Veltex Corporation (VLXC)

[ImakeMONEY]

Stockprowler's info on Veltex released in September. It seems that things have progressed in the past 3 months even more than anticipated.


http://www.stockprowler.com/previous_picks/9-15-02.html

Veltex Corporation (OTC: VLVT)
4200 Chino Hills Pkwy, Suite 375
Chino Hills, California 91709
CEO: Javeed Matin
Phone: [phone], Fax: [phone]
e-Mail: [e-mail]
Shares Outstanding: 27.4 million
Public Float: 9 million
Market Capitalization: $904,000
Closing Price Friday 9/15/02: 3.3 cents
With mounting talk of war with Iraq, a seemingly unending stream of corporate profit warnings, mixed economic data, and of course, the expanding criminal investigations into corporate wrong-doing, Stockprowler firmly believes that now is not the time to “snap up the bargains” out there. This is not the time to have serious money invested in "quality stocks" hoping that you have caught a bottom... Until we are certain which way the wind is blowing, Stockprowler.com will be profiling only companies that are trading at around 25 cents/share or less. These are companies that are highly speculative, but offer the small time speculator the chance for a quick score even in these uncertain times. It is flat out gambling, no question about it, but the risk here is substantially less, in our opinion, than investing serious money in so-called “quality” stocks.

Our pick for the week of Sunday, September 15 is Veltex Corporation (OTC: VLVT) a manufacturer, distributor, importer and wholesaler of high-quality specialty textiles primarily for use by manufacturers of furniture, automobile interiors, and ready -to-wear garments. Veltex is also a distributor of high quality baseball caps and tee shirts for the promotional product market. Its manufacturing facilities are strategically located in Comilla, Bangladesh and employ over 300 people. The company is a member of the premiere Bangladesh Textile Mills Association. This location permits quota-free importing to U.S markets thereby affording significantly higher profit margins than its competitors in India and Pakistan. Veltex has sales and distribution centers located in Ontario, California; Dallas, Texas; New York City and Frankfurt, Germany.

Veltex announced last week that it has acquired a textile distributor near its corporate office in Ontario, California. The newly acquired company is a distributor of high quality fabrics for apparel industries and importer of caps, t-shirts, twill shirts, shorts and other ready-made garments products for promotional product industries. Veltex acquired the company with a combination of cash and restricted stock. The company expects the acquisition, which was completed earlier, will nearly double Veltex revenues and improve its bottom line earnings as much as five fold or more. Veltex had 2001 revenues of $9,954,882 and pre tax earnings of $1,986,494. Adding to its potentially bright 2002 prospects, Veltex Corp. posted a profit of $350,725 for the first two quarters this year, an increase of over 30% compared with the same period last year.

Information provided by Knobias.com indicates that there have been no known regulatory actions for Veltex Corporation. We feel it is important to mention that because of the persistent bashing of this stock on the RagingBull VLVT message board over the past 3 years. In addition, our investigation has revealed that Veltex Corp. is a client of Newport Capital Consultants, a company with a client list and track record that is noteworthy. “For companies up to 30 Million dollars, NCC, inc. is unmatched in it's ability to take small companies, help them grow up, and get them financed.” -Robert Radar, Capital West Securities, Inc. http://www.newportcapconsult.com/results2.htm

Currently Veltex has 27,393,808 shares of common stock issued and outstanding… the public float is estimated at only 9 million shares. VLVT closed Friday at 3.3 cents up 73% on volume of 630,500 shares. CEO Javeed Matin has indicated more news could be on the way soon. The company is reported to be negotiating with a Memphis long-haul trucking company. Matin stated, “I hope to soon report to our shareholders a signed letter of intent. If we then successfully complete the negotiations, we will immediately increase our trucking capabilities by multiple. Such increased capacity will have a profound effect on our revenues and most likely our bottom line results as well.”

VLVT looks to us like one of the best speculation plays we have come across in quite some time… keep your eyes on this one.

Stockprowler.com did not receive compensation of any kind from the company or third parties for writing this report. Readers are urged to contact the company and do their own due diligence before investing in this or any other stock.

Good Trading... Stockprowler