Well, it didn’t take long for Porter Stansberry to get his newest analyst, Frank Curzio, to headline the Phase 1 Investor newsletter, their most expensive product — this is a letter that has focused mostly on biotech, other tiny tech stocks, and junior miners over the last couple years that I’ve written about them (at least in the teaser ads, I have no idea what the other picks might have been). I don’t know what happened to Rob Fannon, who used to edit Phase 1, but lately they’ve also been using small cap, illiquid ideas from a number of their other analysts to tease this newsletter, too, so it has come up quite a few times. Given Curzio’s history of small-cap, low-priced expertise, I assume that’s what we’ll end up seeing in the future from these “exclusive” picks.
And frankly, though I know that a $5,000 newsletter (though it’s “on sale” for $3,000 right now) doesn’t necessarily have “better” ideas than a $50 letter, the urge to crack their teasers is stronger when they’re asking for more dough. I just can’t resist. And it works out quite nicely that I’m getting around to this on a Friday, since it’s always a little better to share the smallest-cap names with the Irregulars instead of the much larger “free” readership of Stock Gumshoe … I don’t know that we’d move the stock on a day like this, but there’s at least a better chance that you could buy it at a reasonable price (if that’s what you choose, of course) than there might be if I shared it with everyone at once.
So this one caught my eye immediately — the notion of the “Trojan” stock is their way of describing the Chinese companies that have gone public on US markets (including the OTC and bulletin board markets) by way of a reverse merger, effectively buying a shell company that has a stock market listing (often a mining stock that went broke, or something similar) and merging their company into that shell, thereby giving them a quick and easy way of “going public” and raising money in the US markets — something that is extraordinarily difficult and time-consuming on the Chinese stock market.
And Curzio’s got a favorite “Trojan” for you now — in Chinese agriculture. This is not Chaoda Modern ...