Showing posts with label vanguard minerals. Show all posts
Showing posts with label vanguard minerals. Show all posts

Tuesday, April 15, 2008

The Same Pick?

Company: Vanguard Minerals Corporation (VNGM.OB)
Yahoo Finance: http://finance.yahoo.com/q?s=VNGM.OB
Company Websites: http://www.vanguardminerals.com/

I don't generally like to chose the same stock, let alone the
same stock twice in a row... But I really couldn't pass up what
I believe will be easy profits again on VNGM.

Last week subscribers gained 69.56% in just under 8 days, on
VNGM ... And I've chosen the same stock again, for good reason.

Now, Kick back and grab a cool one... As in this report I'm
about to explain the absolute best way to find a stock about
to rocket in price.

So what is the best type of investment opportunity?

Here are some possibilities:

Possibility #1 - This investment opportunity has a huge "upside
potential" meaning it realistically could return 60 - 100%
within the time scale.

Sounds good huh? in fact this is usually what I consider a
Doubling Stocks pick to be. But is there anything better?

Yep!
Possibility #2 - This investment opportunity has a huge upside
potential for gain, (again, a 60 - 100% return is realistic)
but this time the risk is very small.

There is something in the investment that means you're only
ever likely to lose a very small amount of your investment...
And even this would only happen if things went really bad.

... And I like to characterize the second type of investment
opportunity in a saying:

"Heads, I win; tails, I don't lose much!"

If you went the horse track and you were offered, 90% odds of
a 20 times return and a 10% chance of losing your money, would
you take that bet? Heck Yes!

You'd likely want to make that bet all day long, and it would
make sense to bet a very large amount, or as much as you could
comfortably afford, with these spectacular odds.

It is a very low-risk, high-return bet. Heads, I win; tails,
I don't lose much!

In fact, in horse racing, as you probably know unlike a casino
in horse racing you are betting against other bettors. And the
house takes a flat 17% as a fee.

Therefore "frictional costs" relative to the stock market are
very high... i.e. The cost of getting in and out is high.

To be a consistent winner at the race track, a person has to
overcome the staggering 17% frictional cost of placing a bet.

... And there are in fact a few who can, and who make their
living this way.

Yet they don't bet like the rest of us...

These guys, watch all the horses and races, yet place no bets.

Then, when they encounter widely misplaced odds (in their favor)
on a horse about which they know a great deal, they bet heavily
on that one horse in that one race.

... After that they go back to watching the horses and races
indefinitely with no bets placed until another good opportunity
shows up.

What are they doing?

They are looking for mispriced bets!

A horse with a one in two chance of winning, which pays you
three to one. They're looking for a mispriced gamble.

And guess what?

These happen in the stock market too. They don't come about
often, but when they do there is certainly scope to make a lot
more than our neighbors at the racetrack.

Again...

"Heads, I win; tails, I don't lose much!"

You may think, what I've explained is far fetched... And must
only be an available opportunity once in a blue moon.

But there is man from Surrey (You know of him) and he has built
a $7 billion fortune... By using this strategy time and time
again.

His name is... Richard Branson.

Let's delve into the birth of Virgin Atlantic and learn how to
start any business with minimal capital.

Richard Branson started his entrepreneurial journey at 15 and
was very successful in building an amazing music recording and
distribution business.

Somebody sent Branson a business plan about starting an all
business class airline, flying between London and New York.

He thought about this proposition all weekend, and on Monday
went to meet his partners. They laughed off the idea, claiming
it was ludicrous just the plane alone would cost $200 million.

Branson persisted.

He called director inquiries to get the number for Boeing, and
asked if they had an old Boeing lying around.

The guy said they did, and after some persuasion the guy gave
out some ballpark figures and agreed they could lease Branson
a plane.

Branson then figured out his total outlay and maximum liability,
for starting Virgin Atlantic Airlines (if it failed) was just
$2 million.

(His record company was on track to earn $12 million that year).

Branson also figured he could hire a small ground staff, place
a few ads in the paper and start taking reservations.

Now if someone came up with this idea in Silicon Valley, there
would be a fancy business plan put together, and it would all
be based on at least $60 million in start up capital.

Branson did not go down this path.

The "business plan" was done in a weekend and resided in
Branson's head.

... And Virgin Atlantic went on to become a wildly successful
business that made a profit of almost $100 million last year.

And in 1999 Branson sold 49% of Virgin Atlantic, for a figure
that valued the entire business at £1.25bn.

Over 10 years his return on investment (ROI) has been amazingly
high ...So high it would be unheard of on Wall Street.

Why?

Because, Richard Branson intrinsically builds his businesses
and takes risks based on...

"Heads, I win; tails, I don't lose much!"

By now you're likely thinking "Look Richard Branson has done
very well - my hat's off to him. It's an entertaining story,
but surely these kind of opportunities cannot be still around
for little old me".

I'd be lying if I told you these opportunities came up in the
stock market every day. They just don't and even more so now
with the amount of analysts watching companies...

Almost all wildly "mispriced bets" would be found and exploited
(forcing the price upwards and closing the gap).

And the reason I've brought this up is not just because I
wanted to tell you one of my stock picking secrets. It is also
because VNGM follows this "heads I win, tails I don't lose
much" principle.

Let me explain...

Last week VNGM rose from $0.46 to $0.78, a 69.56% again in just
under 8 days.

During this time the stock formed a trading pattern, first it
rose upwards towards $0.55... It then swiftly dropped back down
by $0.10 before rising again towards $0.78...

Since then the stock has dropped back to $0.60... for what I
believe (and what Marl believes) will be another run in the
stock price.

And I believe the effects of this technical trading pattern
will be leveraged on the recent increased investor awareness
of this stock.

You' see last week VNGM was trading on large amounts of volume,
in other words many investors were getting in and out which
is what formed the trading pattern Marl found.

... And so right now, we have a large amount of investors
whom have VNGM sitting at the top of their portfolio, watching
its every move.

In my experience this amplifies any situation, if the stock
starts to move up and the stock charts show a green arrow...

Investors interest will pique and all those watching VNGM have
the opportunity to easily buy in, for what looks like a repeat
performance of last week.

Just look at the stock chart:





The chart clearly shows a pattern as it peaks, then falls back,
then peaks again before falling back.

This pattern was identified by Marl last week, and again this
week.

However...

This time, Marl issued an even stronger buy recommendation
because the pattern is trending towards what I believe (and
what Marl believes) will be an even bigger gain.

So, how does this relate to the heads I win, tails I don't
lose much theory I told you about?

Well, as a matter of fact VNGM is an opportunity that follows
this theory exactly.

I've just explained what I believe is the "Heads I win" factor
in this stock... And this is all Marl needed to give this pick
a strong recommendation.

But what makes VNGM so great, that I decided to choose it as
a pick twice in a row?

Of course it is that in my opinion it has very small, downside
risk. And so it meets the "tails I don't lose much" criteria
too.

Again, let me explain:

I chose VNGM because it is a Uranium company with an edge over
others. They are situated in an area that allows for a very
low cost of production.

... And they are currently working hard to raise their profile
with investors, since releasing the pick VNGM have reported a
very important development.

VNGM are planning to start exploration at a new site (Killock
Bay) which will include:

* Compilation of historic geological, geophysical,
geochemical and drilling data from government
assessment files;

* Helicopter-supported property-scale boulder sampling
and prospecting;

* Ground geophysics, data interpretation and target
identification; and...

* Possible drilling if warranted.

If VNGM start drilling at this site, it could see millions
of dollars flood onto this small companies accounts.

And if that did happen, it could send the stock price rocketing...

Now, naturally I'm not pinning my hopes on this reserve being
full of Uranium (that would be foolish).

But I believe just the fact this is a possibility will support
the stock price at these levels.

In other words...

If, as I believe and as Marl predicted VNGM follows its trading
pattern and runs back upwards...

Then "Heads I win"... you'd be able to make a good profit in
just a week or two.

And I strongly believe this will happen. Marl predicted this
same pattern last week, and it made lots of subscribers almost
a 70% gain.

But what really makes this pick great.

What makes it the 800lb Gorilla is that...

Even if this does not happen, VNGM is a great value investment.
The company operates in an industry that is obviously directly
linked to the price of Uranium.

And experts agree...

Uranium is only likely to increase in price in the future, as
more Nuclear Plants are built that require Uranium.

Not only this but the company is in my opinion massively
undervalued, even at these levels.

... And these value factors will support the stocks price,
even if the technical aspect does not come true.

Therefore VNGM is a classic case of:

"Heads, I win; tails, I don't lose much!"

It is the same stock, following the same trading pattern that
made investors huge profits just last week...

And as I said, I believe VNGM's stock price is very likely to
slowly (but aggressively) run upwards over the next coming week
or two weeks...

Which could I believe allow you to easily double your money.

P.S. As in my opinion VNGM is an obvious "mispriced bet", it
is very time sensitive. If you're reading this email more than
24 hours after it was sent please don't even bother.

Monday, April 7, 2008

Doubling Stocks ...The Most Undervalued Mining Company, I've Ever Seen

This week's stock is something special. I know it, my team
knows it, Marl knows it and by the time you have finished
reading this email you will know it.

And there is one vital reason I believe researching this
company tomorrow could be the smartest financial move you
make this year.

First, I'd like to tell you about my favorite industry to
invest in at the moment...

Alternative Energy!

Why? Because it's a hot topic. It's in the media every single
day... And for a problem humans face it's probably the biggest.

Now usually I don't like "hot topic" stocks. Riding the latest
wave usually produces mediocre results, since companies in
"hot sectors" are usually overpriced to begin with.

It's not uncommon for hot companies to have huge price to earnings
multiples... In fact, one of the hottest companies, Apple has
a 33.38 P/E ratio...

In other words it would take over 30 years for the company to
make back (in earnings) any money you invest.

Forgive me, I digress... Because I've found what I consider to
be an absolute rarity...

A hot topic stock, that is virtually unknown!

And this company is operating in the alternative energy field...

But more specifically I'm talking about a silver-gray metallic
chemical element in the actinide series of the periodic table
that has the symbol U and atomic number 92.

Uranium!

Like I said last week, the US and UK economies, aren't looking
healthy at the moment. Highlighted by the very recent takeover
of Bear Sterns at just $2 a share.

The markets may be headed into recession, but there are two
commodities I believe you can count on... Uranium and Gold...

Mineral commodity markets tend to be cyclical, i.e. prices rise
and fall substantially over years. In the uranium market, very
high prices in the late 1970's gave way to very low prices in
the early 1990's.

... In fact they were below the cost of production... and mines
were losing millions of dollars a month!

But on cue, in 1996 prices recovered so that mines could produce
profitably again... But since 2003 there has been a very very
strong recovery.

And because of this, and the mindset of consumers and investors
that energy is scarce further forcing prices higher... Investing
in these markets is I think...

Recession Proof!

And by what I've said you must be thinking that investing in
Uranium as a commodity is a good move... But there's something
even better.

Whenever I investigate and find a commodity is heading into a
bull market... I always... try and invest in a company which
benefits from this bull market instead.

You' see over the years, stocks have provided (on average) far
better returns than any commodity.

And pairing up a strong company, with a strong link to a commodity
expected to increase in value... Is the smarter way to invest
in commodities.

And the company I've picked is a uranium exploration firm whom
base their operations in Saskatchewan where high-grade ore can
be extracted but most importantly (and here's the reason I
chose this company):

... Unlike other Uranium exploration companies this one can
extract the valuable mineral at extremely low production costs
primarily because of where they are located.

You' see the company own several large claim blocks, in a place
called Athabasca Basin. This place is renowned for its low cost
of production... and this affords the company a vital competitive
advantage...

Because Uranium is purchased solely on the price, (apart from if
the quality is inferior)...

Profit Margins are Slim...

And therefore the ability for one company to have a lower cost
base means they can charge less, and make more. In addition
they'll have more profits to invest in exploration and they'll
be able to continue operation even when times are hard.

And this company have their own "secret weapon".

One of the companies staff is a maverick of the mining industry:

I cannot name him, but he has been in the mining industry for 18
years... And during this time he was instrumental in the discovery
of million dollar gold deposits in Nevada and South Carolina.

He has helped find mines which have taken companies to millions of
dollars in annual profits.

This guy is also an authority on professional geology, and is the
author of numerous acclaimed publications.

But most importantly for us, this company is operating in a
"hot topic" industry... And it has been flying under the radar
of almost every investor.

In fact... This company is I believe undervalued even in comparison
to normal companies, but in comparison to similar hot topic stocks...

It's an Absolute Bargain!

Now I must tell you, I don't usually like to invest in stocks that
are undervalued. And by this I mean, for example, companies that
are selling for $500 Million with $600 Million worth of real estate
or oil or anything that can be fairly easily turned into cold hard cash.

You' see stocks like this can be a bargain. And they are almost
guaranteed profits... But it can take up to 5 years for the market
to finally correct the price, and take into account the resale value
of the factories (in this example).

... And so the only reason I chose this stock as a value play, was
because... It is in a "hot topic" area... And so I believe the process
of the market re-evaluating it could take...

Just Two or Three Weeks!

By the way, there is a strange, and unusual reason the company has
kept itself "under the radar"... And I'll explain why in tomorrow's
report.

If you want to read that email, as soon as it hits your inbox, I
suggest you have your email inbox open at precisely 9:30AM tomorrow
morning... That's when I'll be sending an intriguing report with all
my findings.

Best Regards,
Michael Cohen

P.S: A number of members have left feedback that they occasionally
receive the "warning email" (this email)... But not the actual
newsletter during market open.

Because of this, I've setup a page where you'll be able to view
tomorrow's stock pick report online (At 9:30AM EST)...

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