Innovative Designs Inc (IVDN)

[Dickmo]

It may seem odd that a stock with potentially enormous future growth appears stuck in a low price range , but there are simple reasons for this. Innovative Designs is listed on a small cap exchange (the OTC QB). Most of these companies do not attract institutional money nor are they followed by professional analysts. Those analysts that exist in the micro-cap world tend to be hired guns who work for the company they are evaluating. They may offer investors a clearer view of how the company makes money and its potential, but they are biased. In short, their reports rarely move the market for more than a few days. I am unaware of any such people working for IVDN.

Many of these micro cap stocks have a small number of shareholders - often just a few hundred or less. These stocks move when they have great news and on the strength of great earnings reports. IVDN should show serious growth quarter over quarter from now on. But until they report, the computers that screen stocks with Improving fundamentals will not identify IVDN. That should change in the coming months. When the hard news of sales and earnings gets reported, the stock price will respond. Until then, there are just so many people who know about the company, and many of them have already made an investment.

Just a personal guess, when the sales news starts to come out in quarterly filings, this stock could rocket. It has low float, proprietary IP, few existing shareholders, and low trading volume. When the time comes that some serious investors want 10 or 25 thousand shares to start, they may push the stock price up significantly to get those shares.