I know many of you have asking for an update on GEPT. I have spent the last few days trying to figure out why the stock has traded so poorly of late. I don’t have to try based on today’s action. In case you’re wondering, the company announced that the Reno airport has agreed to buy their video surveillance system. It’s the first fomal sale of this product announced by GEPT.
Based on what happened today one thing is clear. The future of this stock is based 100% on the company’s ability to sell video surveillance systems in the security market- especially airport security.
When the Astrophysics deal fell apart I was very disppointed- after all that would have been cargo scanning security- a wide open field.
The market is telling us loud and clear where the future of this stock lies. If they can combine video surveillance with facial recognition software, this stock will trade extremely well.
Here’s a chart with the OTC Journal’s trading history on this stock. As you can see, I have really hit it right twice. I missed the buy entry level on the third try, but the stock is making up for lost ground quickly. With today’s action, it has returned to a break even.
If history repeats itself, the stock will trade very well for another few days, then start descending again. I would be more inclined be a seller than a buyer right now.
When the stock starts to descend I will try to pick a good technical entry level where we can sit and wait for the next explosive move.
I’ve been eyeballing this stock for the last few weeks and think that the positive devlopments and drop in stock price is an opportunity. However, given the amature that I am I thought to ask your opinion on the matter.
Editor: I hadn’t looked at this one in a while. I looked at the chart, and I think you may have a great idea here. The stock is sitting on a perfect 61.8% retracement of its last big move. A break above $3.40 would be bullish. The volume has dried up to nothing. If you buy it now, you are betting an event will come along that will bring big volume to the stock. It has happened plenty of times in the past. They need an announcement about video surveillance and facial recognition technology for crowds, like the one at the Reno Airport. That always puts a major charge in the stock. Very sound idea. I might buy some myself. Good luck with it. If you buy the stock, set your stop at about $3.
Aside from the voice recognition prospect, I think GEPT is the leader in providing cockpit monitoring and surveillance systems (called CDSS). I read that they had captured over 80% market share for the German cockpit monitoring system mandate. Several countries already use the system and others may soon require the same type system. In fact, the FAA in the US is scheduled this year to set a mandate for all commercial airliners in the us to be equipped with this system. As a leader in this market GEPT would greatly benefit. Can you confirm this and determine if this stock in more undervalued than I once thought. Thanks
Editor: The market doesn’t seem to care all that much about the cockpit monitoring surveillance systems. The market for this stock goes crazy when they announce business in video surveillance crowd monitoring combined with facial recognition software. Check out the way the stock traded when they announced the pilot project at the Reno airport. I don’t know the company well enough to confirm your facts, but the stock looks technically very attractive to me. Buy and wait for the next volume surge. Keep a tight stop.
Congratulations! You’ve picked another big winner!!
Editor: I haven’t covered this company in months. If you’re still in it, start taking personal responsibility. You are going to have losers in microcaps, and if you can’t take it or have the sense to get rid of your losers this end of the market is not for you.Â