#1 Question I get these days is “How do you find and select NBT Emerging Growth Portfolio?”
Well the first part of the answer is easy—we are only interested in cherry picking the VERY best managed and positioned emerging growth companies in North America. Life isn’t fair and Public Venture Capital investing (which make NO mistake—investing in publicly traded emerging growth companies IS “public venture capital” investing) sure as hell is not fair—we literally reject 99 out of one hundred requests. When in doubt trust Darwin is my lifetime motto.
The second part is we are looking for emerging growth companies that have EMERGED—in virtually every case (with a very few exceptions) we are NOT looking to support “proof of concept” early stage or development stage companies…just too risky. We need to have our companies SALES ramping during or shortly after our equities research and shareholder acquisition activities begin…I call this phase of growth the “traction zone.”
When our research and coverage matches with our portfolio company’s REVENUE ramp…magic things can happen to THEIR stock and YOUR portfolio!
(Actually there is a LOT more to the selection process—I will detail in full in my new book “Next Big Thing Investing: Earn 25%+ Profits EVERY Year in The Super Sectors of the NEW Global Economy” coming soon!).
How NBT Got Started—A Quick History
I started NBT Equities Research in 2011 as a new way for HIGH quality but INVISABLE emerging growth companies to connect with the MATURE retail emerging growth investors (i.e. non-ADHD youngsters with $3 grand in their E-Trade Account) we have worked with for 15 years at my previous publishers Phillips Publishing and my own ChangeWave Research.
Fact of Life: Virtually ANY company listed on the OTC/Amex or NASDAQ under $500M market cap is mostly invisible to the investing public since the separation of investment banking from equity research post Internet bubble 2002. With VERY few exceptions (particularly in OTC stocks without earnings per share) there is ZERO professional equities research coverage of most emerging growth companies because there is not enough investment banking fees to warrant analyst coverage.
This fact of life for <$500M market cap non-EPS issuers is how NBT Equities Research was born. Because of the non-compete agreement I was under for the last three years from my sale of ChangeWave Research and InvestorPlace Media (where I was a founder as you probably know) I had the opportunity to try to bring our well documented brand of transformational growth research to the ISSUERs (who pay us for research coverage and marketing of their investment story to our subscriber networks) and not run a traditional investment newsletter where YOU pay for the research.
This brings us to Pulse Beverage (PLSB) which will likely be our best 12 month performing stock for 2012 (and yes we have had a number of HUGE 300%-1500% runs off-the-bottom from our stocks like MIMV/VELA and CHGI to name a few).
Pulse Beverage for 2013 epitomizes EVERYTHING we are looking for an “emerged” emerging growth microcap stock:
1. HIGHLY proven and “been there done that” CEO and Management team
2. 100%-200% rapidly ramping product or service sales/distribution/revenue growth for the next 2-3 years
3. Resides in a NBT “Super Sector” that has 20% CAGR secular growth (like the “good for you” healthier living beverage niche)
4. Owns a National/International Sales Footprint
5. Is reaching positive Cash Flow and ENDING Negative Cash Burn rate within 12 months or less (game changing biotech companies excepted)
6. High quality capital structure (“cap table”) with no dilutive equity structure or >200M shares outstanding OR dilutive warrants/convertible debt
7. Is Up-Listable to full Nasdaq or NYSE/Amex Listing
8. Will be bankable for additional growth capital via small cap investment banks or PIPE equity funds
We are currently looking at over 30 companies that have passed this initial due diligence screen for 2013. We hope to bring you 20-24 exciting emerging growth opportunities within 20 different sectors that will give you maximum risk reduction and super sector exposure.
THAT is how we should deliver 25%+ returns this year all in…and 25%+ returns next year too.
Have a wonderful holiday…we’ll be back with you after the holidays!
The NBT Equities Research Team
And now for our top stories of the week…
Pulse Beverage ($PLSB) Breaks Out on Strong 2X Volume: 2 Million Case Sales for 2013 Forecast! |
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Moral of this story? IF you have a real experienced management team AND they work their tails off AND you have a superior product good things happen for shareholders! Pulse filed their 10-Q Quarterly Report for shareholders and the market obviously focused on one key remark: |
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VelaTel Secures $12 Million Equity Funding From Ironridge Global @ .20 Share Conversion |
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Well I knew SOMETHING was in the works for additional equity capital for VelaTel. Today VELA announced it has closed a $12 million stock purchase agreement with Ironridge Technology Co., an institutional investor in the telecommunications sector. |
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VelaTel Communications: Now up 550% From September Lows...But MORE To Come |
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For long suffering VelaTel Global Communications (VELA) shareholders, the following words harken back to an era long ago, from the September bottom shares are up 550% and is our BEST performing stock in 4th quarter...wow. |
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Pulse Beverage Makes it 90 Distributors in 360 Days - Ohio Now 100% |
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The Pulse Beverage Corporation( OTCQB : PLSB ) ("Pulse"), makers of PULSE® brand of functional beverages and Cabana™ 100% Natural Lemonade, announced that it has completed distribution for its products in Ohio with the signing of L R Lipton, a large-sized Anheuser-Busch distributor, headquartered in Youngstown, Ohio. |
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BarFresh Group - Now Exclusive Smoothie Provider for >10,000 QSR Restaurants Across America with $3 Target for for 2013 |
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BarFresh Food Group, Inc. ( OTCQB : BRFH ) ("BarFresh Food Group," "BarFresh" or the "Company"), our pure play manufacturer and distributor of unique ready to blend single serving smoothies and blended beverages, announced it has entered into a comprehensive set of agreements with one of the largest QSR (quick service restaurant) chains in the country with >6000 locations. |
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NBT Stock of the Week...
VelaTel Global Communications ($VELA) |
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Well I knew SOMETHING was in the works for additional equity capital for VelaTel. Today VELA announced it has closed a $12 million stock purchase agreement with Ironridge Technology Co., an institutional investor in the telecommunications sector. |
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NBT Investor Presentation of the Week...
Uranerz Energy Corporation Initial Coverage |
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Opening the World’s Next Major Uranium Supply in United States: Initiating Coverage with Strong Buy Rating and 3.5X Upside with $5 Target for 2013 Investment Conclusion:We are initiating coverage of Uranerz Energy Corporation with a Strong Buy Rating and $5.00 target price on 92.4 million shares fully diluted on a $3.50 NAV and 1.5 DCF multiple to represent M&A premium. |
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Quick Survey of the Week
How many minutes before Fiscal Cliff deadline does the "deal" get done? |
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LAST SURVEY RESULTS Will the Fiscal Cliff be avoided at the last minute?
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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.