Weekly Summary

There has been virtually no change in the value of my portfolio in the past week:


Some of my positions have gone up, others down, and I think the net difference is less than two dollars.

Revlon to meet NYSE price criteria via reverse stock split

Just after the bell on Friday, Revlon announced that ...

[the corporation] plans to regain compliance with the New York Stock Exchange's criteria of $1 a share average closing price over 30 consecutive trading days through its pending reverse stock split. ... the company's board had approved a 1-for-10 reverse split of Revlon's Class A and Class B common stock. Revlon has 6 months from the April 2008 notification to the exchange to bring its share price and 30 trading day average share price to $1.00 or above.

This is unfortunate news, and wholly unexpected in light of recent announcements that company insiders have been loading up on shares, expanding product lines are bringing increased revenue, and there is an ongoing campaign to revitalize the brand.

Especially with the penny stocks, actions speak louder than words - and while press releases may brag about the company's hopes, the start reality is that the executives, the board, and the shareholders do not have much faith that the company can pull out of its slump in the next six months, and that a reverse-split is the only measure that will save them from being delisted.

However, they haven't acted yet: the split was approved, but no date has been announced. When that happens, it's time to cut and run: it's extremely rare that a company reverse-splits only once: they RS, the price falls, they RS again, the price falls, they RS again ... it's a death roll.

Weekly Summary

This week has been up and down, and the net result is not much of a change, overall:


In particular, Petel, Inc. has pretty much established itself as a loser - I keep saying that I'll hang onto the "free" shares I have, but they keep sliding downward, and it might make sense to unload them before their value is less than the commission to get rid of them, and Far East Energy has been doing well overall, though it ended the week with more of a whimper than a bang.

Otherwise, my positions are all either doing "good but not great" to "bad but not rotten."

Miami HipHopSodaShop Grand Opening on May 22

H3 Enterprises will be opening its second "Hip Hop Soda Shop" in Miami this weekend, and has announced that ...

The Miami HipHopSodaShop launch is a celebration of the evolution, flava, and cultural genius of Miami hip-hop. The grand opening will pay tribute to the artistic talent of Miami hip-hop artists Rick Ross, Trina, Trick Daddy, Grind Mode, Flo-Rida, Luther Campbell, Ball Greasy, Gorilla Tech, Brisko, Bizzle, DJ Chipman, DJ Khaled, DJ Entyce, and DJ Ali.

For what it's worth, I have no earthly idea who any of those people are ... but I hope that their target market has.

Weekly Summary

The gains on the big boards have, to some extent, been echoed on the pink sheets this week, with microcaps gaining some of the ground they have lost in recent weeks:


In all, things seem to be going fairly well, though I'm beginning to get the sense that, in this market at least, I may have been better off sticking the money in a muni bond mutual fund and waiting out some of the volatility.

SOYO Inc. Reports First Quarter 2008 Financial Results

In a press release today, SOYO announced significant growth in their net revenues:

The Company reported first quarter net revenues of $24,795,315 for the three months ending March 31, 2008, an increase of 68.8% compared to $14,691,110 in the first quarter fiscal year 2007. Gross margin for the first quarter 2008 was 3,106,104, as compared to 2,608,196 for the first quarter fiscal year 2007. Income from operations for the three months ending March 31, 2008 was 809,567 as compared to 414,437 for the same period in 2007.

Since the company has doubled its revenues and profits, it would stand to reason that he demand for its stock, and the price buyers will be willing to pay, should follow. I don't expect it will quite double, but I'm hopeful there will be a significant bump, possibly enough to get this one out of the red.

Revlon chairman Perelman buys 500,000 shares

A follow-up to a previous post ... Revlon Chairman Ronald Perelman acquired another 500,000 shares of company stock. Combined with the 600,000 shares he purchased last month, this adds up to over million shares.

With micro-cap stocks that trade in the sub-penny range, that's really nothing remarkable - you can suck up a million shares with a small amount of cash - but since revlon is trading around $1 a share, this represents a significant investment.

While I don't have enough funds in this portfolio to justify pumping more cash into this company, I'm giving serious consideration to adding a significant position in Revlon to my main portfolio.