China Teletech Holding Inc (CNCT)

[DD2Gain]

As seems common anymore there is way more discussion about the pps and promos than the health of the company. The par value is .01 per the last RS with less than 92,000,000 issued on 1,000,000,000 authorized. The company has $1.5 million in cash and $2.3 million in total assets. Its debt is a manageable $5 million with a net income (profit) of $62,000 from $9.1 million in sales for the first quarter of 2013.

There was a recent pump that shot this stock to the 40's after which it settled confortably in the .01 range before this latest bump ON NO NEWS except for, apparently, an email promo scheme.

At .01 the market capitalization of this potentially $35+ million company (for FY 2013) is currently $1 million. Let's not forget that it's actually profitable.

Seems to me if you got in at .05 or less you will be just fine in the long wrong, but got hooked into a promo without looking at the company or the stock's behavior. It never feels good to see your investment drop 80%, but the support level here is around .01 until there is news to boost it and I see no reason to believe it will be bad news. 2Q financials are coming up, BTW. $CNCT