Huge move on earnings news. I've got to gloat a little that I just up doubled up on my very small stake at .159. The move brings me nearly back to even <g>.This is a tiny company that I've posted about before (though not on this board) that I'm impressed with largely because they seem to be a real company, with real plants and real projects, something of an anomaly within their space in the alt energy sector. While they have been losing a lot of money I think they could prosper if alt energy in general prospers...which I'm betting on. Today's news is encouraging. Of course, with a company this small there is always the distinct possiblility that they simply can't compete with the big boys.http://biz.yahoo.com/bw/061010/20061010006020.html?.v=1
I agree it seems to be a 'real' company. However, in listening to the latest presentation, I don't think I could be less impressed with the CEO himself. Seems like a hypster. He may be the CEO - and the founder - but that company certainly needs a more credible spokesman, IMO.jp
I agree it seems to be a 'real' company. However, in listening to the latest presentation, I don't think I could be less impressed with the CEO himself. Seems like a hypster. He may be the CEO - and the founder - but that company certainly needs a more credible spokesman, IMO.That's why I usually avoid conference calls and like to let the numbers speak for themselves....although I would like to know something about their financial estimates. If I did listen to the conference call it would be with an ear to any sentence that spoke to their estimates for when they expect to be profitable. THAT is really the only thing that's important. Did you hear anything in the conference call about that? I hope I've learned over the years, particularly with the hard lessons from the dot-com bust, not to confuse a "great story" with a great business model. And I guess that's a big reason that I'm so down on companies like HYGS and FCEL (especially HYGS). If you listen to their articulate spokesmen you can get the impression that they have viable business models - but it's hard to find any evidence of that in their financial statements. HYGS just released earnings - I'll make a separate post about that. WWAT officially released very a very positive 3q earnings report today - they were up big initially but are now only up 3% (a penny <g>).Baby steps:http://biz.yahoo.com/bw/061114/20061114006387.html?.v=1WorldWater & Power Announces Third Quarter ResultsTuesday November 14, 4:30 pm ETAchieves Record Revenue for the Quarter of $6.5 million Record Gross Margins of 22%PENNINGTON, N.J.--(BUSINESS WIRE)--WorldWater & Power Corp. (OTCBB:WWAT.OB - News), developer and marketer of proprietary high-horsepower solar systems, today announced results for the third quarter ended September 30, 2006. Revenue for the third quarter was $6.5 million with gross margins of 22%. The company had given preliminary guidance of revenue in the range of $5.8 - $6.1 million for the quarter."We are very pleased to announce, as expected, our best quarter in the Company's history," said Quentin T. Kelly, Chairman of WorldWater & Power Corp. "We are on course for continued improvement during the fourth quarter and project significantly stronger growth in 2007."Financial Results:Revenue for the third quarter was $6.5 million, compared with $0.6 million reported in the third quarter of 2005. Gross profit for the quarter was $1.5 million or 22.2% gross margin, versus a loss of $0.2 million in the prior-year period. The company posted an operating loss of $0.4 million compared with an operating loss of $1.4 million in the third quarter of 2005. Net loss for the third quarter was $0.8 million, or $(0.01) per share, compared to a loss of $4.8 million, or $(0.05) per share, in the prior-year period.For the first nine months of fiscal 2006, WorldWater reported revenue of $10.3 million, versus $0.8 million in the same period last year. Gross profit was $1.9 million for the first three quarters of 2006, as compared with a loss of $(0.2) million in 2005. Net loss for the period was $6.3 million, or $(0.05) per share, versus a net loss of $7.5 million, or $(0.08) per share, in the same period last year............===========================Currently up about 5% on the news though they were up more earlier...Many small alt energy startups seem to put more energy into maintaining an illusion of being a real business than they do into actually becoming one and are actually nothing more than thinly disguised ponzi schemes designed to enrich insiders at the expense of share holders, so I like to keep a close eye on insider trading - WWAT had one insider transaction in the last 2 years which was a purchase of 500,000 shares by a director in May 05 at 15-25c/share.http://finance.yahoo.com/q/it?s=WWAT.OB
That's why I usually avoid conference calls and like to let the numbers speak for themselves....although I would like to know something about their financial estimates.I tend to be the opposite. I record and replay and analyze conference calls - most of the time on my mp3 player in the car, at the gym, etc. The hard numbers are rearward-looking. The forward estimates often are not put in context except in conference calls; including during the Q&A sessions. And none of the numbers gives you a real assessment of the people in charge; not really. And I've tried to be in on more than a few of the questions myself. It's usually only on the third or 4th listening that I realize what questions I need to ask; including what is not being talked about, that should be. I then contact...and occassionally call...the company with the questions. That alone usually is an experience.DESC, for example: I've considered their assessments of themselves on conference calls to be pretty good over several years now (and over both CEOs terms'). It was the trust I developed in them that led me a couple of years ago, to increase my holdings significantly at $1.70 when they uncharacteristically gave a statement at a cc that they think they just had hit an inflection point. Turned out to be right on the money. And I think they are better looking forward right now than they ever have been. AND, they answer shareholder questions. Contrast that with what, until last week, was another holding of mine: HYGS. They don't allow individual shareholders to ask questions on conference calls - in violation of SEC regs, by the way - AND, they never, ever, even acknowledge you sent them an email with questions. Trust me, I know.If I did listen to the conference call it would be with an ear to any sentence that spoke to their estimates for when they expect to be profitable. THAT is really the only thing that's important. Did you hear anything in the conference call about that? I just listened to their September pitch again for you. Nope.And I guess that's a big reason that I'm so down on companies like HYGS and FCEL (especially HYGS). If you listen to their articulate spokesmen you can get the impression that they have viable business models - but it's hard to find any evidence of that in their financial statements.Well, careful on that with HYGS; via Stuart, they've been around over 50 years, with a very clear business model there. HYGS, which started as a fuel cell test equipment maker, has done well there- even inspite of a hiccup at the Greenlight unit that necessiated a management change. And even thought Stuart has had a clear business model for decades, that didn't stop their European Vandenborre operation from royally screwing up the entire past year --leading, finally, this week, to that manager getting replaced (about six months too late, in my opinion).(FCEL has a rougher time of it going forward, in my view: I don't think they have done anything 'wrong' with the core product. But they have not broadened out sufficiently to cover themselves as a company. In the past two years, ACPW - and DESC - have broadened themselves in a way that makes them less-risky companies than they were. FCEL hasn't).HYGS is not a fake company; and its fuel cell portion is growing; and Europe -appears- to maybe be on the mend. That, combined with all their cash, may mean that they can be a speculative buy below, say, $1.40. They aren't going to disappear in a year or two. But they have a very weak board of directors; and a shareholder-unfriendly management. Plus, Pierre has proven himself more visionary, than business manager. DESC on the other hand - as well as, say, ACPW - have real managers in charge now. Both are stable, well-managed, flexible and innovative - and at undeservedly low prices right now.jp
...just doubled up at .159....Since I posted about buying this company I thought I should post when I sold them...Just returned from vacation to find that my GTC order to sell WWAT at $2.50 executed a few days ago. What a ride!!! I don't think I ever had a 10 bagger even during the dot com days. I had a hard time deciding to take the profit on these shares - I had really fallen in love with this company but recognize what a dangerous love affair this could be. I may live to regret the sell (a little) but I'm hoping for an opportunity to reload under $1 again. I did keep a few shares though, just in case I never get another opportunity at a bargain basement price...
Congratulations. I never took the plunge but believed this stock could run. I don't think it's done yet.
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