Sunday, July 13, 2008

If a tree falls in the forest...

and no one is around to hear it, does it make a sound?



If the markets continue to fall, does anyone notice a sector starting to rebound??



The Russell 2000 (IWM) is showing signs of a "possible" bottoming pattern. This index represents small caps, or those stocks with a market capitalization (shares X price) of under $1 Billion.

We have highlighted two companies in this index that look appealing:



The first is Composite Technology Corp (CPTC). The company has a division called "Dewind" that manufactures wind energy turbines (these are the same ones being used in Sweetwater, TX as part of T. Boone Picken's windfarm). Since the company is listed on the bulletin boards they have not had enough funds to complete the orders they recieved. Along comes Credit Suisse bank who just made an additional (owned 4% of the company) investment of $40 Million.








Next is Quantum Fuel Systems technologies worldwide (QTWW). Simply put, they develop the technologies that make hybrid cars run. They seem to be in the right place at the right time as they just reported quarterly revenue groth of 211%

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