OTC BB U-Z Profitability, May 16, 2014
Celts: According to the list of BB companies from his link - http://www.otcbb.com/asp/symbol.asp?issues=Al...h=starting - there are about 762 companies trading on the OTCBB. I do not have the time to review all of these for profitability, but I did take a quick look at each of the 66 "U-Z" companies to determine if any were profitable. Based on my quick review, 11 of the 66 U-Z companies are profitable (about 17%).
I dug just a little using Yahoo Finance and an occasional financial report to learn a few details of each company and to understand why they were still trading on the OTCBB. Five of the following profitable OTCBB companies are regional or state banks with virtually no volume:
WMPN -- $18.00 pps on 5/16 (25 trailing PE, average daily volume (ADV) only 662 shares), first available historical stock price was November 2008 at $12.77 per share (~41% return, excluding dividend yield), $9M revs and $2.5M net profit in 2013, 3.86M total OS.
WEIN -- $18.00 on 5/16, 1.2% dividend yield (22 trailing PE, ADV only 314 shares), first available historical stock price was January 2012 at $11 per share (~64% return, excluding dividend yield), $9.24M revs and $1.28M net profit in 2013, 1.28M OS.
VERF -- $17.24 on 5/16 (51.16 trailing PE, ADV and historical price data unavailable), $1.45M revs and $134K net profit in 2013, 397K total OS.
UBMI -- $11.90 on 5/16 (19.19 trailing PE, ADV 40K shares), first available historical stock price was October 2003 at $63 per share (~81% decrease), $51M revs and $8M net profit in 2013, 12.6M total OS. The assets of this bank have shrunk over time.
UASB -- $19.00 on 5/16 (10.21 trailing PE, ADV only 75 shares), went public in August 2010 (historical pricing data unavailable, so pps at time of IPO unknown), $557K net profit and $1.86 eps in 2013, total OS not reported, but I estimate it to be about 1M.
One of the companies is an asset management and investment firm:
WASM -- $0.75 on 5/16 (39.47 trailing PE, ADV only 41 shares), IPO date and historical price data unavailable, $277K revs and $177K net profit in 2013, 9.5M total OS.
I may be incorrect, but I hardly believe the banks and the investment firm above to be good indicators of what would happen to ScripsAmerica after it first reports profitability. These stocks are illiquid and have very few total outstanding shares. Indeed, excluding UBMI, the highest reported ADV is 662 shares and the lowest ADV is 41 shares...nobody will get rich owning any of these! Frankly, my impression is none of these companies are concerned about liquidity or uplisting to a more respectable exchange.
The remaining companies are comprise of a mixed bag of industries, including but not limited to technology, biotech, investing in several vocational schools in China, and fashion design and marketing:
XELB -- $8 pps 5/16 (50 trailing PE, ADV only 146 shares) (possibly went public 10/2/12 at approximately $3.25 per share (146% return, not bad), $13.4M revs and $1.53M net profit in 2013 (versus $12.7M revs and $4.28M net profit), $0.16 eps, 10.8M total OS (I realize these numbers do not match up exactly). Per the Q1 report, this company swung to a net loss of slightly less than $1M. Xcel Brands, Inc. is a brand and retail management company with two retail stores, one in Southampton, NY and the other an outlet store near Atlanta, Georgia; it also recently went live with an e-commerce platform. "Isaac Mizrahi Brand and certain rights of the LCNY and the Ripka Brand, which we acquired on March 26, 2014." The retail management business started in June 2013. If this company was more liquid, it might be worth keeping an eye on. For now, management appears to be content to fly under the radar as they build this business.
WETM -- $1.00 on 5/16 (PE, ADV, historical price, date of initial IPO, and total OS data unavailable), only $78,000 revs and $6,000 net profit in 2013.
WIEIE -- $0.27 on 5/16 (pps dropped 33% on the 16th, do not know why, though had recent inquiries from the SEC, dismissed auditor on 4/24, and filed a 12b-25 on the 10K) (0.73 trailing PE, ADV only 2K shares), went public in January 2011, though earliest historical price data was October 2012 at approximately $3 per share (~91% decrease), $19.6M revs and $7.4M net profit, 20M total OS, these are restricted 144 shares. This company owns seven computer training vocational schools China.
WHLM -- $0.27 on 5/16 (9.64 trailing PE, ADV 90K shares), first available historical stock price was July 1996 at $21 per share (~99% decrease), $70M revs and $3.4M net profit in 2013, 117M total OS. A quick review of the 10K revealed this appears to be a slowly dying fashion design and marketing business with license agreements set to soon expire and no renewals anticipated. More research required.
YEWB -- $0.19 on 5/16 (~2 trailing PE, ADV only 1.7K shares), possibly went public 11/27/13 at approximately $1.10 per share (~83% decrease), $7M revs and $3.9M net profit in 2013, ~50M total OS. More research is required on why the very low PE and the large, quick drop in the pps.
I ran out of time on this little project, as I need to pack and focus on the family before heading back down to south of the equator.
Have a great week!
Bsav88atty
Celts: According to the list of BB companies from his link - http://www.otcbb.com/asp/symbol.asp?issues=Al...h=starting - there are about 762 companies trading on the OTCBB. I do not have the time to review all of these for profitability, but I did take a quick look at each of the 66 "U-Z" companies to determine if any were profitable. Based on my quick review, 11 of the 66 U-Z companies are profitable (about 17%).
I dug just a little using Yahoo Finance and an occasional financial report to learn a few details of each company and to understand why they were still trading on the OTCBB. Five of the following profitable OTCBB companies are regional or state banks with virtually no volume:
WMPN -- $18.00 pps on 5/16 (25 trailing PE, average daily volume (ADV) only 662 shares), first available historical stock price was November 2008 at $12.77 per share (~41% return, excluding dividend yield), $9M revs and $2.5M net profit in 2013, 3.86M total OS.
WEIN -- $18.00 on 5/16, 1.2% dividend yield (22 trailing PE, ADV only 314 shares), first available historical stock price was January 2012 at $11 per share (~64% return, excluding dividend yield), $9.24M revs and $1.28M net profit in 2013, 1.28M OS.
VERF -- $17.24 on 5/16 (51.16 trailing PE, ADV and historical price data unavailable), $1.45M revs and $134K net profit in 2013, 397K total OS.
UBMI -- $11.90 on 5/16 (19.19 trailing PE, ADV 40K shares), first available historical stock price was October 2003 at $63 per share (~81% decrease), $51M revs and $8M net profit in 2013, 12.6M total OS. The assets of this bank have shrunk over time.
UASB -- $19.00 on 5/16 (10.21 trailing PE, ADV only 75 shares), went public in August 2010 (historical pricing data unavailable, so pps at time of IPO unknown), $557K net profit and $1.86 eps in 2013, total OS not reported, but I estimate it to be about 1M.
One of the companies is an asset management and investment firm:
WASM -- $0.75 on 5/16 (39.47 trailing PE, ADV only 41 shares), IPO date and historical price data unavailable, $277K revs and $177K net profit in 2013, 9.5M total OS.
I may be incorrect, but I hardly believe the banks and the investment firm above to be good indicators of what would happen to ScripsAmerica after it first reports profitability. These stocks are illiquid and have very few total outstanding shares. Indeed, excluding UBMI, the highest reported ADV is 662 shares and the lowest ADV is 41 shares...nobody will get rich owning any of these! Frankly, my impression is none of these companies are concerned about liquidity or uplisting to a more respectable exchange.
The remaining companies are comprise of a mixed bag of industries, including but not limited to technology, biotech, investing in several vocational schools in China, and fashion design and marketing:
XELB -- $8 pps 5/16 (50 trailing PE, ADV only 146 shares) (possibly went public 10/2/12 at approximately $3.25 per share (146% return, not bad), $13.4M revs and $1.53M net profit in 2013 (versus $12.7M revs and $4.28M net profit), $0.16 eps, 10.8M total OS (I realize these numbers do not match up exactly). Per the Q1 report, this company swung to a net loss of slightly less than $1M. Xcel Brands, Inc. is a brand and retail management company with two retail stores, one in Southampton, NY and the other an outlet store near Atlanta, Georgia; it also recently went live with an e-commerce platform. "Isaac Mizrahi Brand and certain rights of the LCNY and the Ripka Brand, which we acquired on March 26, 2014." The retail management business started in June 2013. If this company was more liquid, it might be worth keeping an eye on. For now, management appears to be content to fly under the radar as they build this business.
WETM -- $1.00 on 5/16 (PE, ADV, historical price, date of initial IPO, and total OS data unavailable), only $78,000 revs and $6,000 net profit in 2013.
WIEIE -- $0.27 on 5/16 (pps dropped 33% on the 16th, do not know why, though had recent inquiries from the SEC, dismissed auditor on 4/24, and filed a 12b-25 on the 10K) (0.73 trailing PE, ADV only 2K shares), went public in January 2011, though earliest historical price data was October 2012 at approximately $3 per share (~91% decrease), $19.6M revs and $7.4M net profit, 20M total OS, these are restricted 144 shares. This company owns seven computer training vocational schools China.
WHLM -- $0.27 on 5/16 (9.64 trailing PE, ADV 90K shares), first available historical stock price was July 1996 at $21 per share (~99% decrease), $70M revs and $3.4M net profit in 2013, 117M total OS. A quick review of the 10K revealed this appears to be a slowly dying fashion design and marketing business with license agreements set to soon expire and no renewals anticipated. More research required.
YEWB -- $0.19 on 5/16 (~2 trailing PE, ADV only 1.7K shares), possibly went public 11/27/13 at approximately $1.10 per share (~83% decrease), $7M revs and $3.9M net profit in 2013, ~50M total OS. More research is required on why the very low PE and the large, quick drop in the pps.
I ran out of time on this little project, as I need to pack and focus on the family before heading back down to south of the equator.
Have a great week!
Bsav88atty
