Email : info@otcjournal.com
URL : http://www.otcjournal.com
To
OTC Journal Members:
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Market
Comment |
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In our opinion (guess might be the
right word) yesterday was total capitulation day. The market looked like
it had finally put in a good bottom on Tuesday, and stocks were beginning
to rebound with the NASDAQ opening 80 points higher than Wednesday's
close.
Then the news came out on the terrorist
attack on our Navy ship, and the market was torpedoed. The NASDAQ
turned around more than 180 points to the downside. Simultaneously small
stocks experienced total capitulation. The Trading Alert we issued Wednesday
night had started up nicely and was looking good. When the the sell off
began the stock dropped like a rock on big volume. This is why we always
set a stop loss on Trading Alerts. If you followed our advice you should
only have lost a little money.
The lower we go the harder we will
bounce. There are boatloads of cash on the sidelines just waiting for the
bottom. The Fed is almost certain to start lowering interest rates after
the Election. Consumer spending has been fueling our economic expansion,
but the market is telling us retail spending is over. Even powerhouse Home
Depot (NYSE: HD) issued an earnings warning yesterday. Stocks trade
based on expectations over the next six months, and nearly all retail stocks
are trading at 52 week lows, most cut in half this year.
If we are right Thursday should have
been the climactic sell-off with margin calls hurting stocks everywhere.
Next week we will publish a list of larger cap stocks we believe will rebound,
and it should start now.
Today's edition has two great ideas
for our valued members: If you choose to act we will save you money on
your long distance service and hopefully make you money in the market.
If you decide to invest please set a tight stop loss in the event of another
down draft in the NASDAQ.
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GTC
Telecom (OTC BB: GTCC) |
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Our mission is to find unique values
on behalf of our members. Today's edition offers a two-for-one opportunity.
When we first looked at GTC Telecom we were only interested in the
stock side of the opportunity. When we started discussing their business
model we couldn't believe the low rates they offered on long distance service
with no hidden charges or strings attached.
We suggested to the company putting
together a special offer for our valued members, and have come up with
a very compelling two pronged approach. Invest in the stock to make money,
use their long distance service to save money, or do both.
GTC Telecom is a long distance
company located in Costa Mesa, California. The company recently announced
year end results. Revenues were up 1600% from the previous year.74 million
minutes of long distance time were sold, up from 1.7 million minutes of
usage in fiscal 1999.
Their growth has been fueled by a
great deal of high profile publicity on their very low long distance rates.
GTC
Telecom sells long distance service for $.05 per minute, the lowest
price we know of anywhere!!!!!!!!!
This year GTC
Telecom received a great deal of positive publicity due to these very
low rates. Here is a list of publications that have been favorable on their
long distance service:
-
Consumer
Reports, February's Edition: Compared
GTC Telecom to AT&T, MCI, and Sprint. Said the company had the best
long distance plan.
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Smart Money:
A
long-distance plan consumers “can’t afford NOT to grab” It’s Your
Nickel
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The Kiplinger
Letter: “The real nickel-a-minute plan is with GTC Telecom….”
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CBS MarketWatch:
“And the Winner Is…. GTC Telecom”
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Playboy-
Current Issue: Mentioned on page 41 for those members that happen
to get this periodical because you love the articles.
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Special
Offer For OTC Journal Members Only |
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OTC Journal Members choosing
to convert their long distance service to GTC Telecom will receive a rate
of $.05 per minute,
and
the first 300 minutes (for most people about one month) will be Free!!!!!!!.
This is a fantastic
offer, and of course we have made it easy for you. We love these kinds
of benefits for our members.
Simply Click
Here To Take Advantage of the Offer
or copy and
past the following Web Address into your Browser:
http://www.gtctelecom.com/affiliates/OTC2142600/
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GTE
Telecom Trading Alert |
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On October
4th and 5th GTC Telecom issued several press release concerning
the company's recent outstanding growth. Revenues were up 1600% from the
previous fiscal year, and long distance usage had exceeded 74 million minutes
(up from 1.7 million the previous fiscal year). The CEO held a conference
call on October 3rd to discuss these positive developments.
The 52 week
trading range on the stock has been $4.0625 at the high, and the low has
been $.43.
The stock responded by trading 268,000 shares and hitting
a high of $1.03 on October 5th. Then the NASDAQ began its free
fall leading to yesterday's capitulation, and the stock gave back all its
gains to end up back at its all time low of $.44.
Today, after
the market closed, GTC Telecom announced new record long distance
usage figures for their first fiscal quarter of 44 million minutes.
Furthermore, management informs us that due to their prolific growth, the
company is on the verge of turning cash flow positive for the first time
in their history. The company is also trading at about 1x Annual Revenues,
which is 1/2 the industry average. As evidenced by the press release below,
the company's growth is prolific. On that basis, and assuming the NASDAQ
will continue to due for a bounce, here is your Trading Alert on
GTC Telecom:
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Buy up to $7/8
-
Set Your Stop
at $.44 (all time low)
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Look for
the stock to rebound to $1.04 (October's high and a double from
closing price). If the stock can break through $1.04, it could go on to
$1.50 (300% from today's close).
Here is the complete
text of today's press release which clearly demonstrates the company is
growing dramatically:
| FOR IMMEDIATE RELEASE
Contact: Investor Relations
GTC Telecom
(714) 549-7700
2000% INCREASE IN USAGE IN THE
1st QUARTER -vs.- SAME PERIOD LAST YEAR REPORTED BY GTC TELECOM
*****
Company Reports Over 44 Million
Minutes of Usage
COSTA MESA, CA – October 13, 2000
- GTC Telecom (OTCBB:GTCC) today announced that the Company has provided
over 44 million minutes of long distance and international usage in the
1st quarter ended September 30, 2000 as compared to usage of less than
2.1 million minutes for the same quarter last year.
Paul Sandhu, CEO of GTC Telecom commented,
“This growth in usage continues to show the strong demand for GTC’s products.
As the Company reaches the point of being cash-flow positive, we will be
looking to spur that growth rate even more significantly. In addition,
we will also be looking to leverage our cash-flow into more high growth
and high margin areas. This means that GTC will be investigating
further areas of expansion similar to our venture into the wireless arena
in 2000. GTC continually searches for ways to leverage profitability
while simultaneously rounding out our product bundles to meet the consumer’s
telecom needs and demands.”
Sandhu continued, “As we approach
the level of being cash flow positive, we are very excited about the future
of not only GTC Telecom as a company but in seeking out and providing new
technologies as a whole. With our revenue and minute projections,
we believe that GTC is on track for a record 2nd quarter.”
Interested parties may sign-up or
receive more information via the company's Web site, www.gtctelecom.com.
About GTC Telecom
Founded in 1997, GTC Telecom is a
Telecom/Internet company, providing long distance service to over 80,000
residential customers throughout the United States. GTC Telecom has some
of the lowest long distance rates in the industry today to compete with
AT&T (NYSE:T), Sprint (NYSE:FON), Qwest Communications (NYSE: Q) and
IDT Corp. among others. Named by the Kiplinger Letter, as the "real nickel-a-minute
plan", GTC Telecom offers a five-cent per minute anytime, anyday long distance
rate plan with no monthly fee. Consumers that choose not to be billed on
a credit card will be charged a $1.95 per month processing fee. GTC Telecom
offers basic Internet and long distance bundled and non-bundled plans.
For basic unlimited 56K dial up Internet access, GTC offers a plan for
$9.95 per month, which competes with other Internet service providers like
Earthlink and MSN Internet. In addition, GTC offers a portal site,
www.gtczone.com, which competes with other portal sites like Lycos and
Yahoo. The Company also offers long distance calling cards via the Internet
on its site, www.ecallingcards.com. For further information visit GTC's
web site at www.gtctelecom.com.
Included in this release are ``forward-looking
statements'' within the meaning of Section 27A of the Securities Act of
1933, as amended, and Section 21E of the Securities Exchange Act of 1934,
as amended. Although the company believes that the expectations reflected
in such forward-looking statements are reasonable, it can give no assurance
that such expectations reflected in such forward-looking statements will
prove to have been correct. The company's actual results could differ materially
from those anticipated in the forward-looking statements as a result of
certain factors including sales levels, distribution and competition trends
and other market factors.
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Please review
the section on our home page on Trading
Alerts. The track record on our previous alerts can be obtained by
clicking
here.
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