CBRX-I CHANGED MY MIND

I bought Columbia Labs yesterday at .67
And I changed my mind, I will take a 2% profit and sell. The reason; I thought the stock would bounce today and it has not. It makes me uncomfortable, better safe than sorry.

PENNY STOCK PROFITS

I like to look back on the various ideas I have had for different kinds of portfolios. 

On December 20, I suggested the portfolio below, which is up a whopping 38%. The stocks I chose were based on the prices (pennies) and because they were real companies with real revenues/earnings. As opposed to some other people who promote penny stocks that have one employee and have never made a cent. 

Biofuel would be one of those real companies, they did nearly $500m in sales in the first 3/4 of last year. http://finance.yahoo.com/q/is?s=BIOF

BIOF has gone from .57 to .73 and now would be a good time to sell. (yesterday would have been much better). They will be reporting earnings next week and anything could happen with the stock price.  So considering we are up 28%, it's a sell. We had this stock in our main portfolio, Stock Market Double, and sold yesterday for a 46% profit.

Everything else, we will hold onto.

Notice half the holdings in this portfolio were in my main account, The Stock Market Double Portfolio. I am a big believer in low priced stocks with good fundamentals. They can be a bit volatile, but you have to know this going in and be willing to be patient until the stock price cycle evolves. The difference between the Penny Stock Portfolio and the Stock Market Double Portfolio is that the Penny is a bit more speculative.

   

Penny Stocks

Penny Stocks worth Buying 12/21/2011
1. biof .57 (28% gain)
2. dysl $1.60 (29% gain)
3. acad $1.25 (37% gain)
4. tgc .70 (60% gain)

P.S. I will be adding Ballard Power Systems (BLDP) at $1.56 to the portfolio, replacing BIOF

BIOF GOING HIGHER INTO EARNINGS

I sold my position in BIOF today, bought at .62, sold at .88. Took 46% profit and re-invested into CBRX at .67
Very little downside on CBRX, expect a rise to .90
Could go to $1.10 pretty easily.
.67 is a ridiculous price for CBRX, small biotech that is already profitable.

10 FACTS ABOUT LLOYD BLANKFEIN

In no particular order...


1. He said that Goldman Sachs had no moral or legal obligation to inform its clients it was betting against the products which they were buying from Goldman Sachs. (imagine that?)

2. His father was a clerk with the U.S. Postal Service. 


3. Growing up, he worked at Yankee Stadium as a hot dog vendor.

4. Recently spoke out in favor of same-sex marriage.

5. Was quoted as saying after the financial crisis  “I know I could slit my wrists and people would cheer” 

Doing God's work!!

6. Is Chief Executive Officer at Goldman Sachs


7. Both his sons, Jonathan and Alex work for Goldman


8. While at Harvard, he would procrastinate by watching Star Trek every night before studying.


9. Graduated from Harvard Law School in 1978.


10. Was raised at the Linden Houses in Brooklyn, NY, a public housing project. 


And of course, will always be known for the now infamous quote that he is just a banker "doing god's work" 

Here's a quick update on the STOCKMARKETDOUBLE PORTFOLIO


Start Date: 12/12/2011
Starting balance: $10k
Current Balance : $13,661.60
Portfolio gain: 37% 

37% GAIN IN 10 WEEKS, STILL ON PACE TO DOUBLE THE PORTFOLIO IN LESS THAN ONE YEAR.


Current holdings and price paid:

BIOF, paid .62 (30% gain)
IDCC, paid $37.70 (7% gain)
DYSL, paid $1.88 (20% gain)
MBND, paid $3.20 (12% gain)

INTERDIGITAL, THE PATENTS ARE THE THINGS

You have heard the expression the sum is greater than the parts? With InterDigital, it is the opposite way around, the parts are greater than the sum.

Less than 2 weeks ago, Interdigital's management said they were better off selling the intellectual property of the company in parts rather than to sell the company in it's entirety, all at once. The Street then crushed the stock, almost punishing management for being acutely aware of how to best utilize the resources of the company to enhance shareholder value. Wall Street doesn't like unconventional, if things aren't done their way, they respond by selling and downgrading. Consequently, the stock price went from 44 to 35.

But that was a gift to those who understood that management was doing the right thing, a gift of a probable 40% return if you bought, after the sell off.

Stockmarketdouble suggested a little more than a week ago to get in around $36. We are now above 40 and climbing higher.

Please refer to the articles giving 10.5 good reasons to buy IDCC. You will be amazed how prophetic it is, I certainly am.

TENGASCO READY TO GO 40% Higher

Before I start on today's analysis; I want to address the holier than though attitude of Wall Street traders, financial advisers, etc. regarding low priced stocks. It is hilarious that through one side of their mouth they criticize those who buy penny stocks and then 15 minutes later go out and trade 10,000,000 shares of SIRI or 20,000,000 of Citibank when it was $1.00. It was ok then?

Do you think that a young Warren Buffet would shy away from buying a stock for $1, if it were worth $3?
Did you know that John Templeton of Templeton Funds made his fortune on Wall Street by buying penny stocks in 1939?
Take a look at The Motley Fools, who built their entire reputation on small caps, do you think they would hesitate to buy a little gem that will triple?

Please.... when are we going to get some unbiased advice from financial companies and advisers? What they should say is that...although it is a bit treacherous, if you pick the right low priced stock, it could easily double. Just make sure you buy one that is making profits and will continue to do so.

OK! On to the good stuff. I am really excited about Tengasco (TGC). The stock looks like it could make a 40% move higher in the next month/sooner.  It broke over a dollar today, smashing through 150 day moving average. The  technical indicators are really strong on this one. There was big resistance at $1, stock had been struggling to break through for nearly a year. Volume today was 1200% (1,700,000 shares traded yesterday) over the norm.

And as always, I have done my due diligence and this baby's fundamentals are strong enough to support a 40% move. This stock however doesn't fit all of the criteria to be put into the Stock Market Double Portfolio but I do like it as a short term trade with $1.00 being support and $1.50 being resistance.  I also like the risk/reward probability. Good luck with your trading today!


And before I forget, check out Stock Market Double Portfolio Page. I updated it yesterday. No changes to the holdings but we are blazing along with a gain of 27% since December 12.

RISKS of the STOCK MARKET

When it comes to the market, there is no such thing as risk free investing. If you are not a little concerned before buying a stock, you have not done enough homework. You should make it a rule-that if you haven't found something to be concerned about, you should not buy.

To be a great investor, you must be able to recognize what the risks are. Investing is all about probability. What is the risk/reward quotient?

Here's an example: You own 10 stocks, in each case you bought $10k worth.
                             If 7 of the stocks go up 20% and 3 go down 20% over a one year period
                             Your return on investment is 8%

That is easy to understand right? So the bottom line is that if you want a greater return on your investment than 8%, you better be right 80% of the time.

Before I finish, I want to emphasize that it is important to find at least one thing that could go wrong with a stock before you invest in it. This one rule will save you thousands. Hey! It may even make you a million some day!

THE DANGERS of TRADING STOCK OPTIONS

Everywhere you turn today there seems to be so much information about stock options. Most of it telling you the virtues of investing in options and how you can make a lot of money risking very little. This article will focus on the risk involved and what you need to understand before you invest in options.

Options are a complicated investment. MOST of the time you will lose  ALL of your money. Go ahead google it, you will find that most investors lose all of their money when they trade options.

What you need to know and they ain't telling you:

If you own options, you may not be able to sell it if there is not enough trading volume as it approaches expiration. The result: you lose all your money.

You can own call options and the stock goes higher, that's exactly what you want right? Not necessarily, if it doesn't go high enough, you lose all your money.

You own put options and the stock price goes lower-great right? Not necessarily , if it doesn't go low enough, you again lose all your money.

Here's a another head scratcher (apparently this is not a word). Generally speaking, options that trade enough contracts everyday for you to safely go in and out of are for stocks that have low volatility. The irony is that you need volatility to effectively trade options.

Let us look at what happens when you buy a stock for a second.  Say you invest $10,000, the following may occur:
1. it goes up 5%, you have $10,500
2. it goes down 5%, you have $9,500
3. it stays the same, you have $10,000
4. it goes down 10%, you have $9,000.
5. it goes up 10%, you have $11,000.

With all things being equal, if you were to buy a call option and you reached your expiration date using the example above, you would most likely lose 100% of your money in the first 4 examples. Scary right? But that is how it really works.

TAKING PROFITS AND THE POWER OF COMPOUNDING

Taking profits sounds like an obvious thing to do, but it can be difficult if you are not able to constantly check to see what your investments are doing. If this is the case, it may not be a bad idea to put a sell order in advance.

To  illustrate the importance of taking profits, let's look at what occurred with GEOY stock. In early December GEOY was trading between $18-$19. Let us say you bought it at 19. Between January 3 and February 3 GEOY stock went to $23.20 or higher on 4 separate occasions and each time had pulled back more than 5%. It was pretty obvious that 23 was a good price to sell it. The stock's action was telling you loud and clear that this was the case. If you had done so, you'd be sitting on a nice 21%. A $10k investment would now be  $12,100.

Now listen closely, here's where compounding becomes really interesting and profitable, lets say you re-invested the $12,100 and a stock that you bought went up just 4%, not an unrealistic scenario. You would now have nearly $12,484 and your portfolio would be up nearly 25%.

On the other side of the coin, if you would have held on and did nothing, you would be disappointed to see that on February 15, the stock sold off and went down to $19.38 inter day. If you sold then-which many inexperienced investors do-your portfolio would be worth, $10,200. Think about it... $12,484 or $10,200? What a glaring difference right?!?!? TAKE PROFITS.

Here's a quick update on the STOCKMARKETDOUBLE PORTFOLIO


Start Date: 12/12/2011
Starting balance: $10k
Current Balance : $12,538.60
Portfolio gain: 25% 

25% GAIN IN 9 WEEKS, STILL ON PACE TO DOUBLE THE PORTFOLIO IN LESS THAN ONE YEAR.


Currently holdings and price paid:

BIOF, paid .62 (5% gain)
IDCC, paid $37.70 (4% gain)
DYSL, paid $1.88 (16% gain)
MBND, paid $3.20 (9% gain)

5 1/2 MORE REASONS TO BUY IDCC

If you didn't notice IDCC broke through resistance (38) and closed at $38.95.

Today, I will give you 5 1/2 more reasons I bought IDCC.

6. IDCC owns a large share of the intellectual property used in nearly every smart phone on the market utilizing the 4G/LTE technology.
7. To understand #7, you have to know that Nokia's intellectual property was considered to be less than 1/5 the value of InterDigital's intellectual property and that Nokia sold to a consortium of buyers for $4.5 billion which theoretically makes InterDigital's patent pool worth at least $20 billion.
7a. Using these Nokia type metrics, InterDigital's stock should be selling for more than 10x it's current value.
8. Using the magic formula from Joel Greenblatt, IDCC would land in the top 50 most undervalued stocks that have a market cap of more than $1billion.

9. On January 23, the stock price went from 44 to 35 because the company said that after a strategic review, they concluded that it isn't worth it for them sell the entire company in one shot and that they are better off selling piece by piece or in their case patent by patent. This conclusion really should have resulted in the stock going higher, not lower. I believe the market really misread this one. The result-the stock has bounced from 35 to 39 in less than a month and will no doubt continue to go higher.
10. IDCC has an outstanding business model. Their business model is designed around their capability to be flexible enough to conform to any kind of new technology used in the cell phone business. Think about that, it says a whole lot.

IDCC is one of those special stocks that the more you know about them, the more you will like them. The funny thing is that maybe the best reason to own them right now, which wasn't included in the top 10, is that they are plaintiffs in a boat load of patent infringement cases, each of which could serve as a catalyst to propel the stock higher if they were to be victorious.

ENER DECLARES BANKRUPTCY

Wow! Is there a lesson to be learned here? Energy Conversion Devices, a penny stock had gone from .20 on December 30 to $1.53 on February 13,  a gain of more than 750%. There was frenzy to get into the stock. One day during the run, it traded 18,000,000 shares and the average number of shares traded per day on it's run higher was about 6,000,000 per day. Obviously traders were pouring in here looking to get in on the momentum train, most everyone trading on speculation. And then boom, it goes down 80% in a minute. Now that my friends is gambling.

10 REASONS TO BUY INTERDIGITAL (IDCC)

I added IDCC at 37.70 today. Another low risk/high reward setup. And the reasons are...

1.The stock is 54% off it's 52 week high-this in itself is not "the" reason, but if you take into consideration the other factors involved in the overall thought process, then it is very pertinent.
2. There has been talk of a buyout of IDCC since the summer, The Wall Street Journal in July reported that Google was in talks with InterDigital. Of course this didn't happen, but rumors continue to circulate about various suitors. When the news broke about discussions with Google, the stock nearly doubled and has been pulling back ever since.
3. From a technical standpoint, there is big support around $37.
4. Insiders bought $700,000 on the open market from January 25-30. Not a gigantic amount but worth noting and it's certainly better news than insider selling.
5. Intel, Samsung, Ericsson's AB, HTC Corp., Apple and Microsoft have all taken a look at InterDigital's patents as reported by Bloomberg. Where there is smoke, there is fire.

Tomorrow, I will finish up with the other 5 reasons, but I really like IDCC here.

And because I just have the urge to express myself, a few random thoughts before I finish up:

I live in NY City and this guy Jeremy Lin with the Knicks is a god send.
I just read a report that since Portugal decriminalized all drugs 10 years ago that addiction has been reduced by more than 50%. Are you listening America? 50% dammit.
Yesterday afternoon, some maniac got into a gun battle with cops in the subway station underneath my building and 17 shots were fired. Scary...

Don't be a pig-TAKE PROFITS
Don't fool with options until you are thoroughly schooled on the subject.
NSU looks really good down here.

TRADING LESSON #1

YOU DON'T HAVE TO TRADE EVERYDAY.  Trading is all about opporunity, spotting it and then acting upon it. But there are some days when opportunity doesn't arise. On those days, it is best to sit on your hands and do nothing. You can't create something when it isn't there. No square pegs into round holes, so to speak. Just be prepared when an opportunity does come along.

While I am on the subject, there is one other rule... it is the holy grail of trading. CUT YOUR LOSSES. If you were to just  follow this one rule, you would be an above average trader. When you enter into a good trade, you will feel it almost instantaneously and likewise when you enter a bad trade, you will know.  The hardest thing for novice traders,  for some reason, is admitting they're wrong and moving on to the next trade. Any experienced  trader will tell you to "cut your losses".  Imagine that, if you were to just follow this one rule, you would make money trading.

Warren Buffett

Any investor would love to park money, for the long term, in sustainable growing businesses managed by talented executives. Warren Buffett had discussed moats around business as well as outstanding managers over and over again in his talks as well as in his letters to shareholders. 

According to him, book value is just a historical number and it does not indicate the true value of a business. Book value is what has been put in, intrinsic value is what can be taken out. What really counts is the gain in per-share business value, not book value. Nevertheless, in the case of Berkshire Hathaway, two valuations tracked rather closely, with the growth rate in business value over time somehow matching with the growth rate in business value. For other corporations, in many cases, their book values and their business value were much unrelated. Buffett has pointed out the example of LTV and Baldwin-United reporting the book value amount of $652 million and $397 million respectively just before they went bankrupt. In contrast, Belridge Oil, the famous situation that Charlie Munger mentioned in his talk, got its book value at $177 million, and was acquired by Shell in 1979 for $3.6 billion, 20 times its book value. 

GAMBLING OR INVESTING?

Which are you doing? Let me first say that it is very easy to lose money in the market.

If you are a regular guy with a job, the following DO'S and DONT'S will enable you to make both exceptional returns and also to minimize risk. You have heard these Do's and Dont's over and over before, the reason being that they are tried and true.

DOS
1. Buy undervalued companies. Use research tools like Vectorvest, they give you 3 free reports everyday and tell you what the real value of a company is.
2. Buy good solid companies when they are way over sold.
3. Spread your money around, meaning don't put all your money into just one stock.
4. Have a long term outlook.
5. Pick a company with growing revenues and earnings

DONTS
1. Don't buy on margin
2. Don't day trade.
3. Don't buy a stock without doing the research
4. Don't buy stocks that are illiquid (trade a small number of shares)

A simple fact about trading, you can make a lot of money doing it, but you need to devote ALL of your time to it. Trading is a fulltime job.

Ask yourself, "Do I have time to sit in front of the computer Monday-Friday from 9-5?" If the answer is no, then don't do it. You will lose money. Just think about it, traders who spend all day in front of their computers still lose money on 50% of their trades. So, how are you going to be able to trade successfully and not be in front of the computer from 9-5 everyday?

Ask ANY successful trader if they can make money trading and not be completely absorbed by what they are doing. I assure you, not one will tell you they can trade and not give their full attention to the market.

INTERDIGITAL is a BUYING OPPORTUNITY

Just some random thoughts on opportunities to make money:
IDCC at less than 37.
DMND call options. stock price has gone from 90 to 23.
ACAD Pharmaceuticals ( a lot of potential moneymakers in the pipeline)

I KNOW NOTHING ABOUT BLOGGING

I have come to the quick realization that I know nothing about blogs. But I do know a great deal about picking stocks that go higher. One of the hardest things I have found about blogging is that it hasn't been that easy for me to get my message across.

Like... I want to be able to tell you on a regular basis what my holdings are, what I paid for them and how much money those positions have gained or lost since I picked them. So starting today, I will try to keep it as simple as I can for myself, so that you can easily understand what the heck I'm talking about.

Like... I want to scream from the rooftops that the stock account is up about 25% in 2 months and that the options account is up 40% in 49 days.

Like...I want to tell people, the reason I started the blog was to record my attempt at a double in less than one year.

It's the graphics and charts that are making me crazy. The mechanics of navigating through a blog template have been mind numbing to me.  To give you an example, sometimes I will painstakingly make a nice chart to illustrate all of the things I have talked about, gains, positions, return on investment, etc, etc. (it can take me a couple of hours to do this).  And after I finish the draft-it looks beautiful. But the next thing you know, when I go to publish it, the chart shows  up in 4 different pieces on 4 different parts of the page and you can't make heads or tails out of it.

So bear with me for a while until I learn better programming skills. Until then, here is a rudimentary simple presentation on what has happened so far and what Stockmarketdouble has accomplished.


STOCK MARKET DOUBLE OPTIONS PORTFOLIO UPDATE

Currently holdings and price paid:


TASR June $5 calls, paid .30 (50% gain)
CHD July $45 calls, paid $3.80 (8% gain)
UBNT June $20 puts, paid $1.80 (10% loss)
CHTR June $60 puts, paid $8.00 (even)
cash $330 

Start Date: 12/20/2011
Starting balance: $10k
Current Balance : $14,017.60
Portfolio gain: 40% 

NET INCOME DOUBLES YEAR OVER YEAR

MAKING MONEY

A couple of days ago, I wrote about 5 things that convinced to me to buy MBND. Today, I will give you 5 more. The most important thing to know is; these guys are making money hand over fist.

I write these "reasons for buying" to teach my readers why they should or should not buy a stock, but, also to remind myself of the same thing. I like to make decisions that minimizes speculation and gives me the best odds of succeeding. Speculation is a part of picking stocks, it is unavoidable. Nothing is a sure thing.

If you haven't have found a reason to make you think twice about buying a stock, then you haven't done enough research.

So to continue where I left off a couple of days ago;

I bought MBND because:

6. they allowed a letter of intent to acquire the part of WPCS International that it doesn't already own to expire last week. Had they followed through on it, they would have been spending almost twice what WPCS is worth.

7. MBND has a high earning yield and a high return on invested capital.

8. Revenue has increased 23% year over year.

9. Return on equity also increased year over year, which says alot in economic times like these, It is a    true sign of strength going forward.

10. Net income has more than doubled in the last year.

STOCK MARKET DOUBLE OUTPACING TIM SYKES

Tim in 2012-                    7% gain

Stockmarket Double       10%gain

A MONKEY CAN OUT PERFORM WALL STREET

MONKEY SEE MONKEY DO ON WALL STREET





It's relatively easy to out perform most money managers on Wall Street. Lets face it most of these guys are no geniuses, they just happened to be in the right fraternity and drank a lot of beers in college with the guys they currently work with and are happier than a pig in shit to be working where they are. There are very few guys who stand out above the crowd. In many respects, it is like a heard of monkeys. Rest assured there are very few-who are capable of revolutionizing the world of investing. One of the reasons for this is that they have no motivation to do so. "Why rock the establishment?"

It is so easy to beat Wall Street that it is laughable.
One proven method that will take you about 15 minutes a year to do is to buy the lowest priced stocks rated 10 on MSN Money with decent liquidity and hold them for a year.
The second is accomplished by going to thestreet.com and pick the stocks rated A plus and hold till they get to a B minus. You may be holding them a damn long time and but at the same time crushing the experts on Wall Street.


AND FINALLY DON'T FORGET THE ORIGINAL PURPOSE OF THE BLOG:

STOCK  MARKET DOUBLE PORTFOLIO                                 



                 Up 25%  in 57 days!
                             

 Stock Market Double 25% gain
 vs Dow Jones         7% gain                                                           

                 
           Start Date: 12/20/2011
           Starting balance: $10k
           Current Balance : $12,515.03
           Gain: 25%

           updated 2/7/12

A WINNER FROM MAGIC FORMULA INVESTING

Multiband Corporation (MBND) is a provider of DIRECTTV, with local and long distance telephone service and on high speed internet services to residential customers.

At these levels, Multiband stock is very undervalued. Here are the reasons I bought MBND about 4 days ago at $3.20. (all of my holdings are on my stock Market Double Portfolio Page)

1.MBND is on Joel Breenblatt's Magic Formula Investing List. Joel Greenblatt is the author of the best selling book "The Little Book that Beats the Market". Magic Formula Investing earned over a 30% return annually over a 17 year period.
2. MBND has a pe of 3.25
3. 4 years ago they had revenue of approximately $43,000,000, last year their revenue was in the $300,000,000 ballpark, a jump of over 600% and they contimue to grow year over year.
4. When I when I bought it at $3.20, it was more than 50% off of it's 52 week high of $6.72.
5. All 3 analysts covering the stock have a buy or a strong buy on the stock.


Well, those are five good reasons to start, I will be adding more tomorrow.
I really like this stock; for more than the resons I have listed today. I think there is a huge upside.


AND FINALLY DONT FORGET THE ORIGINAL PURPOSE OF THE BLOG:
Low Risk Options Portfolio                                 



                 Up 15%  in 46 days!
                             

 Low Risk Options 15% gain
 vs Dow Jones         7% gain                                                           

                 
           Start Date: 12/20/2011
           Starting balance: $10k
           Current Balance : $11,515.03
           Gain: 15%
           updated 2/5/12

STOCK DIVERSIFICATION

DIVERSIFICATION

Why should we diversify our holdings? Because if all of your money is in one place, you could lose it overnight. Remember Enron? Many of the people who worked there had their life savings invested in Enron stock. Imagine saving $200,000.00 after 30 years of devotedly depositing into your 401k at Enron and then poof-all the money is gone, zero, nada, nothing. Another good example of this is what happened to the CPI Corporation (CPY) on Friday. After the market closed, they announced that they had gotten a de-lising notification from NASDAQ. The stock was down more than 20% in a matter of minutes,  not much you can do as a stock holder in that situation, you couldn't even sell it because the market was already closed. The only protection you have is to diversify and not have all your money in one place or holding. Please don't do this unless you are fully aware of what the risk is.

Another lesson, to be learned from this example is; sometimes it just better to sell and move on. This would be that kind of situation. Many times when a company gets de-listed; institutions will sell on the news and ask questions later, driving the price way down. Now this doesn't happen all the time, only most of the time. The likelihood is that the price will continue to go down and stay down for a while. Always better to be safe than sorry in the market. Sell CPY on Monday, that is what I am going to do.

Let me just add that something smelled fishy last week when the stock had a big run up for no reason, you think other shareholders knew something that we didn't?

REASONS TO BUY A STOCK

                                     Stock Market Double Portfolio

Up 31% in 52 days!


Stock Market Double 31% gain
vs. Dow Jones           7% gain



Start Date: 12/12/2011
Starting balance: $10k
Current Balance : $12,183.32 (interday 2/3/12)
Gain: 31%
re-balanced so that each holding started at $2978


                                                    Current Holdings

Symbol	Last Trade	Shrs	Holdings Value	Average Price Paid	Gain/Loss
BIOF	.62	4804	$3,218.68	.67	$240.20	8.00%
CPY	1.34	1873	$2,978.08	1.59	$0	0%
DYSL	2.29	1584	$3,647.88	1.88	$696.80	23.40%
MBND	3.65	931	$3,258.50	3.20	$280.42	9.37%
$$CASH		0	-	-
Total			$13103.14		$1217.42	10.19%
SPY						1.97%

Portfolio Commentary:
Portfolio is ripping. Market is really strong but the Stockmarketdouble Portfolio is 5x stronger.

To picked where I left off last night on Dynasil Corporation of America, which is up 23% btw, and the reasons I bought it.
6. They were recently awarded government contracts for $3.65m from the Department of Homeland Security’s Domestic Nuclear Detection Office (DNDO). $3.65m is about 9% of it's annual gross.
7. They continue to grow revenues, even in this environment. It's important to grasp the importance of increasing revenue during these past few years. Most corporations today have decreasing revenues and are cutting staff to bare bone so they may continue to be profitable or not profitable at all.
8. They are ready to put nuclear detection equipment on the market (commercialize). This will mean a big boost to profits and earnings.

So, there you go, 8 good reasons to by DYSL, which has been flattened by Wall Street but not for much longer. This thing will pop, company's with these kind of characteristics almost always jump significantly higher.

WHY I BOUGHT THIS STOCK

INTERESTING TIME PERIOD

Three days ago, I bought Dynasil Corporation of America. It has moved quickly and is up 24%. The reasons I bought DYSL are:

1. It was down about 70% from it's 52 week high.
2. It recently had moved up in price from $1.60 to $2.40, a 50% move and had pulled back to $1.80, this had buying opportunity written all over it.
3. Although the stock was trading below $2 before today, the company itself has a nice viable business with a pe of 28. I love the little guys, who have earnings.
4. There are whispers that Dynasil is a buy out candidate because of it's discounted price and diversity of it's business.
5. On Valuation alone, it was dirt cheap, price to sales of .64 and price to book of $1.26. These ratios are at the current price. When I bought it, the ratios were even less.

I will list some more tomorrow. It's almost midnight here in NY and I am tired. Hope you all have a good evening.

LOW RISK OPTIONS

                                                   Low Risk Options Portfolio                                 



                 Up 15%  in 46 days!
                             

 Low Risk Options 19% gain
 vs Dow Jones         6% gain                                                           

                 
           Start Date: 12/20/2011
           Starting balance: $10k
           Current Balance : $11,515.03
           Gain: 15%
           updated 2/5/12
               
                current holdings                                           

Option	Last Trade	Contracts	Holdings Value	Average Price Paid	Gain/Loss
CHD July $45 calls	3.10	8	$2480.03	3.80	($559.97)	(18.42)%
TASR June $5 calls	.45	106	$4770.00	.30	1590.00 $	50.00%
UBNT June $20 puts	1.75	15	$2625.00	2.00	(375.00)	(12.5)%
CHTR	4.10	4	$1640.00	8.00	( $1,560.00)	(48.75%)
$$CASH		0	330.00
Total			$11,515.03		$1,467.12	40.39%
S&P