Small cap tech stocks TechnoConcepts, Inc (OTCMKTS: TCPS), Unisource Corporation (OTCMKTS: USRC) and Strategic Global Investments, Inc (OTCMKTS: STBV) have been getting some attention lately in various investment newsletters thanks to promotions. Of course, there is nothing wrong with properly disclosed promotions, but they can backfire on the unwary as its really up to investors or traders alike to do their own due diligence before investing or trading. With that in mind, here is a quick reality check about three small cap tech stocks getting a bit of attention lately:
TechnoConcepts, Inc (OTCMKTS: TCPS) Has the Yield Sign Replaced on Its OTC Page
Small cap TechnoConcepts is a wireless technology company currently holding patents and other intellectual property. On Friday, TechnoConcepts fell 0.45% to $15.58 for a market cap of $415.28 million plus TCPC is up 1.1% over the past year and up 6% since April 2012 according to Google Finance.
What’s the Catch With TechnoConcepts, Inc? According to various disclosures, transactions of $3k, $10k and $15k have or will occur to mention TechnoConcepts in various investment newsletters. Last Wednesday, TechnoConcepts provided an update where it noted that the company was recently upgraded from the Yield Sign on OTCMarkets to Current Information after “following through” on its plan to provide complete disclosure to all shareholders. However, the most recent financials posted on Google Finance reveal no revenues, no cash and $2.21M in current liabilities along with $1.01M in long-term debt. Otherwise, the update noted that several debtors and preferred stockholders of the company had recognized last year that TCPS’s proprietary technology (including True Software Radio™ and Lycon™ chip), were once again “commercially viable” when the FCC agreed with President Obama's directive to the Commerce Department to create a "shared-use spectrum superhighway" in the 500 to 1000 MHz spectrum. Hence, TechnoConcepts will continue to develop its technology and find an appropriate licensing partner.
Unisource Corporation (OTCMKTS: USRC) Announces a New Deal and Comments on Its Financials
Small cap Unisource Corporation is a holding enterprise whose strategy is to acquire and combine third party logistics service providers and logistics technology providers in order to offer a unique, cost effective Cloud-based SaaS solution for the global logistics marketplace. On Friday, Unisource Corporation rose 4.91% to $0.470 plus USRC is up 370% since last November and down 27.7% in intermittent trading since October 2008 according to Google Finance.
What’s the Catch With Unisource Corporation? According to various disclosures, transactions of $500, $1.5k and $2k have or will occur to mention Unisource Corporation in various investment newsletters. Last Wednesday, Unisource Corporation announced that Box Brothers, Inc. had signed a license platform agreement with its subsidiary Visionship, Inc, to deploy the Visionship G3 Transportation Management System (TMS) as a Software as a Service (Saas) to all Box Brother locations. In addition and on Monday, Unisource Corporation commented on its recent financials and pointed out a revenue growth rate that exceeded 270% between Q1 and Q2 for 2013. However, a quick look at Unisource Corporation’s financials reveals revenues of $133k (Q2) and $47K (Q1) along with net losses of $1,438k (Q2) and $102k (Q1). At the end of June, Unisource Corporation had $60k in cash to cover $707k in current liabilities – hardly as exciting as the revenue growth figures mentioned in the press release.
Strategic Global Investments, Inc (OTCMKTS: STBV) Announces Deals But Leaves Out the Important Details
Small cap Strategic Global Investments provides live streaming video content and related digital advertising via its websites and social media with the company's online business being divided into two segments: Wazillo and Wazillo Media. Wazillo is an online network of live video streaming from destination venues (i. e. restaurants, nightclubs and bars) while Wazillo Media utilizes its live streaming media and content management and distribution technologies to create an Internet Talk-TV network of topical shows. On Friday, Strategic Global Investments fell 10% to $0.009 for a market cap of $1.10 million plus STBV is down 93.6% over the past year and down 96.4% since October 2008 according to Google Finance.
What’s the Catch With Strategic Global Investments, Inc? According to various disclosures, transactions of $1k, $1.5k, $1.7k, $2k, $4k and $15k have or will occur to mention Strategic Global Investments in various investment newsletters. Last Wednesday, Strategic Global Investments announced an Asset Purchase Agreement with DGI, LLC of Rancho Santa Fe, California, to acquire the intellectual property and assets commonly known as TuVozOnline, which allows users to access internet phone service anywhere in the world through their broadband Internet connection; but no financial details about the deal were given. Otherwise and in late July, Strategic Global Investments announced that it had secured a $2,000,000 Equity Financing Term Sheet with Phoenix Group Capital Markets, a UK holding company, through its wholly-owned microcap investment fund with no further deal details provided. A quick look at Strategic Global Investments’ financials reveals revenues of $6k (most recent reported quarter), $47k, $19k and $2k for the past four quarters along with net losses of $195k (most recent reported quarter), $70k, $136k and $91k. At the end of March, Strategic Global Investments had $69k in cash to cover $395k in current liabilities. Given that and the lack of details regarding the Asset Purchase Agreement and the financing, investors may want for some more details to appear.