February 26th, 2007

SpeculatingStocks.com Stock Pick: DGSE Companies, Inc. (DGSE)

Price: $2.76 (long-term strong buy)

DGSE Companies, Inc. wholesales and retails jewelry, diamonds, fine watches and precious metal bullion products and rare coins to domestic and international customers. In addition to its retail facilities, the company operates live Internet auctions which can be accessed at www.dgse.com.

DGSE has grown revenue from $26.20 million in 2003 to $28.64 million in 2004 to $35.64 million in 2005. Through the first nine months of 2006, DGSE has revenue of $31.87 million. The company has reported net income positive for the past several quarters.

The company recently opened their first "National Pawn" location in Dallas, TX. They are moving thoroughly and smartly forward to continue growth.

DGSE is significantly undervalued at a market cap of only $13.56 million. Once, DGSE is discovered, we expect it to see much higher levels.

There are only 2.47 million shares in the DGSE float.

SpeculatingStocks.com Target Price: We expect DGSE to reach $5.00 within the next 2 - 4 months.