Now that the cat is out of the bag on Pur Effect, EFSF is wasting no time getting to work on going head to head with the virtually unchallenged leader in the specialized acne treatment world.
Today, just after the market opened, EFSF announced it had completed a study showing 94% of participants preferred Pur Effect’s 4 step treatment over a standard 3 step treatment.
While it doesn’t say so for competitive reasons, this is really a frontal assault on the strangle hold ProActive has on the Acne treatment market.
Personally, I believe the company is making all the right moves on this one. Unlike Cinnergen, where they are at the mercy of the retailers in terms of product placement, they are completely in control of their destiny with Pur Effect with its planned infomercial marketing.
Moreover, they have teamed up with some pros who have a long history of successful product launches via infomercial, generating hundreds of millions in sales.
And- even better- they don’t have to take one dime of risk. CK41 will put up all the money for the marketing campaign, and they will just split the profits.
Bottom line- I really like what’s happening here. Here’s the chart:
In short, the chart looks great. You can see the summer low, and you can see the nice uptrend in the stock. I feel the downside risk at this point in somewhere in the $.28 to $.32 range. The upside is a new all time high sometime later this year. In short, just buy this thing whenever it’s near the blue line. If it trades below $.28, you might want to sell to protect your principal, but I believe the summer low has been made.