game changer for MEIL and I think it has potential to hit $6 -$7 next year (post acquisition) and in short term it has potential to hit $3.50 - $4.

Read Wall Street CheatSheet article about MEIL

I am long MEIL around 2.40 and might accumulate more if it drops.

Pick # 2 - HRT: Arrhythmia Research Technology Inc engages in the development and distribution of signal-averaged electrocardiographic software under the Predictor brand name. Its Predictor software is used in research and clinical environments to diagnose the risk of certain heart arrhythmias.

 For more information please check their websites:
http://www.micronproducts.com (subsidiary of HRT)

This is another thinly traded small cap stock with 2.1 million shares in float. It has been on my watch for long time and I traded it between 2.50 and 3.50 at several points where it hit 52 week high. It just touched its 52 week high on relatively high volume compared to its 3 month average volume and has very high chances of breaking out here and hitting $5 in short period.

HRT 3rd Quarter results were so-so but the upbeat in CEO confidence is what attracted me more towards this stock.

Salvatore Emma, Jr., the Company's President and CEO, commented, "The Company has a significant opportunity for revenue growth from sales of orthopedic implant components. Shipments of these components increased dramatically in the third quarter, and further increases are expected in the fourth quarter and into 2014. The Company will continue to dedicate its financial resources to increase its production capabilities while targeting new leads in this multi-billion dollar market. The market for orthopedic implants is growing rapidly worldwide and the company has unique expertise in quick-turn patient specific implant components. 

"During the third quarter, the Company also realized increases in its custom injection molding business. These increases are due to strong demand in medical, defense, and automotive markets. Plastic injection molded products sales have increased with the launch of new customer programs in the second half of the year. The Company also expects to see growth in the fourth quarter of 2013 and into 2014. The company has also started to manufacture and ship components used by law enforcement and military which hold excellent potential for growth in the less-than-lethal ammunition market.

"The Company is working on opportunities to regain market share in sensor products. Significant improvements in process, quality, service, and product performance have started to yield positive results. Increases in sensor volume are expected in the fourth quarter and into 2014 due to a steady increase in global demand as well as new programs with existing customers. The Company will continue its investments in research and development of new sensor technology."

I am long HRT with PT of $5- $6 very soon and $8 - $10 next year!

 A general Caution and Advise - As I always advise in my posts, Do not chase stocks. please keep in mind that I am not a Stock Market Analyst or an Investment Adviser to count on my recommendations/alerts. As always please do your DD before investing or speculating, start with a small position, always keep your stop losses in place and emotions out. If you are profiting from a trade then always ring the register. Finally thank me for your profits but do not blame me for your losses because you are the one who pulled the trigger!!!

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Who is Mr.Incredible?

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Mr.Incredible is a Momentum/Technical Breakout player who trades small/micro cap plays and who saw a 600% Growth since 2006, Yes even in this down market. I am going to post my real trades (including profits/losses) soon...As a general caution and advice Please start with a small position and always keep your stop losses in place just in case....As usual Do your DD before investing. Thank me for your profits and don't blame me for your losses because you are the one who pulled the trigger!!!