DRV & ALYI - Very Strong and Timely Buys, OXIHF (Strong Buy), NDX (Buy), PBT (Hold)

I foresee significant movement in both Duran Ventures (DRV on the TSX-V) and Alternet Systems (ALYI on the OTCBB) in the very near term.  As this is a quick update, please see previous blogs for more info (and of course do your own DD):

-         DRV

If you look at my last blog of June 2, 2010 where it is first covered, you’ll see why buying  Duran Ventures is so da-n compelling, especially if one likes copper, gold or moly:

http://www.stockhouse.com/Blogs/ViewDetailedPost.aspx?p=103918

DRV has it all both fundamentally and management-wise and should be putting out a NR re drilling soon after 15 million (5 million were exercised earlier in the year) in-the-money 10 cent warrants are finished being exercised by the accelerated warrant expiration date of June 16, 2009 – ie. this Wednesday.

There’s been a game of chicken concerning the warrants, but with the 1.3 million share day on Friday, it’s clear the rubber is about to really hit the road. The next three days, IMHO, give investors an opportunity to build a position at rock-bottom prices. In my educated guesstimate:

-         5.25 to 6 million warrants have been exercised, with the shares sold into the market.

-         3 to 4 million warrants will probably be exercised and the shares kept by the warrants-holders.

-         AND THIS IS IMPORTANT – 5 million to 6.75 million warrants should be exercised, and sold into the market between now and Wednesday.

So, within three days:

-         The treasury is much richer.

-         Selling pressure comes off the stock.

-         The company is in the financial shape to drill.

We should see a higher SP and a growing story (remember, they have two potential takeover properties adjacent to very interested majors) after Wed..…IMHO.

ALYI

As shown in previous blogs, Alternet Systems is a very compelling story. A few points for this mobile payments and transaction company:

-         Alternet is tracking next year to do up to $12 million in revenue – and 30 to 40 percent of that is profit. The market cap currently is a little over $700k. Yep….700k! That’s shell value.

-         Alternet is ripe to be bought out as they are tied to their partner Utiba – ie. ALYI has exclusivity for Latin America.

-         Some large players have their eye on them. This story is all about the buy-out, as the large entities don’t care at all re ALYI’s ridiculously low SP.

-         Big deals are coming….IMHO.

I spent some time with the President, Henryk Dabrowski when he was in T.O. last

week. When a company has had a SP situation like ALYI does (ie. a small financing   was done without a floor price – and became a death-spiral financing causing a quick decline in SP), it’s always good, IMHO, to look into the whites of the eyeballs of the guy in charge. I and the tech/finance industry pro I brought along are quite satisfied that he’s a solid tech professional and just got caught on financing by someone he considered a friend.

Suffice to say, there is a real opportunity here:

-         There is a 3 million share short out.

-         The shorters are in a tight spot.

-         Bids and volume are growing.

-         The BC (de facto Canadian) restriction on trading the stock (which was on because the Exchange were not sure whether they were a US or Canadian company) has been lifted.

-         The company was 14 cents last month and closed Friday at
.028 cents. A small monetary amount of buying could easily start ALYI trending rapidly upward.

Short-term, this should be a very nice win – and fast. And long-term this could be a huge winner, especially if you get the stock at its current extremely low price.

OXIHF

Sure, there’s investor fatigue with the money processing company Oxford, but I am very impressed with the way the company is so focused when it comes to sales efforts. We may get a clear picture of current revenue when the year-end comes out - which I believe is just about finished.

The year-end, though, won’t touch on what I believe OXIHF has in the pipeline. Any one deal can/will be a game-changer for this company. That will/would clear up any investor fatigue – and fast.

OXIHF stock has good support at this level and the next leg up is approaching quickly – IMHO.

NDX

I like the latest NR. Sewing up more of the Rosa Coal Mine’s output is good business. Neil is good on the operational side, but this company is akin to a one-legged stool. Without the financial/financing and market legs of the stool, it’s just not functional.

Good fundamental news is coming re acquisitions, IMHO. The natives, though, are restless, and a lot of the upside may already be in the current SP. I think we are going to see a pop and then a decent bit of selling.

So….I support NDX, but am very disappointed as it should have a much higher SP. I feel changes need to be made.

PBT

I’m still putting a personal hold rating on Pemberton Energy until I am sure fundamentally they are moving along. I plan on visiting BC (and perhaps Alberta) in the next short while and should have my head around it after some face-time with the players in this drama.

Cheers – and as always, I appreciate any commentary or inboxes concerning my blog.

Jim