If you're looking for a little extra momentum from a micro cap stock, then you may want to check out Optical Systems, Inc. (OPSY.PK), Everock, Inc. (EVRN.PK), Yasheng Eco-Trade Corporation (YASH.OB), and Superlattice Power, Inc. (SLAT.OB) today. For one reason or another, a small army of paid as well us unpaid promoters are focused on these tickers.... and you may be able to ride the coat-tails of their efforts.
As with all hype-creation efforts, some of the publicity is deserved, while some is not. Some of the interest in these stocks will last, and some will not. With that in mind, let's take a closer look at each of these names to see how much -
if any - longevity one can expect.
Optical Systems, Inc. (
OPSY) shares are a little overbought in the short-term, but may be worth keeping an eye on. The recent runup stemmed from the company's announcement that a couple of car dealers have opted to use Optical Systems' 'Save a Deal' software, and more recently, the news that Optical Systems was launching an anti-theft GPS device that's allegedly better than the LoJack device.
One of the key deterrents to stepping in as a long-term owner of OPSY is simply that auto dealerships are struggling as it is, and they probably aren't too interested in support and software services right noe. (On the other hand, that may be the perfect time to break into the market... when there's little competition.)
A close-second deterrent is that it's not clear if Optimal System is comfortable operating in the software and service business segment any longer. The launch of the new GPS tracking device is something
well outside of the company's product base; why the switch?
There may be something to OPSY, but it appears it's mostly euphoria from all the promotion... which rarely lasts.
Everock, Inc. (
EVRN) would probably be well-advised to hire a third-party (or third-
parties) to help find buyers for the stock, as it's been sinking pretty steadily. Even then though, this may be a case where even the professional pumpers struggle to get any traction.
Everock makes natural/organic gourmet food products, and the company has indeed been expanding. However, it's just not the kind of thing traders get excited about, particularly when the stock has such a limited history.
Plus, as a non-reporting pink sheet, everything the company says has a question mark next to it.
Yasheng Eco-Trade Corporation (
YASH) has been busier on the public relations front in the last week than they've been the rest of the year combined. The oil and gas explorer announced the beginning of negotiations with Russian-based IFD Kapital, hired investment firm Cukierman & Co. (to facilitate expansion), and partnered with Better Online Solutions to improve Yasheng's supply chain and RFID solutions.
The problem? Lots of talk, not much substance.
There is a potential short-term upside.... as beaten up as the stock is, the promotional effort may actually push YASH shares higher. A trader just doesn't want to be the last one off the train when the pumping stops.
Superlattice Power, Inc. (
SLAT), surprisingly, has
not raced higher with a complete abandon of reason. So, at least from a moderated-volatility point of view we find this to be an interesting possibility.
Superlattice Power manufactures batteries....lithium ion batteries to be specific - the kind you use in electric cars or to store power for an entire house (as opposed to something you'd shove in a flashlight).
The need for such technology is very real; the question is whether or not Superlattice is a contender. The answer became closer to 'yes' on Tuesday when the company announced they'd be establishing a fully automatic manufacturing facility for electric vehicle batteries.
The stock moved a little on the news, but didn't careen out of control on the pumping effort. Thus, SLAT may actually be a holding that long-term investors can dabble with.
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