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OTHER WSR COVERAGE SUMMARY |
CNTY Sep 8, 2003 @ $2.47
Currently $3.29 (up 33%) |
NYMX Nov 4, 2003 @ $2.57
Currently $4.20 (up 63%) |
Throughout January, the major stock market indexes relentlessly continued
their bullish run repeatedly establishing new highs, with technology and
smallcap issues leading the way. Since the last close of 2003, until the
close of January 26th, the:
DJIA gained 2.4% to 10,702.51points
NASDAQ rose 7.5% reaching 2,153.83 points
S&P 500 advanced 3.9% to 1,155.37 points, and
RUSSELL 2000 jumped 8.0% closing at 601.50 points.
As economies worldwide continue to exhibit sustainable recovery, the smallcap
sector shows promise to outperform the market and provide investors with
opportunities to selectively benefit from undervalued issues.
In our last year-end newsletter, we featured Command Security Corporation
(OTC BB: CMMD). During the month of January the CMMD stock advanced nearly
70% from a year-close of $1.01 to a high of $1.70 last Friday. The quick rise,
which established new 52-week highs, could result in increased price volatility
in the near future. However, although still speculative, longer term prospects
remain very favorable. The Company is well positioned to exploit the overall
redefined market conditions within the security industry through the award of
any major Department of Homeland Security (DHS) or other government agency
contract. The optional de-federalization of airport security planned for
November 2004 opens another tremendous opportunity. Securing baggage and
passenger screening contracts even at a handful of major airports currently
serviced by the Company in other capacities could result in a significant
ongoing revenue stream.
To view the entire report on Command Security, including risk factors and
disclaimers, please visit
WallStreet Research.
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FEBRUARY STOCK OF THE MONTH (SPECULATIVE INVESTMENT)
NuTech Digital, Inc. (OTC BB: NTDL) is an entertainment technology
company specializing in licensing and distribution of DVD content. The Company
distributes its broad range of DVD home entertainment titles through various
wholesalers, retailers like Tower Records, Best Buy, Fry's and Walgreens, and
through the Internet at www.NuTechDVD.com.
Through the first nine months of
2003, NuTech generated $3.1 million in sales, earning $525 thousand, or $0.05
per share, compared to a loss of $0.08 per share for the same period in the
prior year ( see full
press release with third quarter numbers). Given generally
strong holiday season results for DVD sales, the Company's year-end results for
December 31, 2003 expected to be announced soon should provide strong
fundamental base for current technological developments and further impressive
growth.
Last Friday, the Company introduced a new viable technology to deliver high
resolution content on a secured basis over the Internet, effectively addressing
the latest challenges faced by the entertainment industry. Utilizing the
popular Microsoft Windows Media 9 platform, the Digital Rights Management (DRM)
technology provides access to any copyrighted database of movies or music
titles on demand, offering both rental and purchasing options for the users, as
well as piracy protection and fee collection capabilities for the distributor.
With this next-generation technology, NuTech has the ability to securely
publish media on peer-to-peer networks such as Napster, Kazaa, newsgroups and
chat rooms. Naturally, the Company can use this technology to deliver its own
content, or license the technology to movie studios and music producers looking
for ways to enhance their revenue streams.
Following
the announcement of the launch of the DRM technology, the NTDL stock
has already advanced sharply, but the long term growth potential associated
with this development could provide opportunities to produce far greater results
than currently reflected in the stock price. The Company's system provides a
leading-edge, low-cost, high-quality solution for the exploding DVD
entertainment content market. In 2003, DVD retail sales grew to $11.6 billion
nationwide, an increase of 33% over previous year. Consumers also spent $4.5
billion renting DVDs, up 55% from 2002. Through its existing relationships in
the movie and music industries, the Company is actively seeking content for
Internet rights for use with its technology. NuTech also intends to pursue
relationships with film and music rental companies to create a consumer account
base.
Earlier in the month, the Company announced the formation of a dedicated music
division, NuTech Platinum Concert Series, developed to capitalize on the
high-growth market for live musical performances on DVD, which itself is
estimated to reach $700 million by 2006. Replicating its successful business
model, NuTech is currently securing rights to live performance footage of
established, chart-topping acts, as well as up-and-coming groups, and could
quickly generate substantial additional revenue, especially applying its DRM
technology.
January 26, 2004
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About
WallStreet Research:
WallStreet Research is a prominent research boutique formed over twenty years ago and
led by Alan Stone, Managing Director of Alan Stone & Company, LLC. The firm specializes
in the microcap and smallcap investment arena, looking for emerging growth companies
with strong management, unique or proprietary technology, significant market potential,
financial strength, and outstanding long-term earnings growth possibilities. The firm
has offices in Los Angeles, CA, Palm Beach, FL, and New York City, NY, and is well known
for discovering undervalued companies and bringing them to the attention of the
investment community.
For more information about WallStreet Research and our complete reports, please visit our
website at
www.WallStreetResearch.org. Should you wish to receive a PDF file on WallStreet Research,
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Disclaimers:
The information presented herein or in the WallStreet Research reports is not to be
construed as an offer to sell, nor a solicitation of an offer to purchase, any securities
referred to herein or otherwise. The newsletter and research report contents are based
entirely on information available to the public and has been obtained from the company
featured herein, as well as other sources, in each case without independent verification.
The information featured herein is considered reliable, but cannot be guaranteed as to
accuracy or completeness. The information includes certain forward-looking statements
within the meaning of Section 21E of the SEC Act of 1934, which may be affected by u
nforeseen circumstances or certain risks. The reader is hereby advised to review all SEC
filings for a more complete description of the Company's business, including the financial
statements and all risk factors set forth therein. By accepting and reading this report,
the reader hereby acknowledges that neither WallStreet Research, nor any other affiliate
thereof makes any representation, either express or implied, as to the accuracy,
completeness, fitness for a particular purpose or future results, of any statement contained
herein. Neither WallStreet Research, nor any of its officers, agents or affiliates, accepts
any liability whatsoever for any statements made herein, including without limitation any
liability for direct, consequential or special damages of any kind or nature. Any securities
mentioned herein may be deemed speculative, and not appropriate or suitable for all
investors, and anyone reading this report is advised to discuss its contents with their
investment advisors. The nature of the information contained in this report is considered
time sensitive, is subject to change without notice, and cannot be relied upon after a
period of three months, unless updated.
Alan Stone & Company, LLC, an affiliate of WallStreet Research, receives fees from companies
mentioned herein and in the reports. Compensation from Command Security was a fee of $5,000
for preparation and distribution of the latest update report plus additional fees for
previous reports during the past two years, the terms of which are available on our website
and on reports. Alan Stone & Company, LLC has also earned compensation in the last two years
for organizing roadshows and meetings on behalf of Command Security. Alan Stone & Company,
LLC is under contract to receive compensation of 10,000 shares of common stock of NuTech
Digital Inc. for publishing and distributing this electronic newsletter. Alan Stone &
Company, LLC will also receive 15,000 shares of common stock of NuTech Digital, Inc. to
initiate WallStreet Research analyst coverage beginning sometime during the month of
February, and has an agreement to earn up to 100,000 stock options to purchase common stock
in NuTech Digitial Inc. for newsletter and research services. Alan Stone & Company, LLC may
also own other shares of companies mentioned herein or in the reports, for investment
purposes, in its corporate accounts, and may increase or decrease its positions at any time,
without notice.
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WALLSTREET
RESEARCH
New York City, Los Angeles
Palm Beach
www.WallStreetResearch.org
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Contact info:
Alan Stone, Managing Director WallStreet Research
Solutions for Emerging Companies™
590 Madison Ave, 21st floor
New York, NY 10022
212.521.4102
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