In case you are wondering about the quote- TTGLE has now reverted back to TTGL- with one caveat- the stock has officially lost its bulletin board listing and has been relegated to the Pink Sheets- the land of non reporting companies.

There was no disclosure I am aware of from the company- you just had to figure it out. I hadn’t noticed until one of the OTC Journal faithful pointed it out.

You might wonder what this means. OTC BB companies are fully reporting, just like any DOW component, and have to live up to the same standards of reporting.

TTGL had three violations of tardy financial reporting. The rules state that if you file late three times, you lose your BB status, and go to the Pink Sheets for a period of one year. I believe that if you comply in a timely manner for a year, you can be reinstated.

Pink Sheet companies are not required to file financials. However, in the case of Titan, the company probably will choose to file, and regain its BB status in a year if they don’t screw up again.

I don’t believe it is going to have a major effect on the stock price today- however, if they start doing better, it probably won’t encourage new investors to find them in the Pinks.

The price quote now comes up on Yahoo! at TTLG.PK. TTGL pretty much every where else if you want to keep following it.

TTGLE is up big today on the heels of Friday’s triple header news releases, which for the most part bode well for shareholders.

If you have been following my suggestion of waiting for positive events to either fully or partially exit your position, today might be a good day to do so.

Big, spiky rises like today’s generally result in some sort of pullback or retraction before higher levels can be attained.

On the plus side, the technical picture could get interesting. If they have the cash, they just might buy back enough shares to make the stock extremely tight and volatile. If that becomes the case, it could trade with dramatic swings in either direction.

Here’s your chart:

Nice rebound for those who had patience. Will probably quiet down from here. Long term, still way to early to call. Their plan to move forward seems reasonable on paper.

More to learn in today’s conference call.

Comments and questions are welcome.

Beleaguered and beaten down TTGLE hit the wires with three news items Friday post close. This is the first positive news in some time, so it’s a welcome relief. I knew the company had to move in a positive direction sooner or later, so perhaps the stock will start behaving a bit better from here forward.

Here’s the rundown, one by one.

First, TTGLE disclosed it had filed a law suit alleging RICO violations against one former employee of the Oblio Telecom division and a number of distributors and retailers. Furthermore, there’s another component I find very interesting. Apparently, the TTGLE is also going after individuals who allegedly were behind: “a series of disparaging postings about Oblio Telecom and its prepaid phone cards were made on various stock based chat rooms. These postings led to adverse advisory reports by firms that have followed Titan.” In essence, the company is suggesting the Oblio Telecom division was a victim of fraud, but there could have been a well orchestrated scheme to benefit from the stock’s collapse as well. Hmmm. I can’t wait to see how this will turn out. From my point of view, it wasn’t the postings that led to negative commentary from me- it was the company’s own failings which finally came out in their Q1 numbers.

The second press release really laid out the company’s plans for the future. In a move I believe makes a lot of sense, TTGLE disclosed it plans to break into a number of different public companies. The telecom division and PCB manufacturing division will be spun out into separate pub cos. The energy division will remain with the parent. Possibilities are being explored for the Apparel company, and USA Detergents, a flawed acquisition which never operated, will be sold.

I can’t say for sure if the sum of the parts will become worth a lot more than the whole, but at least shareholders will have the opportunity to invest in clearly defined, single purposed companies as they choose.

Titan also disclosed it plans to apply for a NASDAQ listing for the remaining entity- the energy division which delivered $90 million in revs last quarter. This seems a bit of a stretch as TTGLE is still carrying the “E” because it has been delinquent in its filings three times- typically, this means the stock will more likely be relegated to the pink sheets for a period of one year- however, you never know what’s going to happen.

Press release number 3 disclosed Titan is resuming operations of its phone card division, with network services provided by former partner SmarTalk. I have no idea how much damage the interruption did to their brand, and no idea if the division will be profitable again from here forward. I believe we can assume they wouldn’t have reincarnated the division if they didn’t believe they could make money again.

So- what’s this all add up to? Well, for starters, it’s an indication the management is back in control with a plan to move forward. It suggests the stock is probably worth a lot more than where it is trading, but realizing that value could be some ways down the road.

I suspect the company could have difficulty maintaining its Bulletin Board listing as the late filings are definitely a problem. However, even if the stock were to drop to the pink sheets, it might not effect the price much at this point.

According to press release #2, CEO Bryan Chance will be holding an investors conference call tomorrow - February 19th, to discuss the reorganization plans.

At this point, the stock is probably more of a buy for high risk oriented investors. If you are interested, I strongly recommend you tune in to the conference call and formulate your own opinion. No details have been published yet on how to tune in.

Comments and questions on this ongoing soap opera are welcome.

Titan filed an 8k today that had more, slightly distressing news. However, as I wrote over the weekend, this bad news is probably already fully priced into the stock.

They gave more information about the massive write downs the company took in its Q1 numbers for impairment of business. It’s simply amazing to me how rapidly a company can sabotage its own success through blunders.

I don’t know exactly how it all happened, but apparently they have closed down the entire telecom division, and plan to reopen it at a point in the future.

According to the filing, they stopped paying the distributors. The filing does not make it clear as to why or what happened, but nevertheless, there you have it.

As a result, they took some major impairment charges- while these were non-cash, the fact is they don’t have a functioning telecom business at this time, and therefore have given up about $30 million in formerly quarterly profitable business. It must have been some mess, and continues to be one.

They allude to a restart of the business with a major telecom company providing the minutes- who knows where that is going. However, it seems like someone might want this business if there is still indeed any business to be had.

On a further distressing note, the 8K disclosed the company received notice it would be delisted from the Bulletin Board as they have now been delinquent in the financial filings 3 times in the past two years.

The haven’t lost their listing yet, and the stock is still trading with an “E” on the symbol. They are going to have a hearing to make an argument that they still deserve their listing. If they lose, it is down to the obscurity of the pink sheets. Makes their former boasts about a NASDAQ listing just one big joke. They are barely hanging on to their BB listing now. It probably won’t happen for a month or so.
Last piece of news- Titan also disclosed it is suing the formers owners and management for USA Detergent for fraud in their disclosures related to the company’s performance. When you’re the victim of fraud it can be tough. However, this is more evidence that this management team simply isn’t capable of understanding what they are buying. I don’t believe anything of these guys are going to be recruited away by Warren Buffet’s Berkshire Hathaway in the near future.

So, now the company is Appalachian Oil- huge revenues- no profits, and this new shoe manufacturer they recently bought in Southern Cal.

The market cap is still an anemic $30 million, so all this bad news is probably already priced into the stock.

Any kind of good news break should send the stock a bit higher. I’m standing by with my fingers crossed. If you are a believer in buying when there’s blood running down the streets and no one wants to participate, this situation is tailor made for you.

I still believe it is a hold for now, pending more disclosure.

Well, the delinquent numbers have finally come out, and there are a couple of nasty surprises in the disclosure. I will need some time to digest the whole thing, but here’s my initial reaction.

The company delivered $122 million in revs and reported a loss of $24.4 million. However, they took non cash write downs totalling $25.5 million in their Communications and Global Brands Divisions- meaning, their cash flow really wasn’t too bad.

Here’s the big negatives in my mind. First of all, TTGL clearly has problems in the Oblio Telecom division, which was the acquisition and turn around story that got the company headed in the right direction in the first place. In today’s press release, they admit their internal switching facility, which was supposed to decrease costs and increase margins, has been a complete failure. Hence, the reports of card failures in December and contentious relationships with distributors. They claim they will evolve back to a straight marketing company without the hardware or network, which doesn’t give investor a warm and fuzzy feeling about the management team.

Secondly- USA Detergents seems to be problematic as well. Apparently, the bought a very distressed company, and have decided the proper direction to go would be to shut down the operations and outsource the manufacturing. Therefore, all they bought was the label itself, and this division is contributing nothing but losses.

The Energy division is chugging along adequately, albeit no barn burner in the profit department- perhaps there is some substantial upside here.

I’m not surprised the stock is not selling off today. They will probably lose the dreaded “E” on the symbol tomorrow, and move back to the normal listing.

I’m also not surprised they needed the extension to get these financials filed- I’m sure there was major debate on how to book the writedowns for the various divisions. It looks to me like the accountants chose the most aggressive direction on writing down the value of the assets.

So- where to from here? I’m pretty sure all this bad news is already priced into the stock. A couple things need to happen- first and foremost- the management needs to hold an open ended conference call with a complete question and answer period open to anybody and talk about all the issues facing the company.

Simply looking at the hard numbers, the company is trading today at about a $45 million market value on $122 million in revs (nearly $1/2 billion annually), and they didn’t lose much hard cash. The energy division is probably worth more than where the stock is trading on a stand alone basis.

However, they recently bought another division- the shoe manufacturer. If the integration of this division go as smoothly as the past ones have gone, one can expect the roller coaster ride to continue.

I suspect there is some upside in the stock from here. Something good is bound to start to come out and turn the tide. However, this is no Berkshire Hathaway mini clone. Right now, its a stumbling, bumbling, de “worsified” company that needs to get back on track. Their turn around initiatives don’t seem to suggest the management is very skilled.

Bottom line- I wouldn’t be a seller right now- it’s all priced in already. On a rebound we can start looking at options and consider the future. By then, we will have more information.

In case you haven’t figured it out, Titan Global no longer trades under the symbol “TTGL”- it now trades under the symbol “TTGLE”, which signifies the company has filed to file its quarterly financial results in a timely manner, and has had to file for a formal extension.

TTGL, despite boasting it will deliver $735 million and $15 million in net profits in fiscal ‘08, is behaving as if there is nothing but problems at the Berskshire Hathaway wanna be.

The OTC Journal family has delivered information suggesting their Oblio Telecom division has had problems delivering it’s prepaid minutes to card holders, and there are serious undisclosed problems therein.

In addition, others have suggested the USA Detergent division is closed down for some sort of restructuring- details of which have also not been disclosed.

Here’s my message to management: Disclosure, Disclosure, Disclosure, and for good measure- Disclosure. Perhaps there are some short term challenges- perhaps not.

Either way, the “Not Knowing What’s Going On” is far more damaging to the stock price than disclosing exactly what is going on and how the company is choosing to deal with it.

As if this is not bad enough, now the company is unable to file its Q1 financial statement on time, and has received the dreaded “E” on its symbol- not such a bad thing, but clearly not a good thing.

Next week the company will have to get its quarterly numbers filed and get some disclosure out. I’m pretty sure the market has priced in a worst case scenario, so there’s probably a lot of upside here, but I want to wait for the numbers and associated conference call before forming any opinion. They had better do an open forum conference call- time to start telling investors what the hell is going on.

Hopefully, not another CPNE, but a hiccup on the road to success. We’ll see. It had better be next week.

If TTGL were the DOW, it would be trading at about the 7500 level, and the financial world as we know it would have come to an end. It would be 1929 all over again.

I have seen many stocks trade down to horrifically low levels in tough markets. Sometimes it’s a great buying opportunity. Sometimes it’s a precursor to a problem at the company.

I don’t know which it is in this case, and it’s too early to call. Drawing back on experience- there were some great buying opportunities in market driven pullbacks last August as micros and many large caps provided great entry levels.

Then, there’s the experience on the other side. CPNE comes to mind. That stock was $3 in 2007 when it started to free fall in February. It wasn’t until June when the company really disclosed the dramatic nature of the downturn in their business. The stock is now at $.30, but I didn’t suggest getting out until the stock was at $.70. I was late, and made the mistake of waiting for the disclosure rather than taking my cue from the market.

This bloodbath in TTGL is particularly distressing due to the robust nature of their financial results. After all, in fiscal ‘07, they did deliver $9 million in positive cash flow.

Here are my thoughts for today. Q1 numbers are due out by Jan 15. That’s only a week away. No doubt, there will be a follow up conference call.

This will be the first quarter that includes results from Appalachian Oil and US Detergent, which should add quite dramatically to the top line. I don’t know about the bottom line or the cash flow.

If the fundamentals are still strong, it’s time to batten down the hatches and just hang on through these rough waters.

If there is a crack of some sort which suggests there is trouble ahead, let’s let it be someone else’s problem, get out of this idea, and move on on some sort of bounce back. There will be better ideas ahead.

I hate to walk away from a beautiful buying opportunity, but sometimes you just have to cut out the cancer and move on. In this case and in this market, I would rather give up a $.30 move to the upside rather than put good money after bad.

If you are underwater on this one, remember my published SSL was $1.73, so by definition you have decided to become a long term investor. If the numbers are good, you should be looking to add to your position and waiting out the market.

Here’s the chart, and as you can see, this stock has eclipsed all levels of support, and basically delivered a round trip to my original entry level of $.85 back in October of ‘06.

The company has offered up no explanation for this butchering. It would help if we knew some fund exercised a bunch of warrants and was hammering the stock. Then, I could get behind it.

Bottom line: Hold your nose, hang on for now, and wait for the next earnings release. Perhaps we will be passing up a huge opportunity to jump on a really cheap stock, but I don’t want to put good money after bad until all the facts come out. I don’t want us to go through another CPNE type event.

Comments and questions are welcome.

Titan has simply been atrocious in the past six trading days, absolutely falling off a cliff with seemingly no bottom in site. What the heck is going on here?- like you, I am concerned with the free fall. This thing is really bothering me.

I hope you are reading all of the commentary- not just some of it. Now is a good time to draw your attention to my warning that these kinds of things would happen in this nasty market environment.

I refer back to the November 10th edition, entitled “WOW”. This was a huge down day in the markets:the turning point which kicked off the sub-prime meltdown.

In that edition I talked about the importance of sticking with your SSLs (suggested stop loss) in a down market depending on your personal preference. To me, it is simple. If you hold the stock below either my SSL or your own personal SSL, you have decided to become a Warren Buffet like long term investor.

In conjunction with that edition, I updated all the SSLs at www.otcjournal.com, and set the SSL for TTGL at $1.73. Today, TTGL closed at $1.18- far below the SSL.

If you really are a long term investor, this should not concern you. You should only be concerned with fundamentals. If you are not long term and worried about the drop, you should have been out. If you got out, you should be looking to get back in.

I believe the problem here is simple- TTGL is evolving from a small following of retail investors to an institutional story, and the company has not been effective, or not tried to be effective at getting its message out to an institutional audience.

This down market has led to selling pressure and a vacuum of buying- now I believe the stock is being knocked down by tax selling. The real problem- no buyers.

Here’s a fact- this company made $9 million in positive cash flow last fiscal year- earnings are just an accountant’s opinion; cash flow is a fact.

Here’s another fact- this company should deliver over $700 million in revs this fiscal year, and it is trading at a market value of $64 million- ouch!!!!!!

Let’s look at a longer term chart, and you’ll see my reason for concern:

This chart tracks the stock on a weekly basis since the company embarked on its ambitious growth path. As you can see, it’s hasn’t been straight up the whole way.

After delivering splendid price appreciating in 2006, the stock took a breather in the first half of ‘07 before making its next leg up. Throughout that entire time, there was never a sell off as vicious as this one.

On the other side, the left leg up was steeper than the past rise, so there could be an equal but opposite reaction.

I don’t believe we have another CPNE here (if you followed that one) as this company has a much solider business model and adds real value to its customers. This one is not a house of cards.

In light of the new volatility, this could prove to be a great January effect stock as soon as the tax selling abates.

There’s another possibility that is unique to TTGL. Those of you who have really dug into the details know this company’s financial statement continues to be plagued by ghosts of past loan sharks. There are warrants. Some of these funds are under very heavy pressure these days, and there could be a renegade former financier with a need for “cash at any cost”. Just a thought. Their weakness could be our opportunity.

My initial thought- don’t touch this stock now. Wait for the selling to be over. Then, buy this stock towards the end of next week after all the tax sellers have finished doing their damage if it stabilizes. This one could rebound beautifully after we get past next week. Just a guess, but I wouldn’t be surprised to see them announce a restart of their stock buy back program.

Comments and questions are welcome.

Attention investors who like to make profits. TTGL is ready to go- I can smell it. It maybe next week, or it may be next month, but the action in the stock suggests to me it is close to another big leg up.

Let’s start with the chart, and go from there.

This is a weekly chart- each bar represents a whole week, rather than an individual day, and it goes back to when I first featured the company at $.85.

The January to July time frame frustrated investors as the stock just couldn’t get through that $1.40 mark. There was a toxic seller, and the market was not robust enough to eat through the supply. Once it was finally accomplished, the stock scampered up the chart nicely.

We are experiencing a similar consolidation phase now, but I believe it will be much shorter- why? volume. Look at that huge volume bar this past week. In fact, TTGL traded 1.2 million shares on Thursday after the company issued its guidance. This is by far the highest volume day in over 2 years, and the highest dollar volume day in this stock’s entire history. It was huge. The will break out will happen much faster because the volume is much higher.
Friday, TTGL finally announced it will be spinning out the money losing PCB division one of two ways- either way a big benefit to shareholders.

Some investors might have been disappointed that the stock did not trade higher this past week, but I see it the opposite way. Whoever offloaded a pretty big piece of stock gave you an opportunity to continue to accumulate before it makes its next big move. This might be some left over stock from past toxic indiscretions, but we are rapidly nearing the end game of this company’s past financing faux pas, and moving to a much higher level shareholder base.

I strongly recommend the continued accumulation of TTGL with an eye on another double. Could take six months to a year, but worth waiting for. Fundamentals suggest a far higher valuation.

Comments and questions are welcome.

The market tanked the second half of last week, and TTGL, which has really run up the charts of late, is finally giving some ground.

Big, spiky runs- my favorite time to sell hot stocks. Pullbacks when the market sells off- or long periods of quiet trading- my favorite time to buy.

So, if you’re becoming a believer in TTGL’s forecast of 3/4 of a billion in sales next fiscal year, and believe the stock has a lot more upside at about a $100 million market cap, you should be looking at where to jump in now that the market is tanking and the stock is giving a bit of ground.

Here’s the chart:

As you can see, the stock really streaked from about the $1.50 level to $2.20- it only took six trading days. The acquisition binge of relatively large companies, along with TTGL’s demonstration of belief in itself buy buying and retiring 1 million shares out of the open market, has investors piling in.

So, if you aren’t on board and want to be, is it smart to just jump in now? You never know- this stock could just keep charging up the charts. However, big spiky rises generally give way to pullbacks, and that’s the time to grab the stock.

This chart tells me $1.94 is a good place to jump in, and $1.78 would be a great place. I not prepared to discuss where it might go from here as I don’t have enough facts at this time, but higher seems to be a pretty good bet.

Comments and questions are welcome.

TTGL has to be characterized as the big surprise of the summer. This stock struggled January through March when the market was hot- making several attempts to push to new highs. Every advance was met with a rash of selling, and volume was not consistent enough to overcome the bad guys and let the stock break out. Very frustrating when you consider the corporate performance.

We are now embroiled in a miserable August with a liquidity crises causing a melt down in the markets, and TTGL is now breaking to new highs. Go figure.

In fact, TTGL managed to print at $1.50 in the early going today, a full one cent higher than the former $1.49 high the stock made on March 8th.

So, here’s my limited knowledge of what’s happening. TTGL experienced a lot of success with the acquisition and subsequent turn around of Oblio Telecom. Despite being the third largest phone card company in the US, Oblio struggled with profits until Titan took them on and turned them in the right direction by lowering costs and recovering excise taxes. Oblio is now a cash generating machine, and TTGL’s hard money lender apparently loves their performance.

It seems the plan to divest themselves of the unprofitable PCB division as previously announced has been sidelined, and TTGL has gone on an LBO (leveraged buy out) buying binge.

In July, TTGL formed Titan Energy Group, and entered into an agreement to buy Appalachian Oil Co, with a top line of over $400 million. TTGL also has formally hinted in a big way it will be getting into the Biofuels market.

Earlier this week, TTGL announced it has entered into a definitive agreement to purchase USA Detergents, a household products company with an undisclosed top line. While this move may seem a bit out of left field, there is synergy between the Titan’s Oblio Telecom and USA Detergents. Remember, Oblio’s phone cards are distributed through 65,000 retail locations in over 200 countries. That’s a hell of a distribution network for other retail products.

In addition to this mega buying binge, Titan also announced a 4 million share buy back program, of which they had bought back about 1/2 million shares when the stock was closer to $1.

Greystone Business Capital will be financing TTGL’s buying spree. So far, Greystone has been a straight debt holder to TTGL- no equity component. Terms of the financings have not been announced, so it’s too early to evaluate if there are any levels of toxicity.

There is a lending liquidity crises on Wall Street right now, so it’s legitimate to wonder if Greystone will be able to meet the commitments required to close these transactions. Time will tell- but nevertheless a legitimate concern. It would appear Greystone, who was one of the key lenders on the Oblio acquistion, likes what TTGL’s management has been able to achieve. Here’s the chart:

I drew in a couple of lines. 1- the previous all time OTC Journal high since we launched coverage at $.85. We’re closing in on a double on this one in well under one year, and as you can see we just blipped to a new all time high. 2. The current very steep uptrend line, which is doing almost exactly the opposite of what the market is doing. Very impressive. Perhaps a little sideways trading will be in the cards.

When it’s all said and done and if TTGL closes both of these deals, the top line of combined companies could be challenging the $1 billion mark. I have absolutely no way of quantifying what this could mean in EPS somewhere down the road. However, I suspect it will take some time for that smoke to clear.

In the meantime, TTGL has become my new favorite stock out of nowhere. Like the guy who comes up from AAA to hit .340 and ten homers, a welcome addition to the starting line up while other former starters go to the injured reserve list.

Comments and questions are welcome.

I don’t know if you’ve been watching Titan Global (OTCBB: TTGL) over the last couple of weeks or not, but I really hope the market’s big tumble and possible rebound haven’t been too distracting. Why? The stock has broken past a ceiling, and I have to wonder if this isn’t the beginning of brighter days.

The catalyst was the Appco acquisition - a major coup for the company in that it not only put them into the energy business, but Appco is doing about four times the sales volume Titan did last year ($400 million versus about $100 million). Shares closed up by 12% the day after the news came out, and have kept right on trucking. They reached a high of $1.38 on Thursday and Friday.

The ensuing technicals just look good to me. That resistance line was broken, and we got some key crossovers in the moving averages (though they’re not shown here). Volume’s been good too.

I have to say I’m now really pleased with TTGL overall. A little over two weeks ago this chart just looked dead in the water. But, as I’ve said just too may times now, the time to own ‘em is when nobody else is thinking about ‘em. Titan’s taking care of business at the corporate level, and the stock has finally started to reflect that.

What I’m really licking my chops over, though, is the size of the move the last time TTGL got rolling in May of last year - it was ultimately a quadrupler.

I think the line in the sand is $1.40, where we peaked three times over the span of four months earlier in the year. We actually got as high as $1.49 in March, but I don’t believe that barrier is quite as meaningful. If resistance at $1.40 is passed, I believe this one could sprout wings.

Titan Global delivered Q3 numbers today, and they were off the charts. According to their press release, the company delivered $5.7 million in profits on $30 million in revenues. It was $.11 per share in earnings.

The stock should be $4 - right? not rocketing up the charts. Drilling down, the numbers are still quite good and suggest a market cap value far in excess of the roughly $50 million this one has.

However- look a little closer. Of the $5.6 million in profits they generated, $4.1 million was related to forgiveness of debt from a derivative. A one time, funny money accounting deal. Off operations, they really only made a profit of about $1.5 million. More like about $.03 or $.04 per share in earnings.

So, if you’re wondering why the stock is not charging out of the gates on this news, there’s your answer.

I am pressed for time this AM, so don’t have time to make a charge and comment on the technical side.

However, with the balance sheet improvements, these gyrations will eventually stabilize and this will be a very profitable company and continues to be undervalued. Technically, perhaps not a break out yet, but a great medium to long term hold for a big move later in the year.

TTGL has been under a bit of pressure of late. I don’t know why. My suspicions are all related to the lousy financings the company engaged in when it was just getting rolling in the telecom space. Shareholders are still paying the price for the company’s weak capital structure on the financing side, despite having cleaned up about 75% of the problem.

My SSL on this one is $1.04, so it is now crunch time. It is time to decide if you want to hang in there, or take your small loss and/or small gain and move on.

Certainly, from a fundamental point of view, the company is worth considerably more than today’s level. But, that does not put the stock there.

I believe $1.40 is far more problematic than today’s swoon to $1. Why? Because that is the level the stock simply cannot break through despite numerous attempts, and investors are losing patience.

Right now, this is a good company, but a lousy stock. Let’s look at the chart:

This chart goes back to the OTC Journal’s first edition on the company- the stock was about $.80 at the time.

Since that time, the company has done nothing but deliver good news. Increasing revenues, turning profitable, etc. Despite turning profitable and likely delivering about $150 million in revs this year, the stock continues to trade at the anemic market value of about $55 million. Pathetic.

For some reason, we are in a low volume environment for microcaps right now, and the stock could not hold up under the pressure of whoever wanted to get out. Probably one of the two agressive funds who are in this deal. (Specifically Cornell and Laurus).

From here, the stock will probably bounce, and if you want to get out, you can probably do so in the $1.10 to $1.20 range in the next few days.

Today’s red bar on the chart is just plain ugly, and there are a couple of ways to look at it. You could decide the stock is a mess technically, get out, and wait for it to behave better. Or, you could figure the seller is now out of their position and the next time it gets some legs it could break out through that $1.40 level with less resistance.

Longer term- here’s what the company needs to do. Collect this money promised from the excise tax rebates from AT&T, Sprint, and the like. Use the money to buy out the toxic debt, and clean up the capital structure. This stock will then have a shot at getting fully valued. ($4 range)

If you like the idea, the trick will be to buy it on days when it swoons; like today. Sell it or sell part of it when it surges.

I would be more inclined to be a buyer vs a seller today. Today’s action reeks of capitulation. Someone who wanted out is hopefully gone.  A bounce is probably in the cards. However, I wouldn’t blame you if you decided this one is not for you.

The last week has been difficult for small stocks as the correction was violent and swift. Now, everyone is panting in the aftermath, wondering if this is indeed a correction in an ongoing bull market- and therefore a buying opportunity- or the beginning of a bear market.

Those who read last weekend’s edition know I am fully in the Bull Camp.

I don’t know why, or if there is any particular reason- but TTGL is enjoying a little stealth rally today.

It’s not so much that the stock is up on reasonably light volume- it’s more about the technical barrier the stock has broken that makes today significant.

Here’s the chart:

I have been writing about the $1.40 ceiling on this stock. It has now butted up against this level three times in 2007, but could never make it above.

Today, the stock has finally pierced the $1.40 line, and is now trading at a new multi year high and a new post OTC Journal coverage all time high.

I would like to see the stock close above the $1.40 mark today to really seal the deal. So- what does this mean to the stock?

It doesn’t mean the stock will never trade below the $1.40 mark again. It simply means the stock should trade through that previous resistance level quite easily next time it surges on volume.

This is a very good sign technically. I am encouraged now that we could see much higher levels once we do get a sustainable rally. This could be a precusor to the stock trading into the $1.80 to $2 range.

Comments and questions are welcome.

Titan is trading a little weaker post earnings report today, and this is not unusual behavior for a stock that ran up out in front of the event.

As I stated in last night’s edition, I wasn’t sure whether the stock would keep powering up, or pullback a little on the release. Despite being cash flow positive to the tune of perhaps as high at $.05 per share, the company did report a loss, and investors don’t know how to drill down into the data and get a feel for the true financial health of the company.

I believe next quarter is going to show marked improvement as some of the non-cash baggage in this release is going away.

I still believe this one has a legitimate shot at $3 to $4. Here’s the current chart:

If the stock is going to continue correcting, $1.09 is the perfect level to buy. Note the DiNapoli 3×3 moving average and the 61.8% retracement nearly coincide at that level.

Any streaking stock is entitled to pull back a bit. I suggest setting your stop loss at $1.05, and jumping in with both feet if it pulls back to about $1.10.

In the interim, more news could just turn it around.

Comments and questions are welcome.

If you believe good numbers eventually get reflected in stock prices, Titan Global could be the best idea of 2007.

TTGL is starting to deliver exactly what they promised, and Q1 numbers are due out in about one week. I strongly recommend you own some of this stock before the numbers hit. Their Q1 will reflect the company’s performance Sept to November of ‘06.

Yesterday, just prior to the open, TTGL announced it had complete the afore promised refinancing of its debt with a more traditional and less expensive financier. The refinance will improve the company’s annual cash flow by $3.5 million, and allow TTGL to retire 1.25 million shares and 3.5 million warrants.
We would all do well to remember TTGL believes it can achieve $145 million in revenues in fiscal ‘07, up from $109 million in fiscal ‘06.

The company also expects to deliver $18.5 million in EBITDA profits. Taking the conservative road, let’s say they deliver $10 million net. TTGL has 48 million shares I&O. This could equate to $.20 per share in earnings- a $2 to $4 stock hands down.

Here’s the current chart:

What jumps off this chart to me is the 2 month consolidation in the $.90 to $1 range. I first covered this one at $.84, so we are experiencing a little profit over the first two months.

However, based on expected numbers, this stock is still absurdly undervalued, and has a lot of upside.

Just like we saw with CPNE today, after a period of consolidation a break out is due if the company is moving in the right direction. This one is ready to break out with the next volume surge.

You have about one week before Q1 numbers are released, and I strongly recommend establishing a position before the next earnings release. It could be far better than the market realizes.
Comments and questions are welcome.