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Wednesday, December 05, 2007

NightHawk Systems: Flying High Heading Into 2008

Nighthawk Systems Inc. (OTCBB: NIHK) may be my favorite small-cap pick for 2008. NIHK announced a major milestone today with a contract for the sale of a record number of their “bread and butter” CEO700 product.

With recent news indicating that NIHK is already shipping product to meet more than $800,000 worth of orders for its newly acquired IPTV set-top box business, record sales in from the traditional business have me quite bullish on the company’s future.

Today's Record Order Likely Not the Last From Smyrna

To make today’s news even more powerful, the 500 unit follow-up sale to the Town of Smyrna, Delaware is likely not the last to stem from the relationship. Smyrna plans to equip just about every residence in the town with remote disconnect units using Nighthawk products.

NIHK Products Help Conserve Energy In More Ways Than One.

From a macro perspective, this looks like the beginning of a trend towards electrical utilities mandating that each and every residence, particularly troubled accounts, are equipped with remote disconnect units. And Nighthawk products can remotely control these devices saving money on gas, personnel, and trips to the hospital for dog attacks.

As energy prices soar, this makes sense on so many levels.

From our perspective, we are now looking at a company that is just scratching the surface of two hot and emerging markets. With utilities striving harder than ever to reduce costs and the Internet emerging as a viable and dominant telecommunications medium, NIHK has positioned itself at the forefront of two potentially explosive opportunities.

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