Small cap clean tech stocks Cleantech Transit (OTC: CLNO)
, US Energy Initiatives Corporation (PINK: USEI)
and Hi Score Corp. (PINK: HSCO)
have been getting onto investors radar and trading screens thanks to mentions in various investment newsletters. Of course, that’s both a good and a bad thing as some of the mentions have come because of paid promotions that may not be disclosing everything that investors need to know about these three stocks. So should you beleive any of the hype surrounding small cap clean tech stocks Cleantech Transit (CLNO), US Energy Initiatives Corporation (USEI) & Hi Score Corp. (HSCO)? Here is a quick reality check: Cleantech Transit (OTC: CLNO) is Keeping Its PR People Busy
Cleantech Transit is focused on building a portfolio of environmentally friendly green assets. According to various disclosures, transactions of $5k, $15k and $275k have occurred to promote Cleantech Transit in various investment newsletters. Nevertheless and on Friday, Cleantech Transit sank 27.79% to $0.086 (CLNO has a 52 week trading range of $0.03 to $0.29 a share) for a market cap of $9.45 million plus the stock is down 10.4% since the start of the year, down 52.2% over the past year and down 82.8% since late 2010. It should be noted that last week, Cleantech Transit was also flooding the PR channels with press releases - including one about a Letter of Interest from a United Nations agency in regards to the development, implementation and operation of 47 biomass power plants. As someone who receives plenty of email from people who say they work for United Nations agencies, banks in Nigeria, governments in Africa etc. I have reason to skeptical but the flurry of press releases and promotions did generate high trading volume for Cleantech Transit last week. On the other hand, my skepticism increases knowing that Cleantech Transit has no revenues for the last three fiscal years; net losses of $838k (fiscal 2010), $148k (fiscal 2011) and $27k (fiscal 2009); and had $11k in cash to cover $290k in current liabilities at the end of January. US Energy Initiatives Corporation (PINK: USEI) Is Back….
US Energy Initiatives Corporation has two separate energy initiatives: One in the automotive sector and one in the oil, gas & technology sector. Specifically, US Energy Initiatives Corporation makes automotive technologies; manufactures and markets green retrofit systems; and markets Singular 96™ fuel – an enhanced energy feedstock that is blended with methanol and gasoline. It should be mentioned that US Energy Initiatives Corporation has recently appeared in a number of investment newsletters BUT it appears no promotion money has been paid (or at least none has been disclosed). Nevertheless and on Friday, US Energy Initiatives Corporation rose 28.57% to $0.045 (USEI has a 52 week trading range of up to $0.05 a share) for a market cap of $12.65 million plus Google Finance has the stock up 11,150% since the start of the year – which may not be correct! US Energy Initiatives Corporation has also been busy issuing press releases after announcing back in May that it was “revitalized, with new management and a new direction.” However and given that the latest financial filings for US Energy Initiatives Corporation date from 2007 on major financial sites (Yahoo! Finance and Google Finance), USEI has been away for a LONG TIME. Hi Score Corp. (PINK: HSCO) Has a Six Figure Deal But…
Hi Score Corp. is the parent company for Green LED Technology Inc. as well as the owner of the EcoGreenBulb Line of Compact Fluorescent Lamps and the REPCO Line of Traditional Lighting. According to various disclosures, there have been transactions of $7.5, $25k and $40k to promote Hi Score Corp. On Friday, Hi Score Corp. rose 3.2% to $0.0129 (HSCO has a 52 week trading range of up to $1.60 a share) for a market cap of under $50k plus the stock is down 87.1% since the start of the year and down 97.8% over the past year. Hi Score Corp.’s PR people have also been getting busy lately with the latest announcement being about a six figure deal for energy efficient lighting. However and given that the latest financial filings for Hi Score Corp. on major financial sites (Yahoo! Finance and Google Finance) date from 2003, its really hard to know whether a six deal means anything…
The Bottom Line
. I would give small cap clean tech stocks Cleantech Transit (CLNO), US Energy Initiatives Corporation (USEI) and Hi Score Corp. (HSCO) all a past but perhaps a thrill seeking trader can find some value in one.