MicroStockProfit

I wonder what is keeping ADPT from realizing its true value?  Here is a company that has ROCK SOLID financials, a preeminent position in its marketplace and is sitting on a treasure trove of cash.  In fact, ADPT has over $3.00 in cash for every share in the float.   They currently operate at a manageable loss (what company in this sector doesn’t), but I will be interested to see what happens if the data storage market comes back.

If your company has a data center, chances are you own ADPT’s equipment and software.  According to their website (www.adaptec.com), ADPT…

“has been a worldwide supplier of technologies and applications supported by major storage and system OEMs, system integrators, system builders, and value-added resellers that deliver enabling technology and products to address many of the most critical applications in data storage”

It is clear what they do as a company….they spend millions a Q on R&D to stay ahead of its competitors.  But, ADPT the stock remains a mystery.  In fact, they are factions in their institutional ownership that are trying to mount a coup based upon their belief that they have the proper leadership to make this company an attractive stock again.  Here is the latest PR that will give you a clearer understanding of what is going on at ADPT.  It appears that the action from an activist shareholder (largest single owner, by the way) will fail.  Where will that leave ADPT?

Clearly the pressure is on the current Board and management to create some kind of lift in the stock.  How quickly that can be accomplished is anyone’s guess.  What I do know is that ADPT is going NOWHERE right now.  I mean from a finanical strength standpoint.  They will have time to create the plan that can make ADPT a stock that matters…the question remains, “Can they?”

Here is the chart:  (it has been climbing incrementally, but nothing to get too excited about)

If I was to put on my rose-colored glasses and look at this chart, I could say the following:

• The stock is in accumulation
• The MACD is above the zero line and appears to be turning bullish
• The most recent run up hasn’t been volume or hype driven.  It has been a slow and steady accumulation.

What I don’t see are “hockey sticks”.  I will be interested to see what ADPT can do over the next weeks and months to get traders to pay attention again.

I have programs that send me emails of charts every day.  I pick the parameters and I get dozens of charts to view.  One chart that stood out for me today was one for JC Data Solutions (JCDS).

Here is the chart:

The stochastics indicate that this stock is clearly oversold.  it may have farther to fall since it is in distribuion, but it clearly has some pressure to rise.  A sub-penny stock, it could fall as low as $.00075 before it corrects and rises again, IMO.

This is a non-reporting pink sheet company so the risks are known.  They say that they have been in business since 1996.  JCDS has put out a number of press releases that seem to indicate that the company is on a positive trend.  But, companies have been known to lie in press releases (shocker, huh?). They have a website that gives information about what they do: click for link.  They need to put a few dollars in the website…it really doesn’t show the company off well and is very dated.

Extremely risky…..short term play….put it on your radar….good luck and good trading