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Author Topic: HOM - Pro / Con
Purl Gurl
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HOM - HOME SOLUTIONS OF AMERICA

Please read their latest 10Q and all other
SEC filings found at this site:
http://www.sec.gov/Archives/edgar/data/855424/000114420403007340/v00662_10-qsb.txt

Snippets from their latest 10Q filing:

Current Assets 18,707,000
Total Liabilities 10,427,000
Accum Deficit 22,195,000

Revenue

Year 2002 Zero
Year 2003 10,565,000

Net Income (loss)

Year 2002 255,000
Year 2003 119,000

EPS Diluted (loss)

Year 2002 (0.05)
Year 2003 (0.02)

Clips From Recent News:

"...awarded an $825,000 indoor air contamination project
which is being performed on a large condominium complex
in California. The Company has already started work on the
project, which is expected to be completed in August 2004."

"...funding on a $4 million senior secured convertible
...convertible at a fixed price of $1.88 per share
...facility will provide sufficient funds to close our previously
announced Florida acquisition... first calendar month of this fiscal
year, will have nearly doubled its annual revenue...moved from
break-even EPS to profitability"


Home Solutions is actually a holding company
acquiring a variety of home renovation and
home repair companies, with emphasis on toxic
mold removal.

This is a start up company currently operating
in the red ink, this is, at a loss. However,
losses are very minor and show a strong
improving trend. It appears HOM has moved
into the black ink this new quarter, which is
in keeping with their trend. They should be
reporting a net profit next 10Q filing.

Be sure to read their SEC filings. Some
lawsuits are active but appear to be a
"clean up" of those companies they have
acquired. This is positive despite legal
problems.

HOM is about to acquire another company which
appears to be very profitable, based on recent
statements released.

I would consider HOM to be a renewable product
because there is a good market in home repair.

My personal projection is HOM will break
3.00 per share within six months and might
break 4.00 per share in one year.

Current entry price is 1.74 to 1.78 and rising.

Never buy, sell nor hold based on my opinions.
I could wrong. You could lose money. Be sure
to perform extensive research, consider all
data careful and make a prudent decision.

You could lose money. Be careful.

Purl Gurl


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Purl Gurl
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I have an error in my article:

Net Income (loss)

Year 2002 255,000
Year 2003 119,000

That should be:

Net Income (loss)

Year 2002 (255,000)
Year 2003 (119,000)

Be sure you note this. They are operating
at a loss but with an improving trend.


Purl Gurl


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Purl Gurl
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Now trading at 1.85 to 1.88 per share!

Still a good buy at those prices. Looks
like HOM may move a little faster than
my projections, least for short term.

Next serious obstacle will be 2.00 per.

Be careful. As you know I could be very
wrong on this stock. It is very possible
I am leading you to loss of money. Do
your research, make careful decisions.
Do NOT give too much credit to articles
I provide. I make mistakes, often!

Just yesterday Diana saved me from a lot
of loss. Sometimes, I make bad choices.


Purl Gurl


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Purl Gurl
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Originally profiled at 1.74 to 1.78 per
share, despite the Feds stomping on the
markets, HOM is actively trading today
at 1.90 to 1.96 per share, with a final
closing price of 1.905 for a small amount,
performed by a Market Maker right at closing
bell, apparently with hopes of driving prices
down for Monday market open.

I am guesstimating HOM will break 2.00 per
share late next week and hold.

For those who bought in, you have a bit
of good news to compensate for all the
red ink this week.

Always remember I am not a professional
investor and what I write is only opinion.
I could be wrong. Following my opinions
could lead you to loss of money. I sure
hope not!

Purl Gurl


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Purl Gurl
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HOM broke 2.00 per share this morning
as anticipated.

Doubt this will hold today but should
hold by the end of this week.

You are up anywhere from .20 to .25 per
share on HOM. Not bad for only seven to
ten days. I anticipate HOM to continue
to slowly climb in value over the next
couple of months.


Purl Gurl


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Purl Gurl
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I am too conservative. HOM broke and held
over 2.00 today. Doing well so far. I would
expect some sidewards trading for the rest
of this week. Perhaps we will see 2.10 to
2.15 by Friday. Cross your fingers!

Looks those of us who bought at my original
profile are up a good twenty-five cents per
share, and climbing!

I sure hope this proves to be a winner.
Don't allow me to mislead you. There is
always a chance prices will fall.


Purl Gurl


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Purl Gurl
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HOM continues to hold 2.05 to 2.08 with
good strength. Should be a lot of sidewards
trading for a week or so.

Not bad! A gain of thirty cents per share
in less than two weeks!

Purl Gurl


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Purl Gurl
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Today's News:

"Home Solutions Closes $12 Million Florida Acquisition"

Look for a modest increase in share value,
perhaps 2.08 to 2.12 per share. This news
will help to keep HOM over 2.00 per share.


Purl Gurl


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imnotrichyet
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Purl Gurl, I've been in this stock for over a month now and recently found "allstocks". I had run across many of your posts on other boards over the past week and was happy to find out today that you have been in this one. I was relieved to see that the Florida aquisition went through today. Trading was a bit wierd today but it could have had something to do with the late start on the AMEX. Are you staying in this one? It's a slow mover but I see alot of upside medium to long term. I'm just trying to decide if I should take some profits now or if this thing could see another 50 cents over the next month or so. Any opinions?
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Purl Gurl
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I have some comments about HOM under my
"AMEX Shut Down" article.

Yes, the AMEX crashing today did have an
effect on HOM. Before the bell trading
was at 2.10 per share up until the crash.

Market Makers were preparing to manipulate
prices, things went south, some low bids
and asks became "hung" in the system. When
AMEX came back up, prices were all messed up.
At least one Market Maker was burnt because
of his low ask price (manipulation) which
someone grabbed, then prices jumped.

So today's news never really had a chance
to kick in; none could buy nor sell.

My personal projection is HOM will exceed
3.00 per share within three to six months.
In one year, 4.00 per share is likely.

HOM is quickly moving from red ink into
black ink. Next 10Q filing should be
fairly decent. These companies they have
acquired appear to be profitable lending
well to a good 10Q filing.

Home repair is a "renewable product" in
a sense because there is never a lack
of business. This Florida acquisition
should prove very decent. Florida is
populated by retired people with lots
of time, lots of money, and home repair
and improvement is a favorite activity
amongst that age group.

Recent profits coming out of California
for their Condo project will be quite
a boost for their 10Q as well.

Personally, I see nothing but slow steady
upward price motions, on the average.

We will hold this one for the long term.


Purl Gurl


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Day Trader
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8 MILLION IN DEBT..
GOOD LUCK

------------------
Mike

~~these are just my advices and suggestions. In no way am I'm held responsible for your trade loss.
As always, do your own DD.~~


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imnotrichyet
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Last year they were able to convert 6MM of Debt to Equity above market prices. Let's hope that trend continues With so few shares outstanding dilution shouldn't be much of a problem. Hell, It would be nice to see some more shares trading hands on this one.
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Purl Gurl
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Recent market crash has moved HOM down to
an excellent buy price range.

Today's news is very encouraging and should
result in a decent uptrend. Full article
can be found through your usual sources.

Purl Gurl

(snipped for brevity)

Mar 3, 2004

Home Solutions of America, a niche provider
of specialty residential services, announced
today financial expectations for its first
quarter ending March 31, 2004 and full year
ending December 31, 2004. The Company expects
first quarter revenues of between $5.5 million
and $6.0 million and net income of $0.02 to
$0.03 per share. For the full year, Home
Solutions anticipates revenues of between $29
million and $31 million and net income of
$0.10 to $0.14 per share. Home Solutions
expects to generate between $4.0 million and
$4.5 million in EBITDA for full year 2004. The
Company does not expect to pay federal taxes
in 2004, utilizing its tax loss carry-forwards.


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Purl Gurl
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A healthy thirteen cent gain currently, a nice
profit for those who are true day traders.

Upward pressure continues to build nicely.
HOM should continue to rise in value.


Purl Gurl


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Up seventeen cents on the day.

* grins *

Purl Gurl


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Knocked down to 1.50 to 1.55 per share by
our recent market crash, HOM is at very
good entry prices for those interested.


Purl Gurl


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If you look at technical charts, you will
discover HOM is now fifteen cents below
bottom support. Appears Market Makers
are preparing to run prices back up to
to the 1.50 to 1.55 per range.

Picked up an additional five-thousand shares
late today. This is my first major buy in
these bad market conditions.

Very high risks because of market conditions,
low volume stock, but does appear to be ready
to bounce off bottom support.

Be careful. I cannot make any accurate
projections under these market conditions.
You could easily lose money.


Purl Gurl


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blue_in_MI
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I was thinking of you today, watching HOM drop. Around noon I put my limit order to buy in at 1.35, we'll see if it gets filled tomorrow. I suspect we think alike, which hopefully will be a good sign for me down the road!
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Purl Gurl
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Purely a technical play on my part to
average down, with hopes of some future
profits, or at worse, to cut losses to
a break even point.

Technical charts strongly indicate this
is it; lowest possible prices. HOM is
at its 52 week low. Very doubtful a
new low will be set, save for falling
a couple of cents below that today.

Two of the three Market Makers working
HOM, are the same two who shorted RNDC
so severely a few weeks back. This time,
I think (hope) I have jumped in at the
lowest point of shorting. Should be
according to technicals.

HOM does have decent financials and their
future projection is very good although
I tend to discount projections somewhat.
Nonetheless, they have a history of moving
strongly from losses to profits, rather
fast for a new company. Fundamentals are
very positive.

Filings show they are working on paying
off debt which is a positive signal.

I am very surprised HOM dropped this far.
Along with good fundamentals, Peter Leeds
is featuring HOM at his site.

Really should not be surprised, though.
I am watching other stocks which are
taking a worse beating, lot worse.

Pushing my luck here, purely a technical
analysis play, with fingers crossed for
a bit of good luck.

For casual readers, a bit of background
detail on what I am really doing, which
might help new investors to understand
some strategies during bad markets.

I sold all of my RNDC today, for a very
small profit, a few hundred, to release
eleven-thousand in cash to put that money
to better use rather than wait for profit.

Previously, I was caught offguard with RNDC,
which has excellent financials. Bought at
what appeared to be a very low price. Later,
Market Makers shorted it something awful.
At close to bottom short prices, I dumped
six-thousand into RNDC to average down,
which paid off by allowing me to escape
without any loss, with a tiny profit.

I chose today because of severe low prices
for HOM, in which I was already vested,
and RNDC prices seem to be stuck for now,
although I expect mild growth in the
coming weeks.

RNDC came first because of a higher amount
of money invested with greater potential
for losses. HOM is next because of a lesser
amount of vested money, thus losses would
be lower. Triage, worst injury first.

Releasing that eleven-thousand allowed me
to average down my buy price for HOM by
sixty-three percent, placing my current
buy price below the historical support
price around 1.50 to 1.55 per share.

In summary, I am working on cutting losses
by averaging down one stock, breaking even,
then rolling over into the next worst stock
to average down, with hopes of at least
breaking even on it.

No profits in this but losses can be reduced
to zero or maybe a profit of a few hundred.

This is a strategy to manage your money in
times of bad market conditions. In a sense,
you do profit by not taking terrible losses.
Kinda like being set back to square one and
starting over again.

There are risks, but moderately acceptable.
Prices could continue to fall but this is
countered by having averaged down. Volume
could drop off making it difficult dump
at a price you want. Another risk is the
more shares you have, the faster growth
in your losses or in your profits.

Biggest risk is being afraid to dump
on falling prices after averaging down.
Once you have averaged down, never hold
with hopes falling prices will rise,
don't chase prices downward; simply
jump out and move on.

An annoying risk is prices on a stock you
averaged down and sold to break even, those
prices may suddenly skyrocket, and usually
do about the time you sell!

Money management, art of making profits
and reducing losses. Both are of great
value to investors. Both are profits.


Purl Gurl


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Really mixed signals on open.

ASE bid 1.34 ask 1.43
PSE bid 1.30 ask 1.53
Trading at 1.38

Purl Gurl


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New home sales just in,

Actual: 1,163,000
Consensus: 1,100,000
Last Month: 1,106,000

This is a positive signal for stocks
related to home improvement and repair.
Home sales new or "used" should be
up for the real property industry.


Purl Gurl


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blue_in_MI
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My 1.36 limit order sat unfilled all day, as did my .76 GUSH. You may have caught the bottom yesterday, we'll see if I'm being too quibbly about a few cents. GUSH I think I'll catch at .76 over the next few weeks before it goes back up, but - of course I may miss the boat and be wrong, wouldn't be the first time!
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Purl Gurl
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HOM, up seven cents on the day.

Appears it is rebounding as expected.


Purl Gurl


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Prices beginning to move up based on mixed
news coming out of HOM today, reporting very
significant increases in revenue but for
a mild net loss due to some write downs
for acquisition deals.

Forecast for first quarter and year 2004
are very good.

Check your usual sources for today's news.


Purl Gurl


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networm
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That's a nice pick. Their ER already showed a turn-around because of the net income if taking into account the contribution from the newly acquired company. It will be traded at $3.00-4.00 in the near future, IMHO.
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networm
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LOL, it was around 50M in 2002, if I'm not wrong.
quote:
Originally posted by Day Trader:
8 MILLION IN DEBT..
GOOD LUCK



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Purl Gurl
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Yes, HOM is certainly getting their ducks
lined up, nice and straight.

Although still red ink, they do have a
good track record of strong growth and
prudent business decisions.

I am very much anticipating their next
10Q filing, and continue to accumulate
in anticipation.

Pretty sure HOM will be back to the 1.80
to 1.90 per share range, in the near term.


Purl Gurl


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Purl Gurl
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SEC 10Q filing for HOM,

- http://www.sec.gov/Archives/edgar/data/855424/000100329704000158/home10k.htm

Mild increase in losses in keeping with their
aggressive acquisition of other companies.
Significant increase in cash flow, with a
very good future prospect.


Purl Gurl


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imnotrichyet
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Looking good the past few days. Volume's low but the drop down was on low volume as well. Will we see 1.80's this week? My guess would be yes. At first I was kicking myself for averaging down at 1.39 because I hate doing it. Hopefully it pays off this time.
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Purl Gurl
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News just in from HOM with a nice jump
in prices, immediately following.

Purl Gurl

(snipped for brevity)

Apr 12, 2004 Home Solutions of America...
announced today that its backlog has
increased 40% for the remaining nine months
of its fiscal 2004 year...Significant orders
are being received from nationally recognized
homebuilders, fueling this increase.

The Company's Specialty Interior Segment,
which includes the recently completed Southern
Exposure acquisition, is experiencing strong
demand in its Florida marketplace.

"...is poised to show approximately 20% annual
organic revenue growth over the next few
years...."


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blue_in_MI
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And now bounced back to 1.59, where it was. I agree this looks like excellent news for HOM. Don't understand why not more of a minor jump in prices and quick retrace on the heels of this very positive news. My general conclusion from watching HOM and NWD this morning seems to be that sometimes people don't seem to be paying attention, I feel like I'm on a 'different page' at times. Hopefully it's not the wrong page!
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blue_in_MI
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now down .08, at the low of the day. 15 minutes after good news released. makes sense to me! a lot of buying opportunities today: HOM, GUSH, NWD - *sigh*, should have left more in trading cash so i could have taken better advantage!
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Purl Gurl
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Cute, HOM jumps to 1.65 on decent news,
then promptly falls to 1.50 per share.

Go figure.


Purl Gurl


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blue_in_MI
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odd behavior the past few days: spiked up to 1.64 yesterday (a full week after positive news), now bouncing fairly rapidly between 1.50 and 1.65 today (after being fairly flat most of last week).
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blue_in_MI
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10K was released just after the bell today:
http://biz.yahoo.com/e/040429/hom10ksb_a.html

I have to sit down and read it over, but the initial numbers: revenue way up to $14M, but costs also up for a net (702).


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