Last year’s two N’s- the two big disasters, are both rocking on the corporate side this year. The two N’s to which I allude, Network and NeWave, are both gaining momentum. Unfortunately, for shareholders who own these stocks in the $1 to $2 range, it’s too little too late. However, I believe there is plenty of money to be made in both of these stocks from current levels.
On Friday NWKI was out with news before the open, and the stock moved up 22% in response to the event. The company landed a $3 million contract to rebuild the network and rewire the Station Casino in Henderson, NV.
There are many more multi million contracts just like this out there in the market place, and the new management at NWKI appears positioned to get more than their fair share. When telecom stocks come back, look for a major move in this guy.
Here’s a chart of NWKI in 2006. I circled both the low points. Note- the lows are getting higher. I would also like to see the highs getting higher. As such, a move above the horizontal line at $.65 would be just the ticket.
The key to accumulating this stock is to wait for the next low circle point. If you do that, you have to wait for the next major event to surge back up, which could require some patience. However, that is the best way to accumulate the stock. I anticipate further growth. The new contract should put them somewhere in the $13 million range in annual revenues.
Comments and questions are welcome.
This is a really bad stock to own. There is clearly a major excess supply of stock, so any news gets met with ample supply of stock. Can you say Duchess? Nothing they are involved in will do well, IMO.
Editor: Really? They funded HDY, and according to the other people on that BLOG, HDYis doing great. NWKI just needs more volume. There is a lot going on there people don’t understand. However, if you aren’t long term, that is probably one to avoid right now.
I have been long with this one around .65 basis. The stock is looking attractive at this price mid forties. What is your analysis of this as a good entry point?
Editor: I believe the stock is a great buy up to $.50- I also believe the company is going to turn profitable before year’s end on their current path and be viewed more as a technology company than an installation and networking company. That should give it a higher multiple down the road.
this stock is going nowhere. Duchess will continue to put a block on the share price for years to come. It’s unfortunate but accurate. They are relentless and they are selling as low as .41 cents, doesn’t look good to me…
Editor: I think the big problem is that they are not a commodity stock. Not supply. However, sell it if you are losing patience.
Looks as if lightning struck. 5/22/2006 7:05:27 PM ET News Release Index Network Installation Awarded $10 Million Amenities Contract for Vegas 888 Condo Development LAS VEGAS, May 22, 2006 /PRNewswire-FirstCall via COMTEX News Network/ — Network Installation Corp. (OTC Bulletin Board: NWKI) announced today that subsidiary Kelley Technologies was awarded an exclusive contract for the provision of interior technology amenities for the Las Vegas-based Vegas 888 luxury condo development. The contract is valued in excess of $10 million. The Vegas 888 project was launched in November of 2005, with site work and sales center construction commencing in early December of 2005. Currently the project is on schedule for its intended completion during the first quarter of 2008. Network Installation CEO Jeffrey R. Hultman stated, “The MDU Solutions Division of Kelley had been instrumental in the design and build phases of the Vegas 888 sales center. We are thrilled to have now been awarded the exclusivity for the interior technology amenities of a premier property estimated to be valued in excess of $1 billion upon its completion. Yet again, with this announcement, momentum builds as we continue to evolve our solutions offerings to meet the needs of ‘vertical lifestyle’ property developers.” About Vegas 888 Vegas 888 Condominium Development will be the Premier Vertical Residential Address upon completion. The development sets a new standard in design, lifestyle, location and amenities for its owners. The developers have assembled the best possible talents to ensure their extremely high quality of residence is achieved. The Vegas 888 Sales Center located on Hugh Hefner Drive in Las Vegas had its VIP Grand Opening May 4th, 2006. For more information on Vegas 888, please visit http://www.vegas888.us .
Editor: The market doesn’t understand what’s going on with this company yet. Watch it when the market catches on.
Is the stock going down now because of the new ‘shares dilution’ ?…that seems to be a major problem with many of the OTC stocks who are at the verge of increasing revenues and reporting profits
Editor: I don’t believe it is a big problem with this particular issue. The easy way to figure it out is to go look at the last two quarterly reports, and see if the shares I&O are going up. With this stock, like most stocks, the problem right now is lack of buyers along with sellers in small quantities. Just the environment I predicted in the “Don’t Say You Weren’t Warned” edition in late May.
Are you still following this company? Any hope?
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Editor: Yes- and I believe there is plenty of hope. The company is actually doing reasonably well. We’ll have a lot more to talk about when q2 numbers come out.
in the past u have had good things to say about this company and its progress and yet in doing my own research as i being a small mutual fund and being in the business for the last 28 years …… holding a position in this stock…….i see that dutchess advisors llc has registered stock in large amounts on the sell side this whole year…… do u in your opinion feel this has been a negative against the stock and not showing confidence in the company and or management……………
thankyou
GOD BLESS
jimbo
Editor: As the financier of the company, of course Dutchess is registering the shares. Dutchess also registered shares in CPNE which is going crazy on the back of corporate performance. I want to withold any comments on NWKI until I see Q2 numbers. I might, in fact, be one heck of a buy at these levels. Please wait for feedback until we see those numbers.Â