Monday, August 30, 2010

Small-cap Basic Resource Plays - KATX, SMNG, AAPH, FNRC

(NEW YORK)-- Ludlow Capital issues a profile on several small-cap basic resource plays in the areas of gold and oil and natural gas exploration.

Gold Exploration

Kat Exploration, Inc. (OTC:KATX), a mineral exploration company developing gold mining rich regions of Newfoundland, announced positive results for their drilling program at their Handcamp Project, which showed very encouraging gold mineralization at shallow depths. In addition, the Company continues on track to complete all regulatory filings for their share dividend distribution of Bella Viaggio, Inc. (OTC:BVIG) to KTAX shareholders of record.

Strategic Mining Corp. (OTC:SMNG), is a gold mining exploration company focused on development of gold mining projects, announced they had completed their geological report for its East Canyon gold property located in both Nevada and Utah. In addition, the Company announced today that the land survey for its Nat Son property has been approved by the Vietnamese Provincial Government, and has completed construction of new industrial roads that allow year round access to the property.

Ludlow Capital has issued research coverage on SMNG, and based on current shares outstanding of around 95 million shares, and progress towards gold production, we have issues a 'speculative' near-term valuation target of $0.12 to $0.14 per share.

Oil and Natural Gas

American Petro-Hunter, Inc. (OTC:AAPH), an oil and natural gas exploration company, announce the Company is finalizing plans to drill a horizontal oil well on the North Oklahoma Project leases located in Payne County, Oklahoma. The Company also announced that July oil production from the #1 and #3 Lutters wells at the Postons Project located in Trego County, Kansas totaled 1,280 barrels.

1st NRG Corp (OTC:FNRC), an oil and natural gas exploration company based in Colorado, announced letter of intent for new development project with estimates of reserve potential to be over 2 billion cubic feet of natural gas proven reserves. Along with their Cedar Creek project, the Company proven reserves now top around 5.8 Bcf for these two projects. With only around 4.5 million shares outstanding, and current market capitalization of around $1 million, the stock could have substantial upside potential.

Ludlow Capital has issued research coverage on FNRC, and based on current shares outstanding of 4.5 million shares, and proven reserves valued near $15 million, we have issues a 'speculative' valuation target of $2.50 to $3.00 per share.

Thursday, August 26, 2010

Ludlow Issues .02 Target on AMSZ

(NEW YORK)--Ludlow Capital issued a research note on AcuMedSpa Holdings, Inc. (OTC:AMSZ), a provider of Medical Aesthetic, Spa and Acupuncture services, with a B+ rating and near-term price target of $0.02 per share.

Investment Highlights

- Reducing Shares Outstanding and Authorized
- Pending Share Buyback Program
- Operational Revenues, Profitable
- National Expansion and Acquisitions
- Tightly Held Public Float
- Market Cap of only $600,000

Summary

Unlike many other plays, AMSZ offers one of the best share structures and valuations of any stock currently trading under $0.01 per share. While most companies push their shares outstanding higher and higher to access liquidity, AMSZ has taken the old school route of reducing its share structure to increase shareholder value. Dilution is NOT an issue here, but rather the opposite.

AcuMedSpa is an operational company, with around $2 million in revenues, profitable, and developing a national roll-out expansion plan through acquisitions.

The Company has been reducing both their shares authorized and outstanding, and announced a possible share buyback program which should reduce the shares outstanding even further.

AMSZ currently has around 146 million shares issued and outstanding, which at a current price of $0.004 a share would equate to a market capitalization of only $600,000. Thus, based on their efforts to actually tighten the share structure, share buyback program, pending acquisitions, and operating revenues/profits we are adding AMSZ to our premier watch list with a near-term target of $0.02 per share, and a B+ rating.

Other Premier Holding Plays

- KAT Exploration (KATX)
- MOP Environmental Solutions (MOPN)
- Title Consulting Services, Inc. (TITL)
- Liberty Star Uranium & Metals (LBSR)

Risks

The company is currently traded on the Pink Sheet exchange, and thus has
a limited trading market established. Investors are highly encourage to consult with a financial advisors before making and and all investment decisions regarding these kinds of securities.

Ludlow Capital began coverage on AMSZ on August 25, 2010 at a price of $0.0039 per share.


Thursday, August 12, 2010

TITL - Microcap Alert Issues Price Target of .04 to .05

Microcap Alert Issues Float Lock-Up Watch on Title Consulting (TITL)
Last Updated: August 12, 2010 - 11:30am EST


(NEW YORK)--Microcap Alert has placed Title Consulting Services, Inc. (OTC:TITL), an independent title insurance agency, on float lock-down watch as company retires 400 million shares from shares outstanding, potential price target of $0.04 to $0.05 near-term.


Title Consulting Services, Inc., through its wholly-owned subsidiary Accu Title Agency, operates a network of up to 20 independent title insurance agency locations strategically located across the state of Florida. The company is headquartered in St. Petersburg, and has been in operations since early 2001.


Share Structure


On August 10, 2010, the Company announced it was rescinding a resolution taken on July 29 whereby it raised the outstanding common shares by 400,000,000. This reversal will result in the outstanding common share count reverting back to 115 million common shares issued and outstanding. The float has not been affected by this transactions and remains at 28 million.


The move to reduce the shares outstanding was a smart move on the part of the CEO. The recent drop in the price had brought in a number of traders who may have taken a sizable portion of the public float out of the market. Thus, with the increased demand for shares has put the company of a potential float lock-up watch.


* The Company transfer agent is un-gagged for full public transparency.


Merger and Acquisitions


The Company is currently in the process of seeking out an operating Property and Casualty Insurance Agency (PCIA) to bring under the Title Consulting holding umbrella. The acquisition of an operating and cash-flow positive PCIA will help diversify the Title Consulting portfolio, and provide the company the ability to present current title insurance clients with alternatives to their existing homeowners insurance.


An acquisition of a new insurance provider could push the company into the profitability range, while providing cash-flow for operations. News of first insurance acquisition is pending, and expected shortly


National Expansion


In addition to expanding their market reach and product offerings in the State of Florida, the company also anticipates expansion nationally through acquisition of property, title, and causality insurance targets. This will allow the company to expand their market breath, and begin marketing the company as a national insurance provider.


Operations


For the three months ending April 2010, the Company reported total revenues of $364,204, with a gross profit of $231,527. After operational expenses, the company reported a net loss of just ($114), compared to a loss of ($30,683) for the same period 2009. At the end of this period the Company reported total assets of around $1.4 million.


The Company is expected to file financials for the three-months ending July 2010 in the very near-future, and could be a strategic move to bring the company 'current' with OTC markets.


Valuation and Technical Analysis


The RSI has turned upward and crossing 50 which indicates additional upside from these levels. The stock has broken above its 5 and 50 day moving average, with resistance seen at the 10 day at $0.015. A break above the 10 day ($0.015) could provide for a sharp run. The TRIX remains in positive territory, and the MACD has now turned upward indicating near-term run in the stock.


Based on the new share structure of 115 million, and an every increasing tight float, TITL could see a near-term run up to the $0.035 to $0.05 range as investors scramble to buy back in. A share price of $0.05 a share would now equate to only a $5.5 million market cap. Watch for a move above $0.015, and increased volume, as a possible break-out alert.


Risks


The company is currently traded on the Pink Sheet exchange, and thus has a limited trading market established. Investors are highly encourage to consult with a financial advisors before making and and all investment decisions regarding these kinds of securities.


Recommendations


We have submitted the following recommendations to Title Consulting on what actions the company could take to better assist them in building additional value for the company, and its shareholders.


- Issue Series A Voting Preferred to company management. This would give management ongoing majority voting control of the company, while providing for no dilution to the common shareholders.
- Use Series B and C Preferred, in conjunction with common shares, for any large acquisitions. This would decrease the dilution in any acquisitions or mergers, and in-turn increase the value of the company in rapid form.
- Develop a solid Board of Directors, and Advisors. The company could offer Director seats to new acquisition targets, executives with strong insurance backgrounds, and an individual with investment banking experience.


Microcap Alert began coverage on TITL on August 10th, 2010 at a price of $0.0115 per share.

http://www.wallstreetnewscast.com/news/2010/august/titl.html

Friday, August 06, 2010

Microcap Alert Issues 'Float Lockup Alert' on AAVG

MicrocapAlert Issues 'Float Lockup Alert' on AAVG
Last Updated: August 6th, 2010 - 10:15am EST

(NEW YORK)--Microcap Alert has issued a 'float lockup alert' on AvStar Aviation Group, Inc. (OTC:AAVG), a full service aviation maintenance company, and non-scheduled air carrier, with a traders target of $0.08 to $0.10 per share.

Technical Analysis

AAVG has been trading with above average retail volume for the past two weeks since announcing thier acquisition of Twin Air Calypso Limited, Inc., a South Florida air carrier certified by both the United States and Bahamas government.

Last week AAVG traded around 12 million shares, with this week on track to exceed 15 million shares. With around 118 million shares issued (confirmed Aug 2, 2010), and float of around 15 or 20 million shares, AAVG has now entered a 'float lock-up' stage.

AAVG is currently in the process of breaking through their 50 day moving average, with the MACD turning above 0 to go positive. The TRIX still has a bit more to go before going positive, but the uptrend is becoming more parabolic. The accum/dist continues a sharp move upwards indicating increased purchase of what little float remains. Next resistance look to be in the .025 range, but the decreased float available for trading at this level may not hold in our opinion.

Based on breakout technicals, decrease in the public float available to trade, and company fundamentals, we project seeing AAVG moving very quickly through the penny price ranges, with a high probability of reaching or exceeding .10 per share in the near-term.

AvStar Aviation is a full service aviation maintenance company, non-scheduled air carrier, and full service Fixed Base Operator (FBO). The Company plans to grow through the acquisition of small airline carriers and land based aviation maintenance companies in the South Florida market. www.avstarinc.com

For 2010, the Company is projecting annual revenues to be around $7 and $9 million through this growth strategy, with a projected goal of doubling those numbers to $14 to $18 million in 2011.

Previous 'float lockup alerts' issued were on TGGI at $0.0004 in late July, and AVTI at .0012 in early July. MicrocapAlert.com is issuing its initial alert on AAVG on August 6th, 2010, at a price of $0.007.

Wednesday, August 04, 2010

Microcap Alert Issues .003 to .004 Price Target on TGGI

Microcap Alert Issues Price Target on Trans Global Group (TGGI)
Last Updated: Aug. 4, 2010 - 6:00am EST

NEW YORK--Microcap Alert has issued a traders opinion on Trans Global Group, Inc, Inc. (OTC:TGGI), a diversified investment holding company, with a near-term price target of $0.003 to $0.004 per share.

Story Background

In June 2010, the Company announced that it had entered into an agreement to merge Full Spectrum Media, a wholly-owned subsidiary of TGGI, into American Life Holdings Company, Inc. (OTC:ALFE), a fully reporting OTC BB company. Upon completion of the merger, shareholders of TGGI would receive new shares in ALFE through a stock dividend issuance.

News Pending

Early in July the Company announced it had begun work on auditing Full Spectrum Media preparing for the upcoming merger, and was expected to be announced around August 1st, 2010. This indicates the market may be receiving an update on this merger/acquisition sometime in the very near-future.

TGGI and ALFE Connection

Randy Schneider, the President and director of Kazore Holdings, Inc. a subsidiary of TGGI, was recently elected to the Board of Directors of ALFE as well. This points to increased odds that a merger between TGGI and ALFE have now grown.

Reducing Shares Outstanding

The Company also announced it had reached an agreement to cancel 500 million shares issued in exchange for preferred shares, which would reduce the shares outstanding from around 1.5 billion to around 1 billion common shares. This would indicate that TGGI may currently be trading at a market cap of less then $1 million under the $0.001 price range, which would be far to low for a company about to merge onto the OTC exchange.

Technical Analysis

The stock has recently broken above its 50 day moving average with strong retail volume which may indicate a potential 'lock-up' of the public float. The MACD is in the process of turning positive, and the TRIX indicates possible move to the plus-side later in the week.

Price Target

Based on the move to merger their subsidiary into ALFE and issue new shares out to TGGI shareholders, the connection between these two companies through Mr. Schneider, prospect of the retirement of 500 million shares, and the bullish technical indicators makes TGGI a play to watch. Based on these facts, and the technical aspects of the chart, it is our opinion that TGGI could be trading up to the $0.003 to $0.004 range in the very neat-term.

About Microcap Alert

Founded in 2009, Microcap Alert is a central portal for investors and financial professionals to discover under-the-radar micro and nano cap public companies. The site provides independent research and frequent trade alerts which are distributed to a wide array of financial institutions, trading desks and fund managers.  The company enables small startup companies to address a select audience of investors and institutions that are specifically looking for the next great microcap news story. www.microcapalert.com

http://www.wallstreetnewscast.com/news/2010/august/tggi_target.html