Voyant’s at it Again - RocketStream Crosses the Pacific
Remember RocketStream? It’s Voyant International’s (OTCBB: VOYT) technology that accelerates file transfer via the Internet by as much as 200 times faster than the widely used (for now) transfer protocol. Yeah, well, RocketStream is about to cross the Pacific Ocean and be introduced to the Asian market.
Just to establish some perspective for any newcomers, increased sizes in digital files have exposed a nagging problem with the Internet’s typical transmission technology.
When the web was first developed, it was never intended to send anything other than a few letters and numbers per message. Now we’re sending individual files that are bigger than the earliest hard drives! In a nutshell, ‘HTTP’ and ‘FTP’ just can’t do the job well enough.
Enter RocketStream. This technology can send in a few minutes what used to take a day to transmit.
Anyway, the need for such a technology clearly has no boundaries. That’s why Technical Media Services and Voyant are happily presenting RocketStream at this year’s Broadcast Asia conference in Singapore. Obviously the media has a particular need for faster digital delivery, so we expect RocketStream to be well received.
We don’t have many details on the potential dollars for the deal, but we do know that Technical Media Services is an authorized reseller. So, we think the conference should send something to the top line. And remember, this company was pre-revenue until this quarter, so any new business will have a big impact.
As for the stock, welcome to small caps. We saw a huge move higher, a pullback, and then some settling - with a very pronounced move higher and lower. Now that all the trading hysteria is in the past (both bullish and bearish) though, the stock’s investors can expect a little less volatility.
What I’m talking about is what we seem to see sometimes with a float of this size. It’s as if somebody flips a switch and there’s a rush of buyers clamoring to get in. Sometimes they may not even really know what they’re getting - they just know the ticker is VOYT.
All well and good, but we’d be the first to acknowledge that rush of traders into a stock can wreak a little havoc.
The good news is, the same wind that blew those short-term traders in also whisks them out. Thus, the net result is a wash. No harm, no foul. But, those traders do offer a valuable service to investors…they can get the liquidity ball rolling, and they get the dead weight (bullish and bearish) out of the shareholder base.
So, with the initial volatility out of the way, I’m pretty excited about watching VOYT’s chart.
Though we’ve watched Voyant’s shares move back to lows of 14 cents, we’ve also seen 14 cents hold up as support for the last three days. We’ve also not seen a close under 15 cents, which is right in line with a 62.8% retracement from April’s low to May’s high.
The other consideration….at 15 cents per share, the company’s market cap is $20 million. Given the number and scope of deals the company can start delivering, we could see Voyant doing that much (if not more) in sales within a year. That’s why we still think this is one of our stronger picks right now.
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