Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
lol you're really not getting it or you're just choosing not to. The original loan agreement between TCA and ZNGYQ is not valid because TCA fraudulently induced ZNGYQ into the deal; therefore, it is not a valid contract under the law.
I'm not sure how much you know about Senior Secured Lenders but they essentially function as the business' bank. Here, TCA acting as Sr. Secured Lender, would have made the same representations to ZNGYQ about assets under management so that ZNGYQ could feel confident that they'd receive the agreed upon loan tranches.
When TCA initially defaulted and refused to pay the remaining tranches, it was not known that TCA was actually just a Ponzi Scheme so they did not even have the cash on-hand to pay ZNGYQ (even though ZNGYQ lived up to its end of the agreement by all accounts and records).
TCA will not be receiving a dime in this bankruptcy proceeding. Trust that.
Trader59, Please give a fair reading to my sticky post 71546. You are omitting key information and making conclusions without taking into consideration very pertinent facts with your statement below:
"The SEC "coming down" on them doesn't erase the debt this company owes them. They started borrowing money from TCA in 2018, took it willingly on the terms provided." - Trader59
What the foregoing fails to consider is that TCA fraudulently induced ZNGYQ into the initial loan agreement by misrepresenting how much funds they had available to lend (https://www.i-aml.com/post/sec-sues-500m-tca-fund-management-four-cayman-funds-for-alleged-fraud). Remember how Madoff got caught. He ran out of money when investors came looking for their payouts.
Here, ZNGYQ's business was booming with more contracts than they could fulfill. They just needed operating capital from TCA but TCA refused to provide the 2nd tranche of ~$1.5M. This completely disrupted and hindered ZNGYQ's business operations and prevented them from fulfilling contracts/earning revenue.
Whereas TCA had the cloak of legitimacy at the outset of these bankruptcy proceedings, they no longer wear that cloak.
Under the law, TCA cannot be the financial beneficiary of its own fraud. That's undeniable and ZNGYQ's lawyers are going to have a field day with these bums from TCA.
Expect $ZNGYQ to go on the offensive here as TCA is a wounded animal - put into a receivership by the SEC for fraud and about to be wiped off the board in this bankruptcy proceeding. If you like chess, you have to love the moves ZNGYQ is making right now. They have the facts, law, and public sentiment on their side.
That is a bold assumption given TCA's history of fraud. I think ZNGYQ's lawyers see a wounded animal and they're going to put it out of its misery. TCA will not be calling any shots going forward. They lost those privileges. See my Sticky Post for reasons why TCA will likely be facing Civil and Possibly Criminal Penalties for their fraud against ZNGY, the other creditors, and common shareholders in this case.
Exactly. This Bankruptcy would have never happened but for TCA's fraudulent actions.
Let's start with TCA Fraudulently Inducing ZNGYQ into the initial loan agreement. As a senior secured lender, TCA acted as ZNGYQ's bank making installment loans in ~1.5M tranches so the startup could fund operations and fulfill contracts.
ZNGY Company Sources have posted publicly that ZNGY had more contracts than they could fill. Business was booming. ZNGY just needed the additional loan payments to fund operations from TCA. BUT TCA purposefully withheld the funds because they were a Ponzi Scheme (see recent SEC lawsuit confirming that TCA misrepresented how much assets they had to investors, clients, etc.).
TCA didn't have the funds they claimed to have and screwed up ZNGYQ's business operations. TCA also then falsely blamed ZNGYQ and fraudulently triggered the bankruptcy due to some slick predatory lender language in the initial loan agreement.
If ZNGYQ could've just continued operations, there would have been no need for the bankruptcy and ZNGYQ would by a multi million dollar business today pushing into the billions. They were OTCQB with ambitions of up-listing to the NASDAQ
Check the bankruptcy filings. Assets and Liabilities are in the same range. The numbers are a joke and this bankruptcy should have never been triggered in the first place but for TCA's fraud - now TCA has been busted by the SEC and they are going to get moved out the way real fast. ZNGYQ was barely in any debt and one or two fulfilled contracts would have put them into major profitability.
ZNGYQ's services are more in demand now than ever. This is a VCs dream to come in and White Knight this thing. https://www.whatiszenergy.com/
IMO, ZNGYQ is going to go more on the offensive now and get TCA cut out so that the other creditors and commons can be made whole. If I had to guess, the White Knight 3rd party lender that is going to fund their bankruptcy exit is likely another lesser creditor who was ticked off with the original plan that would give the fraudsters at TCA the entire company and leave the other creditors with pennies on the dollar. There's ZERO chance that happens now. TCA can't fight back now. They don't have the resources. TCA was put into a receivership by the SEC and remain under investigation after 3 whistleblowers came forward to expose their Ponzi Scheme.
The millions of dollars that poured into ZNGYQ, a trips "Q" stock last week was not an accident. And it is not a coincidence that we receive news via today's filing that a White Knight has been identified who is willing and able to fund the bankruptcy exit. This is heading to pennies+
This is NOT just another extension! Read the filing. Remember that game when we were kids, "which thing is different than the other?" And there'd be pictures side by side and you'd have to identify something that was different.
Well, with today's filing, we have HUGE NEWS that is different from the three prior Motions to Extend, See Paragraph 4:
4. In light of this development, the Debtors have been negotiating with various third parties to obtain funding for the Debtors. The Debtors have had a number of constructive discussions. In the past week, the Debtors have identified a third-party lender willing to lend to the Debtors and are working with the Debtors’ management to structure a bankruptcy exit. The Debtors require additional time to finalize negotiations with the third-party lender and determine whether to pursue a plan or sale process. Accordingly, the Debtors seek to extend the exclusivity periods to conclude negotiations with the third-party lender.
THEY FOUND A LENDER TO ASSIST WITH EXITING BANKRUPTCY!!! The "Plan" as it was defined in the prior motions (which included the provisions to eliminate commons and allow TCA to take the company private is no longer even referenced as a possibility).
HUGE filing out today. White Knight comes riding baby!!! Let's GO!!!
That'd be huge. Source? Auctus is also a lesser creditor in this proceeding so if they want to pull double duty and do exactly what they just did with BRT *X * Q, then I think we would all love some of that White Knight action.
Hey Macdwatcher1 good post. TCA was the senior secured lender who recently settled fraud claims with the SEC and remain under investigation. TCA should not be permitted to benefit from these proceedings. Are you saying TCA got bought out already? Or was it another lender? Do you have a link?
Hi Trader59, your post is misleading because the filings clearly state that they need time to work on a new plan and that the old plan is no longer feasible because TCA can no longer provide financing due to the fact that they are in a receivership after settling fraud claims with the SEC. TCA caused this bankruptcy and have been absent since May.
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=158263203
I requested to become a Moderator of this board to prevent BS like that from occurring and to be able to post a sticky countering the BS. I provide links to sources and always present facts in a measured way.
I still haven't been approved to moderate and hope they approve it soon.
Thanks, that would mean the entire float was turned over multiple times last week even though its on the high side; however, I'm not sure if the float numbers provided by Market Watch are accurate b/c it says OPT * I has a float of 8million and I know that isn't remotely possible.
Thanks for this context and providing the background information on the company.
One very important update is that TCA wasn't withholding the additional funds because of "disagreements with management" (although that is the excuse that may have given at the time). It is now coming to light that TCA was running a Ponzi Scheme and they recently settled some of the fraud claims with the SEC and have been placed into a receivership (SOURCES: https://tcafundreceivership.com/ and https://www.i-aml.com/post/sec-sues-500m-tca-fund-management-four-cayman-funds-for-alleged-fraud).
TCA, acting as Sr. Secured Lender, didn't supply the additional funding to fulfill those contracts (which would have allowed ZNGY To continue operations as usual and make serious millions of dollars) because they were a fraudulent Ponzi scheme. Any other legitimate Sr. Secured Lender would have lived up to its obligations and made the loans but the fraudsters over at TCA were greedy and preferred to do a hostile takeover instead. They didn't have the money (event though they fraudulently represented that the did to induce ZNGY into entering into the loan agreement), then TCA blamed ZNGY when they could't provide the funds. Worst people ever.
TCA triggered this bankruptcy when they had the cloak of legitimacy to protect them. ZNGYQ was right on the brink of having to hand the company over to TCA (who wanted to take it private and cancel all common shares). The original March bankruptcy plan called for a cancellation of common shares and allowed TCA to take over the company and make it private. The hostile takeover would've been completed at the Bankruptcy Plan Confirmation Hearing on May 14 but TCA settled claims with the SEC for fraud and were placed into a receivership on May 11 so that plan was no longer feasible. Since then, 3 extensions have granted and the volume last week tells me something is definitely up (that type of money didn't just fall into a .0001 "Q" stock on accident).
ALL COMMON SHAREHOLDERS HAVE A VALID LAWSUIT AGAINST TCA (AND POSSIBLY OTHERS) IF COMMON SHARES ARE CANCELLED AS A RESULT OF THIS BANKRUPTCY, WHICH WAS NEVER LEGITIMATE TO BEGIN WITH. IT WAS A FRAUD PERPETUATED BY TCA FROM THE BEGINNING AND; THEREFORE, ANY CANCELLATION OF COMMON SHARES SHOULD BE MET WITH A LAWSUIT FROM SHAREHOLDERS. IT IS MY OPINION THAT THE LAWYERS FROM ZNGYQ KNOW THIS AND, PER RECENT FILINGS, THEY ARE WORKING ON AN ALTERNATIVE PLAN (HOWEVER, THERE HAVE NOT BEEN ANY FILINGS THAT CONFIRM DEFINITIVELY THAT COMMONS WILL BE PRESERVED).
696,428,862 is the float as of 2/13/18 according to OTC Markets but I assume it has to be more now? If its not, watch out. This will fly. Anyone able to get a more updated float?
They are not moving forward with that plan anymore. The original plan was supposed to be confirmed on May 14 at the Confirmation Hearing; however, it was not confirmed because, in part, TCA settled a separate fraud claim with the SEC 3 days earlier on May 11 (so the original plan was no longer feasible).
Additionally, the SEC Whistleblower investigation into TCA is ongoing and it looks like they are in some really hot water. They don't have money to pay lawyers to fight this one. Very low on their totem pole. TCA was put into a receivership (SOURCE: https://tcafundreceivership.com/) and have been ABSOLUTE GHOSTS during these bankruptcy proceedings.
TCA is a predatory lender and the top creditor in these proceedings. TCA forced this bankruptcy to go in for a hostile takeover. With TCA out of the way, there's a lot of possibilities ahead for the company. All of them are good.
There has been at least 3 extensions since the original May 14 Confirmation Hearing date and they are working on a new plan (as you can read in the court filings for yourself). Whether or not it preserves common shares is an open question. The astronomical volume last week and the constant $100,000+ on the bid at most times tells me this is not just some iHub group looking for a quick score.
I have made some other discoveries that I will be posting throughout the week. I provide sources for all of my assertions. Here are a few of my past posts. I would like to help moderate this board.
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=158260125
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=158247364
$ZNGYQ DD What's Been Going On with TCA?
Here's a 7 Tweet DD Thread on the Current State of Play
https://twitter.com/UncleBillyMoney/status/1305164766705528832?s=20
In a nutshell, TCA (shady lender) went in for a hostile takeover here but they have their own problems as they recently settled fraud claims with the SEC and the Whistleblower investigation of TCA is ongoing.
This is still a Q so there are no guarantees and I'm going to mitigate risk by taking some profits and let the free shares ride but I don't see how the judge would allow TCA to take the company private and cancel common shares under these circumstances. The upside potential here is mind blowing.
SOURCES:
https://www.reuters.com/article/us-hedgefunds-tca-sec/florida-business-lender-accused-of-accounting-fraud-settles-with-sec-idUSKBN22P2Y6
https://www.compliancebuilding.com/2020/05/20/the-one-with-the-inflated-loan-values/
"TCA Fund Management Group Liquidating Main Investment Fund Amid SEC Probe & Whistleblower Complaint" https://www.silverlaw.com/blog/tca-fund-management-group-liquidating-main-investment-fund-amid-sec-probe-whistleblower-complaint/
Here's the DD Link via my Twitter Thread
https://twitter.com/UncleBillyMoney/status/1304523184822255617?s=20
Thanks for posting here too SoulMan
$861,788 traded today (Friday). Volume high all week. Follow the money.
I saw a direct correlation between the PPS dropping today from 8s after Twitter users posted an outdated, misleading Bloomberg article from March with the headline: "Zenergy Brands Proposes Wiping Out Equity in Reorganization" . . . The Tweets asserted that commons were indeed cancelled; however, they were not cancelled so I felt the need to clarify with links to the actual court documents for anyone seeking answers.
The "proposal" to cancel commons was supposed to be confirmed at the May 14 Confirmation Hearing. But the plan was not confirmed and, since then, there has been nothing but positive reports coming in from the company as they appear to be getting back on track. They should've never been in bankruptcy to begin with but were forced into it by an unscrupulous lender (TCA) who tried to go in for the hostile takeover (steal the company because it was doing so well and has so much upside potential). The loan documents (which called for payment installments in several tranches) had some shady legal language that triggered the bankruptcy when TCA refused to continue lending. ZNGY's lawyer (if any) who signed off on these loan terms should have his head examined but it is now coming to light that TCA has done this in other instances and they are being looked at closely for criminal violations in other cases.
Why, at this stage, would the judge approve a new proposal that cancels common shares when it was not approved back in May? Since then, Zenergy has made solid progress with nice assets, revenue flowing in, operating "business as usual" with updates/upgrades to the company website (www.whatiszenergy.com), and debt being paid down to the point it looks like we're in a break even or even a profitable situation now.
As mentioned in the Twitter thread, I typically don't play Qs but we've seen what they can do lately and this one has a lot of upside potential. Price is still low enough that a double up/ride free shares to mitigate risk is more likely than not IMO. GLTA.
We're going to see an explosion when the 10K drops & shows total assets are actually more than current market cap
2020: They sold 22 homes w 8 under construction 2020
2021: $30-40M FINALIZED CONTRACTS w Cirrus Pointe to close this Fall $64-100M
Trading 1.8-12M Mkt cap? That's hilarious.
This Tweet shows 4 verified North Star Homes sold this year collectively worth more than $2,000,000. They sold at least 18 more of these homes per the last PR. This is a gold mine.
https://twitter.com/UncleBillyMoney/status/1303383950086123522?s=20
"Home Builder sentiment reached the highest level on record . . Home Building has been great." -
@realDonaldTrump
https://twitter.com/UncleBillyMoney/status/1302009844082319360?s=20
$XTRM North Star Homes Quick DD:
*22 Homes Built/Sold w/ 8 More Under Construction 2020 (company took care of business and got it done during the pandemic - much growth ahead)
* Finalized contracts for 3 subdivisions for 2021. These are community builds collectively worth $30-35 Million (low estimate)
* Cirrus Pointe, Caldwell Project - 214 Lots x Homes Starting in the $300,000s = minimum $64,000,000 and likely more than $100,000,000 in gross revenue. Went under contract July 16 and closes in the Fall. Company PR: "We will have a huge announcement in the Fall on a 214 lot starter homes plat in Caldwell with homes from the low $300,000s"
* Sept. 2nd @XTRMBIO Tweets about a project worth minimum $10,000,000: "North Star Homes is excited to announce a new project coming in the Spring 2021 LUPINE COVE a 25 lot plat in west Meridian with homes staring in the mid $400,000.00’s . Meridian is one of the fastest growing cities in the country. $XTRM"
* The Tweet caused a 113% increase in share price and $1.5M dollar volume for the day. I wonder what will happen when they tweet about Cirrus Pointe? Or release the 10K, etc.
* XTRM 10K due on Sept. 28 but Company Tweeted that they're going to get it out early so I'll be on alert and refreshing OTC home page
* Company has also indicated interest in uplisting to OTCQB (which requires .01+ for at least 30 days so I doubt will go back under .01 again after last week and all the catalysts coming).
* There is a major home building boom in Boise, ID area. Home Builders are in demand. Demand is at all time highs/supply of homes is at all time lows. Prices are increasing (11.7% in July). Here's a link to an incredible local news series called "GROWING IDAHO"
Company Tweet on Monday said annual report will be out in the next week or so (Tweet linked below). This was interesting because it isn't actually due until September 28. Its due 90 days from end of Fiscal Year ending 6/30/20 so it is interesting that they said it will be early (but the wording of the tweet made it seem like they wanted to get it done even earlier).
Yesterday, they announced LUPINE COVE deal closed so perhaps they are looking to add that minimum $10,000,000 deal on to the annual report as part of a "Subsequent Events" addendum (which is common when big deals are done after the Fiscal Year ends that provide positive forward guidance for investors).
XTRM acquired North Star on November 19, 2019 so the annual report will cover end of November 2019 - June 2020 (about 7 months, not a full year and it is still going to be a MONSTER 10K). The March 10Q showed $2.5M in revs the first few months with very little debt (the note holder, Rachel Cook, is a realtor who is actively selling North Star Homes so it was a good early stage investment).
After the March 10Q, the pandemic hit businesses hardest in the following months that will be covered in the annual report (e.g., April - June) but the company's last PR in August still had positive news: XTRM sold 21 homes with 8 more under construction this year. A few days later we found another North Star home sell for $531,000 on Zillow so that would be 22 homes sold this year (at minimum).
I will be looking for a few things in this annual report. The increase over $2.5M revs will show how much revenue they were able to generate in April -June pandemic months. Even though it is an annual report, it will only really cover approximately 7 months because the acquisition occurred in late November 2019; therefore, a "Subsequent Events" addendum with July, August, and possibly September revs along with positive forward guidance is likely.
Additionally, the major lot acquisitions that we know are finalized worth approximately $30-35Million should be included (if not in an addendum to the 10K, in a separate 8K). Meridian, West Boise, West Meridian LUPINE COVE are the projects.
When and how they will execute the name change is also anybody's guess but they will get it done IMO (based on my personal DD).
Then, of course, the BIG BEHEMOTH: 214 Lots with homes starting in the $300,000s "to be announced in the Fall" is the Wildcard catalyst that can be announced any time after September 14 (that's the earliest possible date because it would be 60 days after Cirrus Pointe went "under contract" on July 16 and it takes at least 60 days to close). First day of Fall is technically September 22 but that could just be semantics. I love Earth Wind and Fire so it could be "Do You Remember, the 21st Night of September" when its announced. :)
In any case, there's a lot of catalysts this month and this company is just getting started. The ebb and flow is what it is but its entirely possible we see a DIME+ run with all of the catalyts and the way this stock moves on air with any type of buying pressure (e.g., yesterday we had $1.5M volume and 113% increase).
Profit takers today with a hot RSI in the morning followed by consolidation after a big 113% run is no surprise but selling really dried up at the middle-end of the day and I think we have some strong hands who want to have all their shares when these catalysts hit and we run like the wind.
Company’s 06/30/2020 annual report is taking longer then we expected, hopefully it should be done and uploaded on OTC Markets in the next week or so.
— Extreme Biodiesel (@XTRMBio) August 31, 2020
Great day. BIGGEST BEAST IN THE OTC. A lot more room to run here. Accumulation is way up. Buying pressure will continue to push this to higher highs. Catalysts galore this September and Fall. Really good stuff.
$1.5 Million Dollar Volume Today. Absolutely no dilution. Clean L2. I will be the first to call out dilution. Fear mongers will say that to get cheapies (or shorts) but all you have to do is watch the L2, look at the accumulation line (linked in my Tweet below if you want to take a look and see we have over 500million shares accumulated). $XTRM is JUST THE BIGGEST BEAST IN THE OTC.
https://twitter.com/UncleBillyMoney/status/1301323883283447813?s=20
In my 20+ years of investing, I've never seen a company better positioned for growth and massive % gains than $XTRM North Star Homes.
Right Business: Home building is the hottest sector (besides tech) right now as millions of people flee cities for livable suburbs. The Work-From-Home Revolution is just starting and Toll Brothers CEO recently said it is the best time for home builders he's ever seen in his 30 year career with Boise being the hottest market.
Right Place: Boise area is the #1 growth market for residential real estate. Demand is outpacing supply. Red tape is being cut and building permits expedited. New data from Boise Regional Realtors shows housing in Ada County (where XTRM builds) broke several records during July.
Right Time: Demand for new homes is at an all time high while supply is at an all time low. Record high of 1,402 homes sold. 22% increase from July 2019. Homes in Ada County are also costing more. Last month saw an increased median home price of $390,000. That's an 11.7% increase from July 2019 when the average price was around $349,000. That $390,000 is also an all-time high for Boise Regional Realtors since it began tracking home market metrics in 2004.
In addition to being in the right business, in the right place, at the right time, $XTRM is severely undervalued and underestimated. The stock price has been manipulated on low volume for weeks. TDA shows a market cap of 1.04M while OTC Markets puts it at 8-9M, both of which are preposterously low. Here's why:
*CURRENT REVENUE: XTRM acquired North Star Homes in late November 2019. In the first 10Q after the acquisition, we see $2.5M in revenue and very little debt. The only note holder was Rachel Cook (a realtor selling more homes for the company than the note is worth so she's friendly debt - great early stage investment by North Star to get involved with Rachel, who is well connected via Epic Realty - heavy hitters in Idaho real estate).
*FINALIZED CONTRACTS/10K: Since then, the company has reported 22 homes sold this year with 8 more under construction (this was all done during a pandemic when most businesses were shut down). The upcoming 10K is going to cover approximately 6 months worth of sales and its still going to be an absolute MONSTER. I also expect an addendum to cover "Subsequent Events" so we can see sales from July, August and maybe even September. An 8K with name change/symbol change along with summary of material contracts would also help to add value for shareholders and give new investors a clearer picture of the company's status.
* PROJECTED REVENUE: The company projected a minimum of 50 homes to be sold in 2021 (that's without counting the 214 lot Caldwell Project that closes this Fall). They secured FINALIZED CONTRACTS for $20-25M worth of builds for 2021 in August of 2020 - are you kiddin me bro? That's incredible stuff. They don't even have to get Caldwell and the share price would still be at a dime.
* BIG DEAL: Cirrus Pointe, Caldwell - the big behemoth that will take XTRM North Star Homes to the Next Level. 214 lots with homes starting in the $300,000s but likely averaging up much higher as the uptrend in home prices continues puts them at over $100M+ in revenue. Share price can be at 50 cents or more by Thanksgiving.
The stock has a great share structure and will fly north with any type of buying pressure.
*AREAS FOR IMPROVEMENT: Its not all sunshine, rainbows and lollipops though. North Star in in the best business, in the best location, at the best time but the company has some of the worst PR/communication skills I've ever seen. Gotta call it like I see it.
Everything is lined up perfectly for them if they adapt to modern times and take advantage of social media to promote and highlight their incredible homes. For example, every other publicly traded home builder company has a social media presence so the excuse that they're an "old school home builder accustomed to being in the private sector" doesn't work.
People invested their hard earned money into the company after the last PR and they've seen a lot of red - there's no reason for it and management must be accountable for their failures as well as celebrated for their incredible successes - seriously, I can't get over $20-25M in finalized contracts already locked up for next year. It's an unbelievable accomplishment, especially during the pandemic, but its time to grow up and become the "best in class building company" they assert themselves to be. The quality of the homes and sales must be presented in a way to attract a new INVESTOR base to get the share price to a healthy level - especially since they want to uplist to OTCQB (requires .01 for 30+ straight days) and eventually NYSE.
Looking forward a great month of growth in September for $XTRM North Star Homes.
SOURCES:
Toll Brothers CEO says he’s seeing strong housing market across the board: https://www.cnbc.com/video/2020/08/26/toll-brothers-ceo-says-hes-seeing-strong-housing-market-across-the-board.html
"Ada County Housing Market Sets Records for High Prices, Low Availability" https://www.ktvb.com/article/news/local/growing-idaho/ada-county-housing-market-sets-records-for-high-prices-low-availability/277-580b4814-6866-4b43-b9b9-a1f474fb2aac
https://www.otcmarkets.com/stock/XTRM/security
https://www.otcmarkets.com/stock/XTRM/disclosure
https://www.otcmarkets.com/stock/XTRM/news
UNCLE BILLY'S SUNDAY THOUGHTS ON $XTRM
September will be a big month for XTRM. Insiders/institutions have been buying and accumulating for the real run to DIME+ and steady growth beyond.
This past week, Toll Brothers CEO told CNBC that BOISE is the hottest market in the entire country and that he's never seen a better time for Home Builder stocks in his 30 year career.
Interestingly, @XTRMBIO Twitter account started following @TollBrothersInc shortly BEFORE that interview aired. This was XTRM's first new follow in MONTHS (they only follow 10 accounts and Toll Bros is the only builder they follow).
There's a real shortage of housing in the Boise area to the point that local officials are concerned about a potential homelessness problem. The demand for homes is sky high but there's simply a lack of available housing. They need homes built, yesterday.
XTRM's services of building affordable housing are in high demand and will continue to be for YEARS to come. They've secured contracts for massive growth to carry them through 2020 and all the way into 2021. That's a nice base to operate from with bigger projects (e.g., Caldwell and others) to be officially announced this Fall per company PR.
Rather than go the way of Seattle, Portland, and San Francisco (with respect to homelessness), there is an emphasis being placed on encouraging new builds in Boise's surrounding areas (such as Caldwell, Meridian, and West Boise - all locations XTRM is building/selling affordable homes). For example, one local realtor told me that building permits are being expedited and red tape is being cut so that entirely new communities can be built. Entirely. New. Communities.
XTRM North Star Homes is well positioned for growth for many YEARS to come and will be uplisted to OTCQB, then NYSE.
Sound crazy for an OTC Pink stock?
It isn't.
XTRM will be expanding from doing 30 homes/year in volume to 250-350 homes/year in volume in the #1 Growth Market for Residential Real Estate in the US.
Utilizing their model homes (Hawthorne, Shiloh, Aspen, etc.) will be a cost effective way to grow rapidly. For example, using the same blueprints and materials for the model home builds allows for increased revenue, greater margins, ability to expand (e.g., via subcontracting for more builds), all of which is great for shareholders. This is how Toll Bros (and other major Home Builders) started and they still use model homes for larger projects/subdivisions while also offering custom homes for a premium price.
Toll Bros has big projects in Boise and their business model is to acquire/subcontract local builders. For example, "Coleman Homes: A Toll Brothers Company" https://mycolemanhome.com. Pure speculation but $XTRM North Star Homes w/ millions in finalized contracts in hottest market is a logical acquisition target. The Twitter follow is interesting but, in any case, XTRM has HUGE GROWTH written all over it. Looking forward to company updates throughout the month.
Remember this has been artificially held down for weeks by MMs accumulating shares. Don't be "relieved" when we get back over .01 and sell. That's what they want you to do. How they want you to think. Penny is really just the starting line for all the reasons listed above. Hold strong and we fly.
MUST WATCH: Ada County Housing Market Sets Records for High Prices, Low Availability
https://www.ktvb.com/article/news/local/growing-idaho/ada-county-housing-market-sets-records-for-high-prices-low-availability/277-580b4814-6866-4b43-b9b9-a1f474fb2aac
$XTRM looking to rally on strong housing market news (record highs for Home Builders) in final days of August before September catalysts. Won't be sub-penny much longer.
https://twitter.com/UncleBillyMoney/status/1298964126002274304?s=20
https://twitter.com/UncleBillyMoney/status/1298823688914194432?s=20
Why $XTRM = Buy & Hold for .1+ past October IMO:
Accumulation up (its been strong and steady). Strong hands ready to ride this higher. NOT A FLIP!
Low Float getting re-locked and we know when XTRM moves, it moves fast and furious
Selling dry/wont be sub-.01 long
MMs *need* shares and PPS has been manipulated down on low volume (see L2/dont donate). Big Short Squueze for massive gains, will settle in above .03 imo and continue to climb with all of the catalysts.
*SERIES* of catalysts = stair step upwards: 8Ks w material contracts, name change, 214 lot purchase, 10K in Sept, OTCQB+more
I'm looking to hold for at least 1yr+ to see what this company does. Potential is incredible here. Unlike any other OTC.
Shorter version Tweet w/ chart:
https://twitter.com/UncleBillyMoney/status/1297697624758378504?s=20
$XTRM Going Big Leagues
Great video from an experienced financial advisor @kschollfinance breaking down his XTRM trade and DD: https://twitter.com/kschollfinance/status/1295821341476691970?s=20
High level production value here with some great information.
That's your opinion. I provide links to my sources and have done the research. This is a solid play, undervalued company, good share structure in growth sector with a lot of upside. GLTA.
$XTRM Big Picture Analysis
Thanks Chief, I decided to copy/paste yesterday's National Mortgage News article below and add my notes in bold to highlight how current market conditions put $XTRM in the sweetest of all sweet spots in one of the hottest sectors in the market.
"Historically Low Inventory Pushes Shoppers to Rural Housing Markets"
The coronavirus ushered in a heavy shift to remote work and pushed droves of consumers to the suburbs for more space and better value. Now that the market caught up to the initial wave, borrowers are looking even further from cities in their search. NOTES: $XTRM North Star Homes is building in the greater Boise area, #1 growth market for residential real estate in the US, including $20-25M in finalized contracts for Meridian (one of the US fastest growing cities) and West Boise. They have a huge announcement about a 214 lot plat in Caldwell set for the fall - this is a $64-100M project.
Median sales prices in rural areas spiked 11.3% year-over-year for the four weeks ending Aug. 2, according to Redfin. Comparatively, prices rose 9.2% in suburbs and 6.7% in urban markets over that same time frame. In addition to the unprecedented mortgage rates, the extremely limited housing supply is causing bidding wars. Supply and Demand rules the day. There's a reason North Star Homes went from being a private home builder with 20-30 homes per year to going public via reverse merger to level up to 200-300 homes per year.
"We're seeing concrete evidence that rural and suburban neighborhoods are more attractive to homebuyers than the city, partly because working from home means commute times are no longer a major factor for some people,” Taylor Marr, Redfin economist, said in the report. "And due to historically low mortgage rates, interest is turning into action." Amazing for $XTRM
Trends in home searches have fluctuated since the pandemic began, with 19% of shoppers looking at rural properties now compared to 9% before the quarantining started. Suburb searches grew to 50% from 43% while interest in cities suffered the biggest change, falling to 19% from 37%. Small towns stayed at 11% in both cases.Amazing for $XTRM
Bottomed-out inventory adds upward pressure to the rising prices while the market faces fierce consumer demand. For-sale homes plummeted 21.8% in July from the year before and 2.2% from June, according to a separate Redfin report. As sales outpace houses coming on to the market, active listings fell annually for the 11th consecutive month and marks the lowest supply level for July on record. More homes are needed for the millions of people fleeing cities; $XTRM is in the sweet spot to deliver.
Overall, median sales prices increased 8.2% annually in July and 4.3% month-over-month.
"It may seem like the Twilight Zone for the housing market to be performing better than ever while the economy is in the tank, but it goes to show that we are in truly unprecedented times," said Redfin Chief Economist Daryl Fairweather.
"The housing market was incredibly robust going into the pandemic with household debt at its lowest level in 40 years," she said. "The less debt someone has, the less likely they are to be worried about affording a mortgage, which is as inexpensive as it's ever been due to record-low interest rates."
Paul Centopani Reporter, National Mortgage News
https://www.nationalmortgagenews.com/news/housing-markets-in-rural-areas-see-a-sharp-increase-in-interest?utm_campaign=natmortgagenews-tw&utm_source=twitter&utm_content=socialflow&utm_medium=social
$XTRM trading sideways in tight range at support levels after brief AM breakout. Any catalyst = explosion upwards. Rumors of 8K with name change/ticker symbol change coming.
I understand everyone got used to 100% gains every day but sideways days are healthy (no fun but healthy, so kind of like vegetables in that way).
I rest easy knowing the explosion up is coming. Everything is coming together for this company.
Check out 1 minute article from @NatMortgageNews https://www.nationalmortgagenews.com/news/housing-markets-in-rural-areas-see-a-sharp-increase-in-interest?utm_campaign=natmortgagenews-tw&utm_source=twitter&utm_content=socialflow&utm_medium=social
We're sitting on a goldmine $XTRM
https://twitter.com/UncleBillyMoney/status/1295487594193715200?s=20
$XTRM CEO: "As we continue moving forward, the Company's future success will be built on hard work & determination that will solidify our position as a premier home builder second to none."
$XTRM North Star Homes: Vision & Confidence w/ Contracts + Sale$$$ to back it up
https://twitter.com/UncleBillyMoney/status/1295192488530108416?s=20
Yes, 100% agreed with you as well.
The name is a mental block for a lot of people. The acquisition is less than a year old but they've clearly phased out biodiesel aspect of the company and the Golden Ticket is North Star Homes. So yes the company should definitely focus on highlighting North Star Homes.
Name change/ticker symbol change will be a HUGE catalyst for us. Hope they drop it strategically at the right time. I'll be holding when they do.
In the interim, the smart move would be to update @XTRMBIO Twitter handle to reflect North Star and create an Instagram page. Look at how nice these houses are: https://www.northstaridaho.com/gallery.html
Post pictures of the Homes on social media. On the ground/real time photos/videos of builds would be incredible.
$XTRM is undervalued. People are waking up. Many thanks to everyone who read my post #15052. I appreciate the nice words and enthusiasm. Looking forward to a great week ahead!
https://twitter.com/UncleBillyMoney/status/1295106272891752448?s=20
PS I like Iowa. Field of Dreams, great movie. But North Star Homes is based in Boise, Idaho (the #1 market for residential real estate growth in the US). "If you build it, they will come"
Hi All – this post is for anyone interested in $XTRM North Star Homes and would like a clear picture of the state of play IMO. Links to sources at end of article for any potential haters :)
Happy Trading!
After an epic run from .0008 in late July to .033 high on August 5 (all consecutive big green days; many with RSI>90), $XTRM consolidated and found its support base this past week to close the week at .01.
$XTRM began trading in a tighter range on low volume Friday, which is a good indicator a move up is coming. Experienced traders know this pattern, understand XTRM is oversold, and that a move North is imminent with many catalysts ready to drop at any time. Solid traders have been accumulating and this stock is also on many watch lists as the potential upside is enormous.
To recap:
Monday July 27 – The run is sparked by the market waking up to weekend DD circulating regarding $XTRM’s acquisition of North Star Homes; a home builder based in Boise, ID, which is the #1 growth market for residential real estate in the US during what Forbes is calling "The Great American Housing Boom." Great work by many but especially @MikeKnowsRunners – very impressive work. Thank you!
Friday 7/31 – On Thursday 7/30, many predicted the rally would slow but it only raged higher on Friday as new DD revealed photos of the 214 lot plat that $XTRM mentioned in its July 20 PR. This one project alone is worth $64-100M+ (in addition to the many other projects $XTRM is involved with).
Tuesday August 11 - $XTRM drops great PR confirming they’ve built/sold 21 homes this year with 8 homes currently under construction. This is incredibly impressive as many businesses suffer during the Pandemic, $XTRM found a way to make it happen.
Amazingly, $XTRM also confirmed it already finalized contracts for 2 projects slated for 2021 (West Boise and Meridian) worth $20-25M+ total. Not many OTCs with deca-millions in contracts already lined up for next year. We're only in August and the company confirmed they are aggressively acquiring new lots in the #1 market for residential real estate growth in the US.
The Caldwell announcement was always slated for the fall (as previously announced) since it takes at least 60 days to finalize closing on a land deal of this nature (went under contract July 16 so expect a mid-September close date). We knew that fact going into the PR based on the widely circulated DD but some may not have realized it and sold when it wasn’t announced. Happens. The $17-20M Meridian Project came as a pleasant surprise and makes me wonder what else they’re working on. This company is a lot bigger than people realize.
August 12 -14 – We see a retrace as many took massive profits (expected on a run like this) and "sold the news." Others allege dilution. The chart showed accumulation steady as PPS declined. If I had to guess, any dilution was minimal and would make sense in the bigger picture given that North Star went public and merged into $XTRM in order to grow – going from building 20-30 homes per year to becoming a huge player and building 200-300 homes per year requires capital. If shares were added, I believe that has ended now as evidenced by the accumulation and recent low volume/tight range trading pattern.
The rest of the week was classic Bears vs. Bulls with Bears getting the upper hand for only a couple of days for the first time in weeks. Put that into perspective, haters. RSI showed oversold. The market is not always rational but the lower entry price presents a great opportunity for anyone who missed the initial run and is looking to buy low. Great time to get in on this solid stock at discount rates before the real run starts to DIME PLUS.
NOTE: $OPTI followed the SAME EXACT PATTERN except $XTRM is doing it at an accelerated pace. $OPTI went from trips to .056, retraced on news and found its bottom at .015 (plus there was definitely big dilution with OPTI). This was a brutal decline for anyone who had been in OPTI since trips or 00s and held like me but now we are being rewarded. $OPTI subsequently rocketed to DIME PLUS (.195 is high so far) when the additional catalysts dropped. Again, XTRM is following the exact same pattern.
Big Picture: On a macro level, $XTRM North Star Homes assent coincides perfectly with the recent rise of Home Builder stocks (see Top 3 Home Builder ETFs here). Home Builders are one of the hottest sectors as millions (yes, literally millions of people) flee expensive city life for the suburbs. Boise is the #1 destination for residential real estate growth in the US. Because of the Pandemic, many realize they don’t have to live in a city to do their jobs. Cities are also becoming overrun with violence, property destruction and no longer safe; therefore, many economists and sociologists believe the trend will continue. Green grass and Blue Skies are in demand. $XTRM North Star Homes is in the right business (Home Building), at the right time (demand all time high), in the right place (#1 growth market for residential real estate in the US).
Overall, I’m very confident in $XTRM and excited for the coming days, weeks, months as I am long and strong on this one. Investors are hopeful the company will do more to highlight their acquisition of North Star Homes and phase out the public perception of “Extreme Biodiesel” (especially on social media). We know $XTRM is very busy building an empire (literally) but it shouldn’t underestimate the power of social media to help build that empire (free marketing). North Star Homes can easily post photos on Twitter and Instagram to get the message out there in the same way as the big boys like Toll Brothers and others https://www.instagram.com/tollbrothers/?hl=en
This is shaping up to be one of those stocks that will be talked about for years to come if the company plays it right. Golden opportunity here for massive gains.
Had to get that out of my system. I love this stock.
Love,
Uncle Billy
LINKS TO SOURCES:
https://www.forbes.com/sites/stephenmcbride1/2020/07/31/the-great-american-housing-boom-has-begun/#b11085b337b4
https://www.investopedia.com/articles/etfs-mutual-funds/071016/top-3-homebuilders-etfs-itb-xhb.asp
https://www.sammamishmortgage.com/boise-real-estate-market-forecast/
https://www.homesnap.com/ID/Caldwell/TBD-S-Indiana-Avenue
https://www.newsfilecorp.com/release/60085
https://www.otcmarkets.com/stock/XTRM/news/story?e&id=1667772