The turmoil on Wall Street with the LEHMAN bankruptcy and the AIG fiasco has the markets reeling this morning and stocks selling off.
In my view, this is fantastic news CGYV has provided a very favorable entry level for those who have an interest. The entry level is very favorable today. I would stay disciplined, but if you like China Energy, now is the time.
Is the SSL still @ 3.00?
Editor: Yes, it’s quite borderline right now. Tough timing. About as bad as it could get. I’m watching very carefully over the next week or so, and have bought a few shares for my own account down around these levels.
its already below your ssl so you must be out
Editor: I suggest it for you to preserve capital. SPKL is below my SSL, but I’m still holding it all. Actually, I’ve been buying a little today.
A question about the SSL is not relevant now. I guess the SSL should be 2.70 now.
Editor: No- if you bought around that $3.40, and are concerned about preservation of capital, you might want to sell it now. If you like it long term, not such a big deal. Your choice.
Larry,
I agree, but I am staying local I have started buying PCX. My big problem is that I refuse to by a stock that trades below 1M shares a day anymore, because I cant trade out of NIHK at all, most daily volumes are my holdings. Also the China markets are still closed for holidays? What happens CGYV when they open again? Everything else is down. Infact the short position I have on UYG is all that saved me today. If everythig I have read and learned, means anything, this is a bottom. Capitulation, the VIX, when the media has the world coming to an end (CNBC Special coverage), ECT… I guess I will find out if I am right or wrong. My concern is that if the experts can’t see any transperancy in these companies, what chances do we have. At least NIHK had good news today, maybe they did that on pourpose. There are so may oppoutunities, but the volatility is nuts. When the fed baild out fannie and freddie, it stopped me out of a very lucrative short of Master Card, look at it now, what a proffit I lost. It is hard to rely on my charts in this climate. As always, Thanks for any insight.
Editor: I admire your discipline. If 1 million shares is your benchmark, stick to it. If and when CGYV starts trading that kind of volume, you should probably have another look. The China markets have nothing to do with the volume in this stock. Chinese citizens cannot participate in this market unfortunately.
Timing is often said “to be everything”.
Boy what a day it was for a new stock recomendation on China Energy!
I look at it as a lower entry level on a sound company that is profitable. I am just going to adjust my SSL some to alow for yesterdays 4.4 market drop. Thoughts please.
Editor: Yup, probably one a day to two this bad in this entire decade to launch it. Nevertheless, there you have it. I still believe in it, and have been a buyer of a few shares today. Adjusting your ssl is a great idea if you have a lower entry level.
I have followed you for years now. I can say with 100% certainty, that this company (I hope the stock follows!) looks better positioned than any other you have covered. This product is positioned right were the world, literally, needs to be. I’m on board. Thank you!
Editor: Tough timing. Hoping for a more favorable market environment.
Well, I think 3 bucks is cheap. Just got a bad break here.
ERII is trading well, if that is any comparison to what we should expect.
Editor: It’s been a long time since I found one this compelling. Watch over the next month- I wouldn’t be surprised if we’re looking a lot better by then.
I am all over this company, first. Then, secondly, I’m all over this stock. Thank you for this idea. I have spent hours doing my homework on it and I’m fully responsible for what happens next. In case ANONYMOUS is reading, I think he needs to be reminded that after you are kind enough to give us an idea, we own the idea after that. What we do with the stock is our business and not, EVER, your fault. That should be obvious to all, but it is nebulous at best to some.
Ok, that 8 Mil. infusion goes to the new facility that will allow the 40 Mil. backlog to be produced. What is the best guess timeframe on that, Sir (manufacture and install the backlog)?
Thank you, again, for this idea.
Lewis
Editor: According to their press release, they will complete $16 million before year’s end. They are capable of delivering about $12.5 million per quarter which leaves them $24 million in additional business- therefore, the backlog carries them to about July or August of next year assuming they don’t expand their manufacturing capability and run at full capability.
Would it be accurate to say, there are instiutional investors already in this stock (via financing arrangements)? Do you believe (I believe on my own) that this stock will be accumulated, if not now, then in short order, by smaller institutions (micro cap funds, venture/hedge types, etc.)?
Editor: The company presented at the Merriman conference in San Francisco yesterday. They are on what’s called a “non deal” road show through the end of the month which starts in Boston, goes to NY, and then goes to Europe. In light of today’s market conditions, I believe the European trip is likely to create the best result.
I’ve bought lean into this company and will keep buying small chunks for a bit. I’m watching for a breakout. In the meantime I was trying to guess last week which company you would be listing, and I cam across GSAE. It’s weathered the madness this week and has earned a nice gain. You might want to take a look at them as well.
Thanks for the tips!
Editor: Will do so. Thanks for the idea. The historical performance of CGYV is quite impressive.
What sort of marketing plan does CER have? How will then become a recognizable name? I realize that is a broad question. I’ll take whatever thoughts you have, Sir. THX.
Editor: Marketing the stock, or the products and services. If you’re wondering about the stock, the company is scheduled at a number of conferences, and is currently on a “non deal” road show- this means they are visiting fund managers world wide without the intention of raising capital. Just creating awareness. On the products and services side, they do not have one salesman at the company, and all the business they can handle. A large percentage of their business comes from their systems being built into factories built by Monsanto.
I missed this before:
“…How solid are the drivers for cleantech in the current political and economic climate?
The drivers for cleantech are bigger than politics. There is a lot of stake in this election but the cleantech industry is certainly not one of them. Energy efficiency technology is counter cyclical because it is about reducing cost. Nothing is completely recession-proof but energy efficiency is pretty close…”
- Roger Ballentine, CleanTech Aricle 9/17/08
My point is, the stock is not currently reflecting the value of the company with the current sales base plus pipeline. Furthermore, there is room for an upside premium to boot based on the credibility of the technology and the size of the market. I have yet to take a full position and I’ll leave my orders in staggered above the 2.50 low (post reg. stmnt effective). Any thoughts on entry points (tough, I know) would be greatly appreciated. I do not at all mind this decline based on the health of the company. THX!
Editor: I think it’s tough to make entry level predictions in this market. I think you have to look at value. It’s hard for investors to set aside their fears and invest capital, but this is when you are likely to make the most money. If you look at value, CGYV is worth $7 today. However, it’s a tough call to say when it will get there. Oil back over $100 is helpful, but the key issue is the numbers over the next two quarters, which will be huge. I would prefer it be reflected in the stock price sooner rather than later, but these are unpredictable times.
I solidly back this company’s stock. I will continue to purchase the stock below 3 bucks. I got some shares this morning on the sell-off. Meanwhile , their additions to their board look strong and experienced. Thanks.
Editor: Profits eventually lead to price appreciation. It’s bound to happen. Solar stocks are up today on a new bill in Congress. Alternative energy will be the next bubble.
buy at 3.40 and it 2.73 a week later. what thw plan here?
Editor: What “the plan here”. Beautifully phrased. In that same time frame, Lehman brothers went bankrupt, and the market got absolutely obliterated. I guess you don’t follow the markets. However, no problem. If you don’t like the plan, don’t invest in the stock. Here’s what you’re not bothering to say. I set the SSL at $3. If you bought a little high, and sold at the SSL, you can now buy cheaper. If you bought, and didn’t sell, get in now. If you didn’t participate, now is good time to look at it. If you don’t like the idea, or you don’t like me, just don’t participate. If it doesn’t work, then you can boast you’re a genius. If it does work, then you can go crawl back in your hole. In the meantime, other than the stupid comment that you don’t like me, I would love a contribution with a company related reason that you don’t like the investment. That would have value for readers, and I would appreciate the contribution.
This was what I keyed in on from today’s PR:
“…Sinochem Fuling, located in Chongqing in southwest China, is a key fertilizer production subsidiary of Sinochem Corporation, a Fortune Global 500 company and one of the largest state-owned enterprises in China…”
It wasn’t the size of the contract, it was with whom they signed it. Nice.
Editor: Check the current blog for more information about what’s important about the news. MECS is a big deal. Check it out.
Technically, the $2.50 bottom is real and was tested yesterday with a higher low a $2.60. Very nice.
Editor: I hope you’re right. If the volume holds up, the sellers will eventually be exhausted.