The stock market had a great week, driven by strong earnings and upbeat job market data. The main indexes fluctuate at their all-time highs, as well as the small-cap Russell 2000. Meanwhile, the OTCQX Composite, which tracks over 400 OTC stocks, has also rallied and is getting closer to its ATH.
On Friday, the Labor Department’s Nonfarm Payrolls report showed that employment rose more than expected in October, although worker shortages continued to lead to wage growth, with annual hourly earnings increasing to 4.9% last month.
Susannah Streeter, senior investment and markets analyst at Hargreaves Lansdown, told Reuters:
“Although (the data) bodes well for the recovery in the US, the rise in earnings year on year of 4.9% does highlight worries about wage inflation. But the numbers aren’t likely to be hot enough to blow the Federal Reserve off its course of gradually tapering its stimulus programme.”
Pfizer’s announcement that its experimental antiviral drug for COVID-19 reduced by almost 90% the risk of developing severe disease also has a big contribution to the general bullishness.
Andre Bakhos, managing director at New Vines Capital LLC in Bernardsville, said:
“Still early to be definitive but this (pill) looks like a true game changer for many industries like leisure and transportation, you’re seeing it reflected in the prices.”
All in all, this is a great time to invest in stocks, especially OTC stocks, as they have more room for growth compared to blue chips.
OTC STOCKS THE PLACE TO BE
Smart investors know that if you want to make the big money off a small account, the place to be is the OTC Markets. There are many good OTC stocks that can boost your portfolio’s value in the long term. For investors, we preach the key to trading penny stocks is finding momentum BEFORE it happens and ahead of the crowd.
We alert our subscribers with our best ideas before our regular readers. This is the value of having a subscription to Insider Financial, which you can sign up for here.
If you watch the Insider Financial YouTube channel, you can get a sense of the ideal time to book profits. We warned our subscribers not to get greedy or get caught up in the diamond hands/paper hands BS.
We also recommend you own a portfolio of penny stocks. For some, that can be as many as 10 to 20 or more OTC stocks. This provides diversification and allows one to manage the market’s moods much easier. It also helps to own shares in the following 4 hot OTC stocks.
In this article, we look at 4 OTC stocks that will greatly reward patient investors. They are Fernhill Corporation (OTCPK: FERN), Cybernetic Technologies Ltd (OTCPK: HPIL), ILUS International Inc (OTCPK: ILUS), and JPX Global, Inc (OTCPK: JPEX).
OTC STOCKS #1 FERN
Fernhill Corporation has already generated a decent return for our subscribers, but the OTC stock still has much room for growth. Earlier this week, FERN corrected to the lowest in a month at $0.0293, but it bounced back to touch $0.0382. In September, the stock broke above six pennies for the first time in more than seven years before correcting and finding strong resistance near $0.04.
The last time when we discussed FERN, the share price was fluctuating near $0.01, which reflects our commitment to identify OTC stocks that provide great value.
FERN used to operate in the energy sector, but it recently turned into a diversified technology holding company that has interests in businesses in multiple sectors, including mobile applications, blockchain and cryptocurrencies, fintech, Next Generation technologies (like artificial intelligence), alternative energy, including solar and battery storage, as well as other technologies that address the world’s leading environmental concerns.
The latest price spike is related to FERN’s announcement that initially came in August, according to which the company intends to buy a crypto trading platform serving banks and hedge funds with technology, strategy development, automated algorithmic trading, best execution, smart order routing, and risk exposure analytics. One of the most compelling features of the target’s technology is that it is directly integrated with over 25 different leading cryptocurrency exchanges to provide the best execution price for any crypto trading pair, providing seamless liquidity on a global scale. In short, this platform bridges the gap between cryptocurrencies and the more traditional trading platforms.
FERN said that the acquisition would likely close before November 15, and investors are now excited about an upcoming major PR.
$FERN Acquisition to close on or before Nov 15
– Institutional digital asset trading company serving banks and hedge funds
– 25 crypto currency exchanges
– Connectivity w/ Binance, Coinbase
– Become a household name
– Prolific financial institutions and corporations in the world pic.twitter.com/MhuLPRXMAF
— Moon Market (@MoonMarket_) November 3, 2021
Meanwhile, at the end of September, FERN launched its new user-friendly website for its crypto mining operations, called PerfectMine. PerfectMine.io, delivered as software as a service (SaaS), provides optimized mining operating systems and algorithms, supports multiple cryptocurrencies and tokens such as Ethereum, LiteCoin, Monero and RavenCoin, and has the unique capability to support Multi-Card functionality that can run both Nvidia and AMD GPUs simultaneously, which is not commonly found in the industry. PerfectMine’s platform simplifies, automates and optimizes crypto mining rigs to improve hashrate yield and increase operational efficiencies.
The outstanding versus authorized shares ratio is 2 to 3, which is pretty decent at this point. The $70+ million company is on the verge of skyrocketing if it turns out that the acquisition target is a great revenue-generating crypto exchange.
OTC STOCKS #2 HPIL
Back in June, Cybernetic Technologies Ltd broke above the one penny level for the first time in over four years, but it couldn’t convert that into solid support and bottomed out in mid-September at $0.002. Now the share price is trying to recover, and you can buy HPIL for $0.0039 per share, up 40% during the last five trading days.
HPIL is one of the companies seeking to obtain the Pink Current status, which means great opportunities for investors, although assuming higher risks. At the moment, this blockchain and NFT play is going with the Pink Limited Information symbol on OTC Markets, but the company said that it had filed the required documents and should soon become Pink Current.
OTC UPDATE: Just spoke with them and the only thing left is a review of the last attorney letter and that is happening now. They then confirmed all other issues were cleared so it is expected tomorrow or Monday according to OTC!
— HPIL Holding (Stock Symbol: HPIL) (@HPILHolding1) November 4, 2021
Investors debate whether HPIL is even worth buying, given that the CEO Stephen Brown failed to meet his deadlines with respect to the Pink Current status. However, we think HPIL deserves some attention without getting too much exposure.
We first reported on HPIL for our subscribers at the beginning of June when it was trading at $.002 a share.
HPIL is developing a fast-growing business through multiple partnerships and acquisitions. The company rebranded from HPIL Holding to Cybernetic Technologies only recently, and now it focuses on several technologies, including blockchain, which will continue to attract much interest in the years to come.
A few months ago, HPIL acquired 100% of NFT Procurement Ltd, which already partnered with Origin Protocol, a well-known blockchain project focused on non-fungible tokens (NFTs) and decentralized finance (DeFi). NFT Procurement will issue NFTs and offer them for sale to third parties on a website created by Origin and displaying its IP on a dot-com subdomain owned by HPIL. NFT Procurement launches its first NFT auctions on August 17. The first three auctions are nftjanisjoplin.com, nftspicegirls.com, and nftmarilynmonroe.com.
In June, HPIL acquired World Gaming Group Inc, which had been working on blockchain projects and had developed “GAMEZCASH” and “TUNEZCASH” – two tokens to be used as a new form of currency in the esports/gaming world and the online music industry.
Also in June, HPIL launched a new subsidiary called Medusa Intel Technology Ltd, which aims to tap into the world of Artificial Intelligence (AI) along with select partners the company has been working with for the past few months. Two days later, Medusa said that it would launch META DATA ANALYTICS – a tracking program for the entertainment industry.
On top of that, HPIL is also working on its own electric vehicle. Recently, it partnered with a group led by L. Ferrox Tutinean to launch Apogee Dynamics Ltd – a company that Cybernetic Technologies is a majority owner of. HPIL said it was developing its own electric vehicle called APOGEE D7, using the powertrain developed by Tutinean and Apogee Dynamics Ltd.
About two weeks ago, HPIL said that it had signed a Letter of Intent with Stargaze Entertainment Group (OTC:STGZ) to acquire NFT Procurement, a division of HPIL. The transaction will give NFT Procurement a better home, where it holds over 140 Domain names of Celebrities, Athletes and Politicians, (www.nft.nameinserted.com). STGZ will issue 60 million shares to HPIL Holding, after which HPIL will be filing a registration statement within 30 days to then be able to disperse the shares to HPIL shareholders on a designated plan.
So make sure to keep an eye on HPIL, as it may surge after getting the Pink Current status. Also, it is operating in blockchain, AI, and NFT fields while starting operations for its own electric vehicle.
OTC STOCKS #3 ILUS
ILUS International Inc is a Pink Current OTC stock that has already made many of our subscribers happy. The share price has gained over 30% since last week and almost 50% over the month, suggesting that momentum is still building up. On Friday, the stock almost hit the $0.50 mark, establishing the highest level in about 8 years.
Back in June, we shared our bullish stance on ILUS when it traded at only $0.07, allowing our subscribers to secure a 600% return so far. ILUS has surged over 24,000% year-to-date, being one of the best-performing OTC stocks so far.
Earlier this year, it restructured its business and got the Pink Current status. Formerly known as Ilustrato Pictures International, Inc, the company used to produce feature theatrical films for international release. At the beginning of 2021, it turned into an M&A firm that acquires and grows companies operating in the technology, engineering, and manufacturing sectors globally. The impressive rally proves that some companies seeking the Pink Current status are onto something.
ILUS has evolved out the industrial sector mainly from Emergency Services products, Emergency Response vehicles, Vehicle conversions, EVs, Wearable tech & Smart Tech. It looks to acquire companies that have strong management and potential to grow rapidly and benefit from cross-pollination of territories, products, and skills from other group companies. ILUS is usually acquiring businesses with revenue in the $1 million to $5 million range.
The company has grown into a $500+ million business and has conducted several acquisitions, buying FireBug, The Vehicle Converters, and BCD Fire, a fixed fire systems integrator headquartered in Dubai, UAE. Obviously, given the rapid expansion and the huge valuation, ILUS is aspiring to NASDAQ, so you can still enter the market at this price.
Earlier this week, ILUS provided an update for 2021, including the signing of precontract agreements for 3 US acquisitions which will add a further $12 million in annual revenue to the company.
— ILUS International Inc (@OTC_ILUS) November 2, 2021
The US acquisitions, when completed, will mean that the company will have acquired 6 companies in 2021 and ILUS confirmed that it has multiple acquisitions in the pipeline, as it looks to close out 2021 strongly and carry a great deal of momentum into the new year.
The company also confirmed that the third quarter of 2021 has been its strongest quarter yet, with revenues of more than $3 million, and actual sales were closer to $4 million, with additional orders coming in during the quarter that were not possible to invoice in time due to shipping delays.
ILUS is now beginning a partnership with a prominent New York-based first response software company that has ground-breaking emergency responder notification and monitoring software. The company’s revolutionary technology goes beyond rapid response and provides the opportunity for immediate response to be possible for first responders. ILUS will be entering into a unique and exclusive partnership with this company and expects to generate significant revenue from the sales of its disruptive technology that is predicted to transform the emergency response industry.
As per the update, ILUS CEO Nick Link is now in Europe working on an “astronomical” European deal which ILUS confirmed will take place in two parts as follows: the first part of the deal, which ILUS hopes to complete this year, will involve manufacture of the E-Raptor range of commercial electric utility vehicles and smaller rapid response fire vehicles. The second part of the deal will involve larger fire vehicles, military vehicles and associated large manufacturing contracts. This second phase should take place in early 2022. ILUS clarified that the EU acquisition is a privatization deal, which involves taking over the manufacturing plants, its operations, and 1,500 staff. The manufacturing plant supplies several countries across Europe and globally, including key regions which ILUS plans to break into.
ILUS has been working on a significant UK acquisition as part of the next phase of its acquisition strategy. The UK acquisition is for a group of four companies, which are incredibly well aligned with the ILUS strategy. The targeted acquisition supplies multiple ILUS competitors in the UK and Europe.
The company’s goal is to uplist on NASDAQ and become a conglomerate, a large multi-industry and multinational company operating multiple business entities under one corporate group. To make this a reality, ILUS aims to acquire multiple firefighting equipment companies like FireBug, fixed firefighting systems companies like BCD Fire, as well as other associated and complementary manufacturers and distributors, such as those which it has already been acquiring. Beyond this, ILUS plans to acquire multiple renewable and sustainable energy companies to build on efforts with existing E-Raptor electric vehicles, with its own vision on electric vehicles to form part of a group as well.
Recently, ILUS started due diligence on a company that has annual revenues in excess of $100 million, and this forms part of ILUS’ NASDAQ up list plans. As part of these plans, ILUS will be acquiring a significant global firefighting equipment company, which has the aforementioned revenue and products which are a household name in the global firefighting industry.
Even at $0.50, ILUS looks cheap, especially if the company gets on NASDAQ.
OTC STOCKS #4 JPEX
JPX Global, Inc is a small Pink Current shell that peaked at over 4 pennies at the end of October, setting the highest level in five years. The share price has corrected since then and is now trading at $0.026.
The $36 million business has had no operations and has been seeking a merger candidate in the cybersecurity solutions, hardware, and software licenses, providing various security and networking functions, including firewall, intrusion prevention, anti-malware, virtual private network, application control, web filtering, anti-spam, wide area network acceleration, secure switching solutions, and secure wireless networking solutions.
Investors found the candidate last week. JPEX is in the process of a reverse merger with VeeMost Technologies, LTD, an innovative cloud/cybersecurity global solutions and digital transformation services provider with locations in the US, India, and West Africa. VeeMost specializes in architecting, deploying, and managing secure digital solutions and platforms for customers to accelerate and enhance business efficiencies for increased profitability.
Following the merger, JPEX Global, Inc will change its name to VeeMost Technologies, Inc. The company will be moving to Delaware and will be looking to up-list to the OTCQB or other more prestigious exchanges.
Worldwide spending on public cloud services is forecasted at $332.3 billion, up from $270 billion in 2020 representing a 23.1% hike in 2021. To capture a good percentage of the cloud market share, VeeMost plans to launch its own innovative cloud services and solutions by the last quarter of 2022. In addition, VeeMost provides a full lifecycle management for customer’s digital transformation journey to the cloud, from initial consultation and assessment to full migration and management of cloud services.
Cyber security incidents have been ramping up around the world, and the sector’s spending is forecasted to jump to $150.4 billion this year, a gain of 12.4% from last year. VeeMost has a strategic alliance with most of the industry-leading security vendors such as Palo Alto Networks, Cisco Systems, Splunk and many more. With its team of security experts, VeeMost provides strategic vision, consulting and planning, implementation services, managed services, and technical services to organizations seeking to curb cyber security threats, remain in compliance and to keep their businesses running.
In addition to its cloud security services, VeeMost will be launching a cloud security product called VeeShield Cloud Security, which will be ready within the next 60 days.
— JPX Global, Inc (@JPXGlobalInc) October 29, 2021
JPEX is really a great OTC stock to buy now. The share structure leaves no room for dilution and it has deals with billion-dollar companies. This might be a great opportunity to generate ILUS-like returns.
How many penny stocks are executing deals with billion dollar companies under $.10? No dilution, no reverse splits, and experienced leadership. People literally flipping for peanuts. $JPEX
— Haad Trades 📈 (@haadtrading) November 1, 2021
THE FINAL NOTE
All of the 4 OTC stocks discussed today are on the rise and are good stocks to hold. Nevertheless, our best advice is to be patient and enter the market during corrections. Buying dips and selling rips as swing trades remains the best strategy in the penny stock market. Still, whenever a penny stock is in the middle of a bull run, we recommend our subscribers to book profits.
It’s very important to eye the best OTC stocks that have room for growth and have yet to make their explosive move. There are plenty of opportunities, and we take our time to monitor hundreds of penny stocks to buy each week, trying to find the best alerts for our subscribers.
Remember, all you need is one or two penny stocks to succeed in order to crush the market averages.
As always, good luck to all (except the shorts)!
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Disclosure: We have no position in any of the securities mentioned. We wrote this article ourselves and it expresses our own opinions. We are not receiving compensation for it. We have no business relationship with any company whose stock is mentioned in this article. Insider Financial is not an investment advisor and does not provide investment advice. Always do your own research and make your own investment decisions. This article is not a solicitation or recommendation to buy, sell, or hold securities. This article is meant for informational and educational purposes only and does not provide investment advice.