To OTC Journal Members:
 

Special Cautionary Announcement

Thanks to several of our members it has come to our attention that there is another stock newsletter masquerading as the OTC Journal. They're header says they are the OTC Journal, but they have no web site, provide no information about how to contact them, and have a plain text newsletter.

The Domain Name OTC Journal is owned by MarketByte, a California LLC. We cannot stop the fraudulent use of our name because it is difficult to trace the source of the mail. You can identify the true OTC Journal by our distinctive HTML format, the link at the beginning which opens the web page version of our newsletter, and the link to our web site.

If you are not sure about the source of a newsletter, you can always visit our web site at www.otcjournal.com and check the archive section. Every edition we have ever published on any company is listed in the archive section. It is organized by company name, and the newsletters are listed in chronological order. There is also a general section for editions we have published where the subject was not company specific.

If you have any questions or constructive comments about this newsletter, please email us at info@otcjournal.com.  You can also simply hit reply and send us a message. We answer every legitimate question that we receive within a day or two.
 

Interview With Envoy Communications (NASDAQ: ECGI, TSE: ECG) Analyst

Envoy Communications is a new-age digital advertising agency that is growing rapidly and is very profitable. Our long term members know that we have been reporting on this company since last July, but the stock has yet to become a superstar despite a stellar fundamental growth performance.

We are more convinced than ever that this stock will participate in a big way in the next bull market. Their earnings are just too strong for the stock to remain unrecognized by Wall Street. Envoy began trading on the NASDAQ about three weeks ago, and the stock is now dual listed on the NASDAQ and the Toronto Stock Exchange.

Here is a partial list of their current client base:
 

Shares of Envoy are currently stuck in a range between $5.50 and $7 US. The stock does not want to trade below $5.50, but it can't seem to find its way above $7.  On the TSE the stock is stuck between $8 and $10 Canadian.

With the earnings momentum enjoyed by this company and the low PE Ratio at which the stock is trading Wall Street will discover this one sooner or later, and patient shareholders should be rewarded. Now that the stock has obtained a NASDAQ listing the company is planning an aggressive awareness campaign directed at the major Wall Street firms.

Last week it came to our attention that John McIlveen, Senior Equity analyst at Canadian Brokerage firm Yorkton Securities, issued a Strong Buy Recommendation on the stock with a price target of $12.50 (about $9.25 on the NASDAQ). While most American investors won't be familiar with Yorkton, it is a household name in Canada.  If he is right, $9.25 represents a 60% return on invested capital from today's levels.

During the interview he points out that his pricing model is derived from comparisons of Envoy to other advertising agencies. The recently announced acquisition of Sage puts Envoy into the highly profitable category of an IT Solutions company, which suggests that somewhere down the road Envoy could trade at a technology multiple.

We contacted Mr. McIlveen directly and he graciously agreed to one of our on-line audio interviews during which he shares his thoughts on both Envoy Communications and the market for small cap stocks in general. It is a must listen for investors with an interest in small cap stocks with solid earnings fundamentals. You will find it a worthwhile investment of 10 minutes of your time.

Remember, if you are reading a plain text version of this newsletter, just go to the top of the page and click on the very first link. This is especially  important for AOL members. A web page will automatically open and you can link to the interview from there.

THE READER SHOULD VERIFY ALL CLAIMS AND DO THEIR OWN DUE DILIGENCE BEFORE INVESTING IN ANY SECURITIES MENTIONED. INVESTING IN SECURITIES IS SPECULATIVE AND CARRIES A HIGH DEGREE OF RISK. THE INFORMATION FOUND IN THIS PROFILE IS PROTECTED BY THE COPYRIGHT LAWS OF THE UNITED STATES AND MAY NOT BE COPIED, OR REPRODUCED IN ANY WAY WITHOUT THE EXPRESSED, WRITTEN CONSENT OF THE EDITORS OF OTCjournal.com.

We encourage our readers to invest carefully and read the investor information available at the web sites of  the Securities and Exchange Commission ("SEC") at http://www.sec.gov and/or the National Association of Securities Dealers ("NASD") at http://www.nasd.com.   We also strongly recommend that you read the SEC advisory to investors concerning Internet Stock Fraud, which can be found at  http://www.sec.gov/consumer/cyberfr.htm.   Readers can review all public filings by companies at the SEC's EDGAR page. The NASD has published information on how to invest carefully at its web site.