Allstocks.com's Bulletin Board Post New Topic  New Poll  Post A Reply
my profile login | register | search | faq | forum home

  next oldest topic   next newest topic
» Allstocks.com's Bulletin Board » Hot Stocks Free for All ! » Did any of you see Motley Fool picked NXG under "the next million dollar penny stock"

 - UBBFriend: Email this page to someone!    
Author Topic: Did any of you see Motley Fool picked NXG under "the next million dollar penny stock"
Love the Market
Member


Member Rated:
4
Icon 1 posted      Profile for Love the Market     Send New Private Message       Edit/Delete Post   Reply With Quote 
Did any of you see Motley Fool picked NXG under "the next million dollar penny stock"???

(READ ALL)

The Next Million-Dollar Penny Stock
By Tim Beyers
June 15, 2009 | Comments (0)

Recs

5 Penny stocks can make you rich. Need proof? Every one of these ***********s was once a penny stock:

Company
Recent Price
CAPS Rating
(out of five)
5-Year Return

American Oriental Bioengineering (NYSE: AOB)
$4.96
*****
110%

LMI Aerospace (Nasdaq: LMIA)
$10.48
****
759%

GeoResources (Nasdaq: GEOI)
$10.67
****
465%

American Dairy (NYSE: ADY)
$42.30
***
1,310%

Green Mountain Coffee Roasters (Nasdaq: GMCR)
$60.43
*
1,296%


Sources: Motley Fool CAPS, Yahoo! Finance.


The promise of outrageous returns has periodically made even the world's best stock pickers penny stock investors. Peter Lynch has enjoyed the stock market's super-cheap seats in the past, and still does on occasion. The Royce Low-Priced Stock fund has beaten the market for a decade by betting on stocks trading near or below $10 a share, including TradeStation (Nasdaq: TRAD).

Even the All-Stars in our 135,000-plus Motley Fool CAPS community take to penny stocks. More than a few have been richly rewarded.

Pennies from heaven
So why not invest in penny stocks? Well, the warning the SEC issued about them provides one excellent reason to steer clear. But what if we take the agency's definition literally, and limit our choices to stocks trading between $1.50 and $5 a share? And what if we further seek only four- and five-star stocks with a market cap between $250 million and $2 billion? Surely our CAPS screener would return some winners, right?

When I ran that screen this week, 51 stocks made the cut -- not including our last topper, Orthovita.

My favorite penny stock this week is Northgate Minerals (AMEX: NXG), a copper and gold miner that our CAPS community mostly loves:

Metric
Northgate Minerals

CAPS rating (out of five)
****

Total ratings
1,442

Percent Bulls
96.8%

Percent Bears
3.2%

Bullish pitches
213 out of 215


Data current as of June 15, 2009.


Bullish investors find Northgate's valuation most enticing. As CAPS All-Star goldminingXpert wrote in a pitch last month:

Reloading at 20% cheaper than my last pick as it outperformed the S&P but still declined. This stock is worth $4 to $7 if you value it on the same metrics as other mid-tier gold producers are valued with. I own this stock -- have owned it since I first purchased at $3 and tripled down at $0.98.

Analysts would appear to agree. Northgate trades for 14 times forward earnings, a fraction of the 46% average annual income growth the Street expects this company to achieve over the next five years. Color me intrigued.

But that's just my opinion -- I'm more interested to know what you think. Would you buy Northgate Minerals at today's prices? Let us know by signing up for CAPS today. It's 100% free to participate.

Posts: 2793 | From: Coral Springs, FL, USA | Registered: Aug 2003  |  IP: Logged | Report this post to a Moderator
   

Quick Reply
Message:

HTML is not enabled.
UBB Code™ is enabled.

Instant Graemlins
   


Post New Topic  New Poll  Post A Reply Close Topic   Feature Topic   Move Topic   Delete Topic next oldest topic   next newest topic
 - Printer-friendly view of this topic
Hop To:


Contact Us | Allstocks.com Message Board Home

© 1997 - 2021 Allstocks.com. All rights reserved.

Powered by Infopop Corporation
UBB.classic™ 6.7.2

Share