Our friends at IceWEB gave us the kind of news this week that make emerging growth company investors SMILE...and buy more shares!
#1 CEO Rob Howe reported that they sold more storage systems in October than in the entire 3rd quarter of 2012---that is the turnaround we were expecting. The new sales team, the #1 rating by various storage analyst reports, and up to 90% LOWER cost than EMC or NetApp for similar unified storage systems IS working...outstanding!
Next they announced a $1.5 million credit line guaranteed by the Board of Directors that will—when combined with over $1M of outstanding warrants to be exercised by Nov 25th...will give them PLENTY of working capital to grow the business WITHOUT any more dilutive equity line deals.
Getting out of the dilutive equity line deals is KEY to getting the stock moving above 10 cents and above.
So...we reiterate our Speculative Buy on IWEB as the low-cost provider of unified public and private cloud based unified storage equipment and its outstanding software system.
In a commoditized tech space---you HAVE to be the low cost provider to gain significant market share...and IceWEB IS the “all the bells and whistles but up to 90% LOWER cost” player in the exploding digital storage space.
Under .15 a share is a steal in our opinions given the sales ramp and take-out value for these companies—over 18 take-outs in the last 24 months give us some VERY rich comparable valuation details.
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Founder and Editor-in-Chief for NBTEquitiesResearch.com. Contributor and Anchor for the Fox News Channel and Fox Business Network 2000-2013. Chairman & CEO of NBT Group, Inc., a boutique private capital investment bank and investor relations organization.
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