LOCM: 4 forward PE Catalyts for next weeks EXPLOSION to $5.50
- Silicon Valley Bank approved Credit Agreement Amendment for $2 million share buyback after hours. Huge vote of confidence.
- Share buyback will start next week.
- Margin call selling over (normally 3 days allowed to cover margin calls).
-LOCM August 10 LOCM presentation at Cannacord Conference.
-Massive short covering.
- LOCM has a small 15 Million share float so short squeeze will cause rapid price rise.
- Smart Investors have figured out that blog causing $2 price drop was a piece of garbage. The article contained so many half truths, errors and misleading statements its amazing. 3 examples:
1) The blog questions LOCM's practice of purchasing customers from LaRoss Partners and Livedeal.
Based on the Q2 report, those customers accounted for 4 million in revenues for the quarter. 4 million of 23 million. 17% of revenues. Back that out of the 90 million(assuming it's worth zero, which it's not) and you get 76 million, or an amount equal to LOCM's current market cap. The 76 million is still 36% growth over last year. But we know the business customers are worth something as the cash flow from the last 6 quarters have shown.
2) The article asserts LOCM is connected to VTRO, a "shady penny stock". On the contrary, VTRO is turning EBITDA positive with impressive growth; it is a solid company.
3) The article focuses on Insider selling, but neglects to mention that INSIDERS PURCHASED 92,000 SHARES IN 2009:
May 13, 2009 REHFELD JOHN E
Director 5,500 Direct Purchase at $3.29 - $3.3 per share. $18,0002
May 12, 2009 REHFELD JOHN E
Director 9,500 Direct Purchase at $3.33 - $3.34 per share. $32,0002
May 11, 2009 REHFELD JOHN E
Director 2,500 Direct Purchase at $3.23 - $3.3 per share. $8,1622
Apr 28, 2009 CLARKE HEATH B
Officer 18,800 Direct Purchase at $3.23 - $3.28 per share. $61,0002
Apr 27, 2009 CLARKE HEATH B
Officer 19,000 Direct Purchase at $3 - $3.08 per share. $58,0002
Mar 12, 2009 CRAIR STANLEY B
Officer 1,000 Direct Purchase at $1.56 - $1.61 per share. $1,5852
Mar 12, 2009 REHFELD JOHN E
Director 30,000 Direct Purchase at $1.52 - $1.62 per share. $47,0002
Mar 12, 2009 AGIUS BRENDA
Officer 5,000 Direct Purchase at $1.48 - $1.56 per share.
