BDMS Bounce Play or Stay Away (OTCMKTS:BDMS) Birner Dental Management Services, Inc.

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OTCQX:BDMS (Birner Dental Management Services, Inc.) is looking rather bearish lately and we’ll try to figure out why and what an investor might expect in the near and not-so-near future. BDMS is a dental business service organization, which engages in servicing geographically dense dental practice networks in Colorado, New Mexico and Arizona.

Just last November it looked like BDMS was about to go big time. Stock was up to $18.61 and volume had picked up quite noticeably. Right now it sits at its yearly (and 5-year) low at $7.00.

Be careful when you Google BDMS – you might get a suggestion/question about whether you really meant to bdmssearch for BDSM and I’ll leave it to the reader to do your own research on that topic. The BDMS we’re talking about here is based in Denver, CO and has approximately 490 full time employees according to information made public by the company. As their URL www.perfectteeth.com might have led you to believe, they’re a dental services company (franchise) network in Colorado, New Mexico and Arizona focusing on cosmetic dentistry, but also maintaining the standard slate of orthodontics, oral surgery, endodontics, periodontics, dental implants and pediatric dentistry. They offer many of these services through their own dental plan the PERFECT TEETH™ Dental Plan (not sure why it’s in ALL CAPS, but it is). The firm was founded in 1995 and claims to be the largest provider of comprehensive dental care in Colorado and New Mexico, with increasing penetration in Arizona. At its most basic level, BDMS essentially serves as an outsourced business office for practicing dentists, orthodontists and oral surgeons, removing the burden of paperwork and bureaucracy and “letting dentists be dentists.” According to their website, on two separate occasions they have been included on Fortune Small Business Magazine’s list of America’s Top 100 Fastest growing Small Public Companies. As of December 31, 2016, the company managed 69 offices, including 48 in Colorado, 11 in New Mexico, and 10 in Arizona under the PERFECT TEETH name.

bdmsWay back in March of 2012, BDMS stock value peaked at $23.03, but hasn’t reached any higher than $18.61 in the past 1-year period (52-week range is $6.01 to $19.89). Currently it sits at $7.00, on the bottom of what looks like a trough, and volume is actually up about 14-fold over average to 15,370 (average was 1040). Market Cap is 13.11M and EPS is -$0.81.

The company incurred a loss of $900,000 during the Q2 of 2017 and For what it’s worth, BDMS believes much of the decline in revenue and Adjusted EBITDA is due to a decrease in the number of dentists in their network.  The count on March 31, 2016 was 112 and had dropped to 98 at December 31, 2016. The last announced count was back up to 105 as of July 31, 2017. The Company currently manages 69 dental offices, of which 36 were acquired and 33 were developed internally (“de novo offices”). With average revenues of roughly $220K at each location, and looking at their quarterly earnings, this appears to be a sound theory. If so, it might be a good idea to keep up with how many locations they have at the time you make your investment. The count looks like a leading indicator of next-quarter performance.

Further, if one looks a little deeper at the numbers in their last several quarterly reports, it becomes evident that BDMS may be facing management and operations difficulties. Low gross and net margins could mean that they aren’t significantly differentiating themselves from their peers. Also compared to their peers nationally, BDMS revenues and earnings have moved much more slowly, which could be a tell on their operational inefficiencies (including poor cost control) and lack of management focus. All of that said, the firm appears to be engaged in trying to get their operating costs under control and that may bode well for investors, especially given the current low stock price.

The dental business isn’t going anywhere and BDMS is operating and ramping up in areas of the country where they don’t have many, if any, peers on their level. On GlassDoor.com, most of their reviews from employees reflect a positive future outlook. However other current and former employees cite a number of low-volume locations that could have been chosen more carefully. This was a summary and I encourage you to do your own detailed research, but I think this is a bounce opportunity and that the stock is undervalued by the market right now. If they’re indeed busy making adjustments to widen the operating margins and increase earnings, now would be a good time to jump in if you’ve got a tolerance for a small amount of risk or understand the regional marketplace conditions in CO, NM and AZ.

WNDW SolarWindow Technologies starts production of its Solar Windows (OTCMKTS:WNDW)

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WNDW SolarWindow Technologies Stock Spikes After News of Production Moving Forward (OTCMKTS:WNDW)

[caption id="attachment_7890" align="alignleft" width="445"]wndw March 14, 2014 shoot for New Energy Technologies. Scott Hammond[/caption]

Share of WNDW (OTCMKTS:WNDW) SolarWindows Technologies have seen 25% spike over last few trading sessions, from $3.60 to $4.80. On 8/29/17 WNDW released news that the company will go into production of its Electricity-Generating Glass with an award winning fabricator, Los Angeles-based Triview Glass Industries, LLC.

“The prospect of generating electricity on commercial buildings, which consume nearly 40% of all electricity generated in the US, is made possible when transparent SolarWindow™ electricity-generating liquid coatings are applied to glass surfaces.

As the company’s select regional fabricator in North America, Triview Glass will work to fabricate specific SolarWindow™ electricity-generating glass products at commercial scale by integrating SolarWindow™ technologies into its manufacturing processes.

Commercial buildings are ideal customers for electricity-generating windows, which could reduce electricity demand by 30%-50% and provide a one-year financial payback, according to independently-validated engineering modeling for a 50-story building. ”

Full News Released on 8/29/17 : Click Here

RECENT HISORY

ON 8/29/17 Price per share of WNDW started trading around $3.69 and with massive volume the stock hit a high of $4.04. The following day WNDW opened at $4.07 and hit a high of $4.69. On 8/31/17 the price started to consolidate and came back off the highs, hitting a low of $4.05 before hitting support and closing the day around $4.25.

Volume has slowed a bit over the last few sessions but the WNDW pps has continued to show solid support and solid moves upward.

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“We’ve long awaited the opportunity to integrate SolarWindow™ technologies into commercial scale production, and I believe that our agreement with Triview puts us well on that path,” explained SolarWindow President and CEO, Mr. John A. Conklin.

Business Description

SolarWindow Technologies, Inc., publicly traded under the symbol WNDW, is focused on the research, development and eventual commercialization of the first-of-its-kind see-through SolarWindow technology, capable of generating electricity on glass windows and flexible plastics.

https://www.otcmarkets.com/stock/WNDW/profile

Technology

SolarWindow™ achieves payback within one year, according to first-ever independently validated financial modeling results.

To produce the equivalent amount of energy with conventional solar systems would require at least 5-11 years for payback and at least 10-12 acres of valuable urban land.

Unlike the many acres of expensive downtown real estate required for solar array fields, SolarWindow™ systems can be installed on the readily-available vast window glass surfaces on tall towers and skyscrapers.

SolarWindow™ can be applied to all four sides of tall towers, generating electricity using natural, shaded, and even artificial light. Conventional solar simply does not work in shaded areas or perform under artificial light.

The result?  SolarWindow™ can outperform today’s solar by as much as 50-fold when installed on a 50 story building, according to independently validated power production calculations.

Find more at the company website here : www.solarwindow.com

 

Our Opinion

We like everything about WNDW and its electricity-generating window technology. We believe that WNDW is a safe play and the future will bring many happy investors.

 

 

CRYO American CryoStem Corp Continues, but is it time to SELL?

CRYO

 

cryoOTC:CRYO (American CryoStem Corporation), based in Eatontown, NJ, with partner laboratories in the U.S., Japan and China, is a firm engaged in developing, bringing to market, standardizing and licensing technologies, materials and services geared at adipose tissue (aka body fat) regenerative and personalized medicine. In this capacity, CRYO is focused on research, analysis, transfer, storage, sterilization, viability and other services in the over-arching adipose tissues field. They also claim to have a strategic portfolio of intellectual property (IP) which they say will support their pipeline of stem cell and applications and biologic products. CRYO was founded in 2008.

There’s been a spike in recent activity on CRYO and we’ll look at the short- and long-term implications as well as try to figure out what’s actually behind the sudden upward trendline.

In 2016 CRYO appointed a Nobel Prize nominee and stem cell expert Vincent C. Giampapa, M.D. to its medical and scientific advisory board. Mr. Giampapa was nominated for the prize for his stem cell work in epigenetics, or the study of human cell function with the goal of aging better. More recently CRYO filed for patent protection for its premier growth medium, ACSelerate MAX™, in Europe, China, Hong Kong, Japan, Mexico, Thailand, Israel, Russia, India, Australia/New Zealand, Brazil, Canada, and Saudi Arabia. This product is a growth medium for stem cells. They also announced the plan to continue to expand the licensing model that the developed for ACSelerateMAX™ and apply it to their entire family of 14 growth and differentiation mediums as well as its transportation and cryopreservation mediums many of which are patented and others in the patent process internationally.

cryoSo long story short, this company is in the business of stem cell treatments and therapies. What does that mean and how does it compare to their peers? Well, they just released their 2017 Q3 earnings report and from what we can see, most indicators fare pretty well for the future. In summary, revenues are up slightly, YOY revenue growth is about 173%, earnings are positive for the first time in several cycles as is net margin.

Their peers include Brainstorm Cell Therapeutics, Inc. (BCLI), Verastem, Inc. (VSTM), Arrowhead Pharmaceuticals, Inc. (ARWR), Fate Therapeutics, Inc. (FATE) and Caladrius Biosciences, Inc. (CLBS) and all have reported for the same Q3 period. All told, CRYO appears to be in good shape compared to its peers (all information is available to the public) and is holding onto its market share. It doesn’t look like CRYO has sacrificed working capital for gross margins, which also improved, and indicates balance sheet solidity and good decision making by corporate governance.

So, where does it stand and where is it going? For much of the last year it has hovered between a low of $0.20 and $0.54 in June of 2017. At that point it began a takeoff and in August fluctuated between $0.53 and $0.75 before spiking to $1.10 twice in the past 2-week period through a 75% increase in trading volume. As of now, it rests at $1.00. We truly think that anything is possible with this one and most indicators are positive for the short and mid-term value of this stock. It appears to be slightly undervalued and the market has noticed. A year ago they retained an investor relations partner and that may be paying off in more than one ways.

Keep an eye on this one. Even though it’s near its all-time high, we think that bodes even better for the future.

FFHD Making Investors Happy

ffhd stock

In recent news, FirstAtlantic Financial Holdings (OTCQX: FFHD) or First Atlantic Bank has experienced an uptick in volume. FFHD is a fully reporting holding company for FirstAtlantic Bank, a full service community bank headquartered in Jacksonville, FL. According to their reports, they have $436M in assets, and eight “financial centers” located in eastern Florida. The banking unit has a 5-Star rating from Bauer Financial, Inc. which they claim is the nation’s leading bank rating firm, and a 3-Star rating from Morningstar.

FFHD

There are a few reasons for this volume increase and we’ll get into them in sufficient detail to give the casual investor a likely plan of action. First off, just a few days ago on Ausust 16, 2017 FirstAtlantic Financial Holdings (FFHD) announced a merger with the National Bank of Commerce (NBC) a Delaware corporation headquartered in Alabama. The announcement states that FFHD will continue to operate (and trade) under its own name after the merger is finalized, but the combined institution will reportedly boast approximately $3.1Bn in assets. The parent company of NBC, National Commerce Corporation (NCOM) is listed on NASDAQ.

 

Prior to the merger FFHD stock was trading from $10.40 to $16.85 and according to the terms of the agreement, every share of FFHD stock issued or outstanding prior to the merger will be converted into 0.44 shares of NCC common stock – or – be purchased for $17.25 in cash with a few details pertaining to NCC’s stake in the merger and the effect on outstanding purchase options left to be ironed out in the form of option cancellation and payment of an amount equal to the difference between $17.25 and the option exercise price. For those interested, NCC’s stock has traded between $35.00 and $40.45 through the past three quarters.

NCC has filed a registration statement form S-4 with the SEC to register shares of NCC common stock to be issued to shareholders of FirstAtlantic but FFHD will continue to be operated, managed and traded under its own name for the foreseeable future.

 

The other reasons for the recent uptick include a positive earnings report issued in August and the hire of a new Assistant Vice President.

ffhd

As mentioned previously, FFHD has seen a recent spike in volume. It currently sits at about 95,700, but the 52-week average is still only 7,095. Price as of August 18, a few days after the merger announcement is at $16.76, which is a sharp spike over the previous year, with the price going from around $10 in August of 2016 up to $13.60 a week before the merger.

 

If you’re interested in detailed financial reports and news, these items are available at the company’s website: https://www.firstatlantic.bank/About-Us/Investor-Relations.

 

Based on our analysis, this one is likely to retract just a bit over the next week or so, but a continued steady growth curve topping out at up to $25 within a year or so is definitely not out of the question. Of course, anything could happen including another spike resulting from positive news or greater publicity.

 

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