Billyjoes Top 10 Cheap Stocks

[riverbabe]

billyjoe, really hate to ask you...are you really investing in these or is this just a fantasy? I know you are a straight-up guy. If you are investing you are losing a bundle, and I hate to think that. L&K, river

[billyjoe]

River,
Praise the Lord! I haven't bought any of these except for DAR and that was on the list a couple months ago. Looking back it seems that DAR never was in my top 10. Look at June. BPHX ICOC and CRNT were all listed and at one time were all up over 200%. And I never bought any of them.

-----------billyjoe

Correction---These are the figures had you bought BPHX and CRNT when they first made the list in May and ICOC when it made the list in June and sold at the high point since.

BPHX----7.58/22.73---199.87%
CRNT----7.00/21.89---212.71
ICOC----8.78/16.50----87.93*

Had you purchased ICOC when IIC picked it in the Ides of March contest:

ICOC----5.80/16.50---184.48%

[riverbabe]

River,
Praise the Lord! I haven't bought any of these except for DAR and that was on the list a couple months ago. Looking back it seems that DAR never was in my top 10. Look at June. BPHX ICOC and CRNT were all listed and at one time were all up over 200%. And I never bought any of them.

-----------billyjoe

Correction---These are the figures had you bought BPHX and CRNT when they first made the list in May and ICOC when it made the list in June and sold at the high point since.

BPHX----7.58/22.73---199.87%
CRNT----7.00/21.89---212.71
ICOC----8.78/16.50----87.93*

Had you purchased ICOC when IIC picked it in the Ides of March contest:

ICOC----5.80/16.50---184.48%

So, billyjoe, is it safe to say that these are potential winners with good fundamentals, according to your proprietary criteria, that should do well in a favorable market? I went back to your first post in November 2005 that states, "this is an experiment." Have you come to any conclusions over the two years? What has propelled your winners? What has decimated your losers? Does it still, as with any stock, all come down to market conditions plus good TA on potential fundamentally strong picks? I have found your lists to be very informative. But am surprised that, after 2 years, you haven't had enough faith in your system to put in some real dollars. So, I'd be interested in the why of that too. Thank you for all that you do here. River

[billyjoe]

River,
I have bought some of these in the past but never got a big winner. If you look at the monthly returns it mimics the market more or less although on average these under $10 stocks tank quicker when the overall market declines. A great month for the market is generally a great month for these, but they can turn on a dime as you may have noticed and it is common for 8 of 10 to decline 10% or more in a week. By the time one determines the market is souring a person can be seriously in the red. I never saw much of a difference between tanking of technical and tanking of fundamental leaders. Go back and look at BITI, the only one advancing this month and it doesnt stand out technically as far as I can tell. These that buck the trend might prove to great stocks in the future. Oh, I did have a 119% winner with HSOA (HOM) a couple years ago. It turned out to be a turkey of a stock. My timing was just right in the sale for once.

-------------billyjoe

[riverbabe]

billyjoe, thanks for the words of wisdom. I have owned very few stocks under $10 but have selected a few for the POTW mostly because their percentage moves can be so high and so quick. As you point out, their downs are also very fast and big.

I looked at BITI. It's a very interesting company, with a good earnings report and projections early this month (Nov. 3). The monthly chart shows (and I'm not an expert!) a cup w/ handle formation over a period of 4 years, and the November '07 breakout from that. Appears to be a pretty solid company with a good business model. I'm going to put it on my watch list.

I think your picks are still worthwhile watching...but I'd be scared to invest in them right now too! River

[IIC]

billyjoe, thanks for the words of wisdom. I have owned very few stocks under $10 but have selected a few for the POTW mostly because their percentage moves can be so high and so quick. As you point out, their downs are also very fast and big.

I looked at BITI. It's a very interesting company, with a good earnings report and projections early this month (Nov. 3). The monthly chart shows (and I'm not an expert!) a cup w/ handle formation over a period of 4 years, and the November '07 breakout from that. Appears to be a pretty solid company with a good business model. I'm going to put it on my watch list.

I think your picks are still worthwhile watching...but I'd be scared to invest in them right now too! River

Good eye on BITI...I was waiting for it to pop 9 but I missed it...I don't look at charts that long to find CwH's but now that you mention it you are right.

However, it will appear on this week's CwH list too based on a daily chart and the 9.40 left side high and the 9.92 right side high...not perfect and it doesn't meet my < 5% diff between the 2 highs but it is pretty close and finding CwH's lately seems to be like looking for a needle in a haystack...I'll be posting this week's finds within the next hour...Doug

[billyjoe]

Final Results Top 10 Cheap Stocks November

A miserable month for the under $10 stocks. 8 of 10 stopped at -10%.

Performance for the month -7.72%

ACTU stopped
RMTR "
TQNT "
EGO "
AEY "
ARTG "
EXTR "
SDIX "
MNG--668/629--5.84
BITI--875/951--+8.69%

-----------billyjoe

[billyjoe]

Cheap Stocks December

Had a hard time finding 10 for this month. These appear to be the best with my rating out of 400 possible. Closing price Nov. 30th.

ANSR---325--4.54
XETA---320--4.30
OSTE---319--8.22
ACCL---318--8.03
DWCH--299--6.95
TQNT--299--5.93
STEC---296--9.32
BITI----290--9.51
CBZ----275--9.24
RMTR---271--4.24

--------billyjoe

[billyjoe]

Top 10 Cheap Stocks December

After the first week of December '07--open Dec.3rd---Close Dec.7th

XETA-----stopped -10%
BITI------stopped -10%

STEC----938/1076----+14.71%
ANSR----456/483-----+ 5.92
TQNT----595/624-----+ 4.87
CBZ-----927/945------+1.94
RMTR----421/429-----+1.90
ACCL----805/805------even
DWCH---717/703----- -1.95
OSTE----825/757---- -8.24

--------billyjoe

[IIC]

After the first week of December '07--open Dec.3rd---Close Dec.7th

XETA-----stopped -10%
BITI------stopped -10%

STEC----938/1076----+14.71%
ANSR----456/483-----+ 5.92
TQNT----595/624-----+ 4.87
CBZ-----927/945------+1.94
RMTR----421/429-----+1.90
ACCL----805/805------even
DWCH---717/703----- -1.95
OSTE----825/757---- -8.24

--------billyjoe

Still have BITI on my "A" Watchlist

[billyjoe]

Cheap Stocks Dec 10-14

Another bad week for the cheap stocks

BITI OSTE XETA DWCH all stopped -10%

TQNT---595/643----+8.07%
STEC---938/992-----+5.76
ANSR---456/468-----+2.63
CBZ-----927/917---- -1.08
RMTR---421/409---- -2.85
ACCL---805/764---- -5.09

------------billyjoe

[Websman]

How about some guaranteed winners? I need to make some money! jejejejeeeeeeee

[bkkumala]

newbie on the block....

Please be introduce . i'am from Indonesia... and still learning stock and option in US market

may i join this thread....

for the time being juat watching and learning....

thx...., regards
bk

[billyjoe]

Welcome Bkkumala !

ACCL stopped -10% 5 stopped ACCL BITI OSTE XETA DWCH

5 remain----------------------ANSR TQNT STEC CBZ RMTR

------------billyjoe

[billyjoe]

Final Post Cheap Stocks

Thankfully, December has ended and along with it this Cheap Stocks thread.

Final Report December--Stopped at -10%....BITI OSTE XETA ACCL DWCH

The rest of the bunch : TQNT----595/663----+11.43%
------------------------ANSR----456/484-----+ 6.14
------------------------ CBZ-----927/981-----+5.83
------------------------RMTR----421/430-----+ 2.14
------------------------STEC----938/874----- -6.82

For the month of December--------- -3.13%
-----------------November-------- -7.72
-----------------October---------- +10.83
-----------------September-------- + 1.05
------------------August----------- -7.92
-------------------July------------- -2.75
-------------------June------------ +9.69
-------------------May------------ +15.41

If you had bought all the picks each month, sold all that dropped 10%, bought the new list each month, and rolled over the $$, you would have gained 17.93% not counting trading costs.

These stocks seem to be controlled by the whims of the market more so than larger caps, regardless of the quality of the companies. Only a very small % can withstand the drops in an unstable or depressed market. I'm going to concentrate on higher cap stocks from now on. Those that can hold up, at least for more than a couple days of a market downturn.

------------billyjoe