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dragonLZ (99.37)

NCT: Is this really the best stock in the world?

Recs

11

November 09, 2010 – Comments (9) | RELATED TICKERS: NCT

Three months ago, on Aug. 5, bluebare had a post What's the best stock in the world?

All of the people (other than Teacherman) who commented on that post picked high-didvidend-paying stocks as their best stocks in the world: KO, PG, JNJ, etc.

I did not.

I picked NCT (my comment was #13 and you can see it in the above linked post).

Since then, NCT has been on fire and with today's 12% jump its return stands at 80% as of now. That's 80% in 3 months and 4 days.

Here is the chart showing what happened with NCT since Aug. 5:

 

What I especially like about NCT is the fact that on 9/30/10, in my NCT pitch, I said: I think NCT will soon be at least $4 stock. On 9/30, NCT was at $3.18, it reached $4 10 days later. Today, (less than a month later) NCT is a few cents shy from being a $5 stock.

Now, to be honest with you, I don't really know if NCT is the best stock in the world. 

But it sure does behave like it is.  :)

Sorry, I had to share this with you. TSIF will know why (I got ahold of that Kool-Aid again). I only hope I didn't jinx NCT by posting this.

Good Luck All, and don't forget to have fun when investing.

 

Disclaimer: Past performance is not indicative of future returns. Sometimes. 

9 Comments – Post Your Own

#1) On November 09, 2010 at 2:44 PM, ContraryDude (30.19) wrote:

I would be cautious with this one.  The market likes to teach investors about humility.  I learned that lesson the hard way with RAS, which I continue to hold hoping for it to get back to the $4 range.

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#2) On November 09, 2010 at 2:54 PM, dragonLZ (99.37) wrote:

ContraryDude, I agree. 

RAS tricked me as well. However, I still hope it will come back.

Giood Luck!

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#3) On November 09, 2010 at 3:11 PM, rd80 (99.10) wrote:

Congrats.  Hope you had some real money along on that ride.

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#4) On November 09, 2010 at 3:46 PM, dragonLZ (99.37) wrote:

rd80, Thanks a lot.

Congrats to you on getting into the 99 crowd. I think last time I checked you rating was 98 - sorry, if I'm wrong.

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#5) On November 09, 2010 at 11:06 PM, bluebare (36.37) wrote:

Hello again, Dragon,

On 10/8, I posted the following complimentary comment on your rec at the NCT stock page:

Hi Dragon,

You rec'd NCT on my post, "What's the Best Stock in the World?" It took me too long to figure out you were right and I missed out on $.70 a share. Oh well, it's still good and I'll be holding with you. Just dropped by to say thank you for taking time to highlight this excellent investment.

bluebare

So, after considerable DD and comparison with other opps and some indecision, I judged NCT to meet my "best stock in the world" criteria at the time and invested a portion of available funds in the company.  

With continuing gratitude, I submit for your considerastion this affordable little "defensive" hedge that I tucked away in a small dark corner of my portfolio today.  It probably won't do anything exciting for quite a while and then, without prognostication, will wake up one day and present itself as an unexpectedly delicious surprise. DCHAF.PK. 

Thanks again, Dragon, and good luck to all.

bluebare

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#6) On November 10, 2010 at 3:27 PM, dragonLZ (99.37) wrote:

Thank you, blubare.

As with all low-priced stocks, NCT is hard to hold onto, but if one has a small position (and a stomach for wild moves), a high reward is not out of question. 

Thanks again and good luck.

p.s.

Is DCHAF Dacha Strategic Metals? Btw., I've never invested in an OTC stock.

 

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#7) On November 15, 2010 at 3:27 PM, bluebare (36.37) wrote:

With a 30% cushion overhead now, I have a lot more stomach for wild moves in NCT than I did a month ago. 

Yes, Dacha Strategic Metals.  It holds rare earth minerals and metals mined in China in warehouses outside of China.  Its website claims it to be the only firm in the world doing this. From what I can tell so far, the stock seems to move more relative to the NAV of the market value of the holdings as opposed to earnings potential.  However, a news release came out recently indicating that they had sold a small portion of their inventory for a profit of 220% confirming their business model and demonstrating the kind of potential rise in NAV that these minerals can command at times.  Still learning.

I don't want to be too obscure in why I think this is a good hedge.  I noted its "defensive" value in the prior post.  I want to be clear that I think these minerals will go up significantly in value if a major war broke out.  I put this in a "dark, little corner" because I hope a major war never breaks out.  However, history suggests they do and it would not surprise me if there's another one during my lifetime.

In any case, the recent excitement over rare earth minerals seems to have bypassed this little company.  Whether or not there's a war, it seems to me these are some pretty special precious resources and it's clear that not just gold but all commodities are appreciating with dollar concerns.  I'm becoming sort of partial to industrial metals as a safer, practical alternative to gold a commodoties inflation/financial insurance play.

I'm not saying rush out there and buy this.  Just pointing out a very interesting company whose expertise and business model are quite...rare.  I think it's worth DD and watching.

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#8) On December 29, 2010 at 8:13 PM, bluebare (36.37) wrote:

Hi Dragon,

FYI, DCHAF.PK was .40 when I posted the rec on November 15.  It moved from .40 to .50 in the past week on rare earth minerals news out of China.  Will wait for the top and look to place some newfound profits in another Dragon rec?  What's on your radar today???

Best wishes and good luck to us all in the New Year.

bluebare

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#9) On December 30, 2010 at 1:59 AM, dragonLZ (99.37) wrote:

Hi bluebare,

DCHAF definitely looks very interesting. 

A few days ago, I got me some CNO and PWER.

Today, I got some silver and gold mining stocks (GPRLF, GRS, and BRD - all from Sinch's 2011 list).

Tomorrow, I might get some DNN, PLG, and TGE (or just two of the three).

After that, I'll have no more cash left (which is not very smart, but hey, what can I do?) 

Good Luck and Best Wishes to you too.

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