Returns from CasinoCapitalism.com Picks

In this post, I provide a list or returns from recent CasinoCapitalism.com picks, as well as a quick update on each of our holdings. As can be seen, out of 12 picks since our launch in October, we've had 10 winners and 2 losers. Our picks, including the losers, have returned an average of 33%. We're up about 18% thus far in 2006, so our picks are far outpacing market returns.

RBAK
Recommended Price: $10.05 on 10/5/2005 (click here for the initial writeup)
Current Price: $18.33
Gain: 80%
Status: Still Holding
Notes: Company has returned to profitability and revenue growth is strong. Long-term outlook for their business is solid.

PILL
Recommended Price: $5.00 or so on 10/11/2005 (click here for the initial writeup)
Current Price: $5.25
Gain: Had a real loss of about 25% on this, though at current prices this is a breakeven trade.
Status: Sold at $4.25 to take a tax loss (I always sell losers at the end of the year).
Notes: Looking to re-enter once the financial outlook is clearer. Recent press releases, if not all hype, seem to show that the company is turning the corner.

GHM
Recommended Price: $14.30 or so on 10/12/2005 (click here for the initial writeup)
Current Price: $19.00
Gain: Sold out at an average price of $21 for a 50% gain
Status: Sold at $21
Notes: Dissappointment in quarterly numbers and margins. Don't have huge faith in management, but the macro picture is excellent, and I would buy this stock back, assuming the risk/reward was again favorable.

TTES
Recommended Price: $12.15 or so on 10/14/2005 (click here for the initial writeup)
Current Price: $15.45
Gain: 27%
Status: Still holding
Notes: Cancellation of secondary a big positive. Company operating in a hot sector. Earnings growth should be strong for some time.

PGS
Recommended Price: $24.50 or so on 10/28/2005 (click here for the initial writeup)
Current Price: $35.50
Gain: 45%
Status: Still holding
Notes: Company is a big player in the seismic industry. Earnings growth should be strong for some time. Possible spin-offs later this year could boost stock higher.

INLD
Recommended Price: $3.25 or so on 11/3/2005 (click here for the initial writeup)
Current Price: $5.65
Gain: 73%
Status: Still holding
Notes: Company is renaming itself web.com. Profit picture is improving. Management is executing.

BRVTF.PK (BVI.TO)
Recommended Price: $10 Canadian or so on 11/16/2005 (click here for the initial writeup)
Current Price: $12.00 Canadian
Gain: 20%
Status: Still holding
Notes: Canadian oil company with oil sands exposure. Oil sands should be a good bet for a long time (next 20 years).

CCEL.OB
Recommended Price: $3.90 or so on 11/17/2005 (click here for the initial writeup)
Current Price: $3.40
Loss: 13% (In full disclosure, I have bought this stock from $2.50 up to $4, so I'm about even)
Status: Still holding
Notes: Stem cell banking gamble. The company is profitable and there is huge growth for the industry over the next decade.

PLNR
Recommended Price: $9.50 or so on 11/21/2005 (click here for the initial writeup)
Current Price: $14.21
Gain: 49%
Status: Still holding
Notes: Company generates piles of cash and has a very strong balance sheet. Favorable earnings comparions throughout this year and potential for renewed growth should send the stock higher.

IIP
Recommended Price: $0.41 or so on 11/23/2005 (click here for the initial writeup)
Current Price: $0.47
Gain: 14%
Status: Still holding
Notes: Company appears way undervalued based on industry valuation comps. Profitable growth in 2006, can send this stock soaring.

TXCO
Recommended Price: $6.25 or so on 12/12/2005 (click here for the initial writeup)
Current Price: $10
Gain: 60%
Status: Still holding
Notes: Divestiture of some gas holdings, pay down of debt, and reduction of hedges in 2005, should lead to higher earnings in 2006. This is a combined oil and natural gas play.

NENG
Recommended Price: $1.88 or so on 2/12/2005 (click here for the initial writeup)
Current Price: $2.30
Gain: 20%
Status: Still holding
Notes: New OEM Deals and partnerships for their NES, Microsoft ISA product will drive stock higher throughout 2006.

Comments

Great work. Unfortunately I only am in on 4 of the picks... but my return is outstanding.
Waiting for the next pick....

Posted by: brian | February 11, 2006 at 05:10 PM

In regards to IIP it seems to be slow and steady but on the plus side. Do you forecast any gains in light of internet media providers such as Brightcove that are getting a lot of attention?
Any info on Brightcove stocks?

Posted by: Karolina | February 22, 2006 at 07:54 PM