January 3, 2005
SpeculatingStocks.com Stock Pick: Envoy Communcations Group, Inc. (ECGI)
Stock Price: $0.60 (short-term strong buy)
Envoy Communications Group is a marketing and international consumer and retail branding company with offices throughout North America and Europe. Envoy's interconnected network of companies delivers business-building solutions to over 200 leading global brands.
ECGI has until March 28, 2005 to regain compliance with the Nasdaq by remaining over $1.00 for 10 trading days. We strongly believe ECGI will be able to accomplish this ultimatum and remain on the Nasdaq.
The company expects to make between $50 and $53 million next year with net income of $4.7 - $5.2 million, this would equate to an earnings per share of $0.04. They also have an acquisition pipeline that includes five target companies, all of which are profitable and would add to earnings.
ECGI has strong support at $0.50 and is beginning to build support at current levels.
The company currently has zero debt and working capital of $57 million.
SpeculatingStocks.com Target Price: We expect ECGI to hit $1.25 by the end of March.