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earlier version some of you may have received. Please disregard the first
version.
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Trading Alert-
NuTech Digital (OTC BB: NTDL) |
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I often make the claim that OTC
Journal members have a competitive information advantage when it comes
to evaluating the microcap ideas we deliver. I make a serious effort to
provide information and perspectives designed to put you ahead of the crowd.
If information is power, today's
edition has 500 horsepower. Today's edition provides an exclusive first
look for OTC Journal members at technology which has the potential
to revolutionize the way video (in this case movies) are delivered over
the internet.
DRM (Digital Rights Management)
issues are on the front burner for the entertainment industry. The industry
must move forward with initiatives to curtail the massive problem of digital
piracy. The market for technology solutions is still wide open.
Today you will have an exclusive
first look at new technology which will allow users to flawlessly view
a movie over the internet. Unlike your TV where every unit has the same
receiver, computers have much different hardware, software, and bandwidth,
making it more difficult to deliver the same experience to every participant.
If you have a reasonably current
version of Windows, the most current version of Windows Media Player (9.0),
and a broadband connection, you should be able to experience the best video
content delivery on the internet today. If anyone knows of any better platform,
I would like to hear about it.
The Digital Rights Management
industry is in its infancy, and offers substantial growth opportunities.
Because I feel so strongly about this arena, the research staff at the
OTC
Journal has written an Industry Trade Report covering the entire
subject. It will be released to the general public tomorrow morning. If
you have an interest in reading it, simply Click
Here, or go to the right hand menu bar at our home page at www.otcjournal.com.
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NuTech
Digital (OTC BB: NTDL) - An Exclusive First Look At Revolutionary Technology |
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The first edition on NuTech Digital
(January
24th) yielded an exciting short term result. The stock closed at $.73
on the 23rd (Friday), opened at $.97 on the 26th (Monday), and made
a run to $1.50 the very same day. The stock cooperated by trading
below $1 for the first hour, which was the maximum recommended entry point.
I know from emails I received that many members enjoyed a nice short term
profit and traded out. Today it's deja vu all over again.
NuTech delivered $.05 per
share in earnings over the first three quarters of 2003. When year end
results are reported (which should be any day now), the company will probably
deliver about $.07 per share in earnings for 2003. These trailing earnings
significantly mitigate your downside risk as a shareholder.
The initial edition featured NuTech's
announcement that the company had perfected a new Digital Rights Management
technology for viewing movies over the internet. Prior to publishing on
the company, I was given the opportunity to experience the DRM technology
myself. It was by far the best movie viewing experience I could find on
the internet.
As promised in the January 24th edition,
I have arranged with the company for OTC Journal members to get
an exclusive first look at the platform. Experience it for yourself, and
decide if you agree this technology has massive commercial potential. As
I mentioned above, you need a reasonably current version of Windows, Windows
Media Player 9.0 (if you don't have it, you will be prompted to download
it), and a broadband internet connection. It will not work in Netscape.
Click
Here to Experience NuTech's Digital Rights Management
Technology
or go to the following URL:
http://demo.nutechdigital.tv/
When you click on the link, a window
will pop open with a list of movie trailers you can view. Simply click
on the "View Trailer" link, then provide your email address when prompted
by the directions. Once you click the play button, you should be able to
view the trailer. Scroll down for the full screen version. Any bugs will
be worked out over time. I hope it works for everyone.
Send your feedback to editor@otcjournal.com.
Both myself and NuTech need your help to perfect the technology.
Your comments on your experience will be forwarded to management.
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Where
To From Here? |
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Now that you have had the chance
to experience the NuTech DRM Platform, you are probably wondering
where the company goes with the technology from here.
NuTech plans to become the
MTV
of the internet. The company is kicking off a concert series.
NuTech
will be recording Hi definiton videos of the current concert tours of the
hottest artists, and allowing users to view the live concert video on their
computer for a nominal fee. The video experience will be delivered on the
platform you viewed today in our exclusive first look.
Just after the market closed today,
NuTech announced they would be releasing a high definition concert
video with prominent Hip Hop artist 'Ol Dirty Bastard. According
to the press release, the one hour concert was taped live last night at
the legendary Toad’s Place in New Haven, Connecticut, a venue noted for
the historical appearances of such famous artists as the Rolling Stones
and Bruce Springsteen.
I anticipate this to be the first
in a series of agreements the company embarks on with high profile artists.
A series of announcements might drive significant interest into the stock.
As you can see from chart, the stock
has not been willing to hold higher ground. After the initial surge, shares
of NTDL succumbed to supply. No doubt there was pent up demand to
liquidate, as the stock never really traded any volume prior to being exposed
by the OTC Journal.
The selling pressure seems to have
abated. The stock recently made a momentary low of $.82, and has now rebounded
and begun climbing. Today's closing price was $.90.
For you PE guys, the stock is now
trading at about 13 times 2003 earnings, 50% below the average for the
S&P. The company has announced 30% sales growth throughout 2004. The
online video concert series along with their revolutionary new DRM video
platform provides a vehicle for rapid expansion. Potential licensing of
the technology to the movie industry is the upside wild card.
In yesterday's edition I had NTDL
in the "in between" category. I can't call it a winner despite the success
with the first edition, because the stock hasn't consistently made new
highs for an extended period of time. Today's events might be the catalyst
which allows me to upgrade NTDL to the winner category.
Accumulate all you can around
the $1 level. This idea is fairly low risk in an otherwise very risky
microcap world as long as they continue to deliver earnings, and the upside
it immeasurable. More concert signings will no doubt bring more exposure
to the company.
Here is the complete text of today's
news release for your review:
| Press Release Source:
NuTech Digital, Inc.
NuTech Digital and
Ol' Dirty Bastard Announce Major Concert Release
Wednesday March 17, 4:00
pm ET
Summer Release Recorded Live in
High Definition Production
LOS ANGELES--(BUSINESS
WIRE)--March 17, 2004--NuTech Digital, Inc. (OTCBB:NTDL - News), a leader
in Digital Rights Management (DRM) technology for the secure Internet distribution
of entertainment content, announced today an agreement for the release
of a high definition concert with Ol' Dirty Bastard, a prominent Hip Hop
artist. The agreement, entered into with Juggernaut Media LLC, provides
NuTech Digital the worldwide rights in all media, including DVD, Television
and ancillary markets.
The one hour concert
was taped lived last night at the legendary Toad's Place in New Haven,
Connecticut, a venue noted for the historical appearances of such famous
artists as the Rolling Stones and Bruce Springsteen. The production is
particularly notable in that a ten camera high definition system was used
to capture the event, scheduled for a summer '04 release.
"As we have noted in
previous releases, it is our opinion the contemporary music market is rife
with high profit opportunities -- and NuTech is committed to fully exploiting
those opportunities," stated Lee Kasper, Chairman and CEO for NuTech. "With
the timeliness and demonstrated commerciality of this type of content,
coupled to the competitive edge NuTech enjoys with its Digital Right's
Management technology, we are excited about our future."
About Ol' Dirty Bastard
Ol' Dirty Bastard, Russell
Tyrone Jones, is a founding member of Staten Island's highly influential
Wu-Tang Clan crew. His first solo album, Return to the 36 Chambers, featured
such tracks as "Brooklyn Zoo", "Cuttin' Headz" and "Snakes" and featured
the familiar beats of the Wu-Tang Clan's producer, RZA. He has contributed
to other Wu-Tang Clan projects including Pras' 1998 international hit single,
"Ghetto Supastar (That Is What You Are)". In September 1999 he released
"N***a Please." In 2003 he signed a new recording contract with Roc-A-Fella,
a prominent Hip Hop label.
About NuTech Digital
NuTech Digital is a pioneer
in the home entertainment product market, offering original and licensed
content via a worldwide network of distributors, retailers and Internet
entities. The Company enjoys significant competitive advantage with the
recent announcement of its proprietary DRM technology, which enables the
secure distribution of high-resolution digital content via the Internet.
NuTech's DRM platform allows its feature films, concerts, children's animated
films, video games, karaoke software, Japanese animation and late night
programming to be accessed via secure downloads, rented through pre-delivered
DVDs, and included in online subscription services. The Company also facilitates
authoring services to content providers in the entertainment industry.
Cautionary Statement
This press release contains
forward-looking statements that involve risks, uncertainties and assumptions
that if they never materialize or prove incorrect, could cause NuTech Digital,
Inc.'s results to differ materially from those expressed or implied by
such forward-looking statements. All statements other than statements of
historical fact are statements that could be deemed forward-looking statements,
including any projections of earnings, revenue, or other financial items,
any statements of the plans, strategies, and objectives of management for
future operations, any statements concerning proposed new products, services
or developments, any statements regarding future economic conditions or
performance, statements of belief and any statements of assumptions underlying
any of the foregoing. These statements are based on expectations as of
the date of this press release. Actual results may differ materially from
those projected because of a number of risks and uncertainties, including
those detailed from time to time in NuTech Digital, Inc.'s reports filed
with the Securities and Exchange Commission.
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Contact:
NuTech Digital, Inc.
Joe Giarmo, 818-994-3831, Ext. 18
joe@nutechdvd.com
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Source: NuTech Digital,
Inc. |
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