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  • LOT78, INC. (OTC: LOTE) Is It Worth $345 Million?

    Lot78, Inc. (OTC: LOTE) hit the bb's at around $1.40 in the third week of March, the stock did not stand out much for a number of other promo stocks I was watching and I didn't really think much of it.

    Of course what has separated LOTE from the rest is the fact that this one has just kept going. After hitting a high of $3.75 in the third week of April most investors including myself thought it was done but it just came back stronger then ever, exploding over $6 per share in a matter of days.

    LOTE is being promoted by Eric Dickson's Breakaway Stocks hard mailer campaign with a documented $2,500,000 documented budget. The paying party is Capital Financial Media LLC.

    According to a recent press release Lot78, Inc. is a trend-setting leader in the design, marketing, distribution and sale of urban apparel - retailing under the brand name "Lot78" in five continents, including: North America, Europe, Asia, Australia, and South America. Lot78 has been featured in US Weekly, Elle Magazine, Financial Times, Harrods Magazine, The London Evening Standard, and Grazia Magazine as an emerging global brand.

    LOTE has been putting out some exciting press including expanding its US distribution agreement with Barneys New York increasing its distribution from 1 store to 4 stores for AW'13. Also on April 22 they announced "Lot78 Sees 80% Increase in its On-Line Store, President and CEO Amhurst Anticipates Significant Brand Reach and Revenue Growth.

    And all this talk about high growth on their domain lot78.com; the website gets a fraction of the traffic otcmagic.com commands.

    I would suggest that LOTE cannot maintain anywhere near the $345 million market valuation once the promotion dollars run out and that anyone buying the stock at current price levels will lose most of their investment.

    For more information and insights on LOT78, please click here: LOTE

    OTCMagic.com is quickly becoming the preeminent destination for up to date information on the hottest stocks in Penny stock World

    Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

    Apr 27 10:16 AM | Link | Comment!
  • What Has Triggered Momentum In Fannie Mae (OTC:FNMA)?

    Fannie Mae (OTC:FNMA) made an announcement in March about pricing its third Multifamily DUS® REMIC under its Fannie Mae Guaranteed Multifamily Structures (Fannie Mae GeMS) up to $904.3 million after its mortgage crisis, which triggered the stock in recent trading sessions.

    Senior Vice President of Multifamily Capital Markets stated regarding the Fannie Mae GeMS, that "FNA 2013-M4 is our first GeMS deal to include 10-year DUS pools with 7-years of yield maintenance", and believed to observe the investor's demand to be robust in these classes.

    FNMA is a government-sponsored enterprise which operates in the U.S residential mortgage market and global securities market. The company securitizes the mortgage loans made by lenders in the primary mortgage market into Fannie Mae mortgage-backed securities. It operates in three business segments: Single-Family Credit Guaranty, Multifamily and Capital Markets. The company mainly securitizes the single-family and multifamily mortgage loans.

    Through the consecutive mortgage defamation and housing bubble, FNMA along with FMCC gravitated. The reason behind the decline was granting of credit to anyone asking for it, and then presenting that debt into securities which had highest rating, triple A. But in fact the loans were not triple A and were liable to default, causing everything to breakdown.

    For more information and insights on Fannie Mae, please click here: FNMA

    OTCMagic.com is quickly becoming the preeminent destination for up to date information on the hottest stocks in Penny stock World

    Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

    Apr 03 4:34 PM | Link | Comment!
  • Freddie Mac (OTC:FMCC): A Stock Not To Miss

    Freddie Mac has been ignited along with the explosion of Fannie Mae, recently moving above $0.30 spontaneously.

    Freddie Mac provides credit guarantee for residential mortgages initiated by lenders and is an investor in mortgage-related securities. It operates in three business segments: Single-Family Guarantee, Investments and Multifamily. The company totals and securitizes the mortgage related securities issued by the company, government sponsored enterprises, state or local housing finance agencies or private entities.

    The single family guarantee includes the purchasing of single-family mortgage loans originated in the primary mortgage market; it securitizes the purchased mortgage loans into guaranteed mortgage-related securities and guarantees the payments on the mortgage-related securities. The company also engages in securitization and guarantee of multifamily mortgage loans and securities and guarantees multifamily HFA bonds and housing revenue bonds held by thirds parties.

    Freddie Mac went downhill along with Fannie Mae during the housing crisis and collapsed mortgage outrage. The story behind the crisis was granting of credit to anyone who asked for it, which rated the debt based security to the highest but in reality the debt bundled into securities comprised of trash loans which were liable to default and caused a meltdown.

    For more information and insights on Freddie Mac, please click here: FMCC

    OTCMagic.com is quickly becoming the preeminent destination for up to date information on the hottest stocks in Penny stock World

    Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

    Apr 03 3:40 PM | Link | Comment!
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