It’s not a “sexy” stock
1st October 2020 |
Just a wee-little bit of housekeeping first up.
Next week you can expect a new stock recommendation to hit your inbox. It’ll come next Thursday as usual after the close of the market.
Another great stock that’s really homing in on a massive area of opportunity which I think is one of the key, big market areas that’s primed for explosive growth as we head rapidly towards 2021.
I won’t say too much about it, as I can’t give away what the stock is, but the report is nearing completion and I’m excited to bring you an all-new recommendation.
Also, just a quick heads up that there won’t be a Coin Confidential update coming next week, or possibly the week after as well.
The reason for that is because I’ve been working behind the scenes on something big that I believe will take Coin Confidential to a whole new and exciting level.
More on this new project to come, so stay tuned for that as well!
And one more thing before we dive a little deeper into our portfolio today. At Southbank Investment Research we’re always looking for ways that we can add value to your investment journey.
Of course, here in Frontier Tech Investor, that’s in the way of big market investment ideas and recommendations you can invest directly in. Sometimes that might mean sending you ideas from our other publications we publish that I think you might be interested in.
For example, if you’re keen on some of the most exciting opportunities in biotechnology and therapeutics, then Gerard Pontonnier and New Drug Speculator might be worth a look.
Or if you’re looking specifically for more smaller, and higher risk energy opportunities to cash in on the global energy transition, then James Allen and Exponential Energy Fortunes will be worth a look too.
We of course look at these opportunities in Frontier Tech Investor, but if you want more, higher risk, and a laser focus on those specific areas, we’ve likely got the publications and editorial voices for you.
And then sometimes something comes along that is applicable to all our subscribers. Somethings that’s relevant to you here at Frontier Tech investor, subscribers with Gerard at New Drug Speculator, James and Exponential Energy Fortunes or any of our editors and their publications.
As I say, something for everyone that invests in the market. That’s because we’re broadcasting, right now, an online workshop about generating bigger returns from your investments with less risk.
I wrote to you about this last week, and I want to bring it to your attention today because I think you should be looking at it and taking in everything that it contains – of course our records show you’ve already signed up, awesome! I’ll think you’ll enjoy what you’ll get to see.
Small cap, big news, big pop
I love looking at small-cap stocks. I know that sounds a little on the “weird” side. But I also like things like golf, riding my bike, footy, gaming and other more “normal” things – so they all help balance out the stock fetish.
The reason I love it is because I’m definitely what you’d call an optimist.
I’m optimistic about what people are capable of, what we can do with the right motivations, technology, resources and talent. I’m optimistic about how good things can be. I’m optimistic about the companies in this world that shape our world.
I’m of course optimistic about all this and how investors can latch on to it and build their financial wealth over time.
At the end of the day, true freedom comes with a big splattering of financial freedom. As altruistic as people may be, you can’t deny that if you’re financially free, life does get a fair bit easier.
That’s what we hope to help you out with. Giving you the guidance and insight to contribute towards that financial freedom. It’s what drives us. And for me, there’s no better section of the markets to find some of the levers to get you to that level, than the small-cap subsection of the market.
Within that we uncover little stars like Corero Network Security (LSE:CNS). Now at first instance something like DDoS security isn’t what you’d think of as a particularly “sexy” part of the tech world.
But it’s not always the sexy tech that delivers the biggest opportunities to investors. What you cannot deny is that digital security is of exponentially increasing importance in our world.
When you’re connecting billions of devices, implementing all-new connectivity through cloud services (SaaS, MaaS, TaaS, PaaS – all the “as a service” iterations you can think of) then you’re exposing these systems to attack.
Take for instance the entire Tokyo Stock Exchange, which overnight was shut down for trading. Why? Well the statements out today in the papers suggest that it was due to “mechanical failure”.
I mean, what is “mechanical failure” when we’re talking about a digital, connected stock exchange?
You can’t rule out that it was a related cyber-attack. Unless proven otherwise. But at the same time it could genuinely be just some kind of random hardware failure.
The point being, what happens in the event of a real cyber-attack on market infrastructure? What happens if the LSE is attacked, the NASDAQ, NYSE? What does that do to markets if they’re shut down for a day, a week, a month?
Or what about if your online broker is hit with a massive DDoS attack? Or your internet banking?
I tried logging into my internet banking the other day. But there was some kind of error with it. I tried to log in through a web browser and still couldn’t. The whole system seemed to be down. I couldn’t move my money – there was no branch nearby either.
And if branches continue to be shut down, then where are we if your online banking is under attack, or being hit with a DDoS and you and everyone else can’t access your money?
This is why a company like Corero announced today a record quarter to 30 September. It booked over $6 million in orders for the quarter with contract wins in the US, Asia, Australia, Europe and here in the UK.
In other words, Corero’s reach is all over the world and it’s winning. That’s a great outcome considering the restrictions on working right now all over the world and for a company that’s a £44 million UK-listed small-cap.
As you’d expect, big news for a small-cap like this sent the stock today spiking from a close yesterday of 7.75p to 9.5p in intraday trading a 22.5% increase.
That’s helping lift Corero into a profit position for us, and if this kind of growth continues, we’re expecting big things from it as we wind up 2020 and head into 2021.
This is one to hold on to, to ride the opportunity and the growth that’s packed inside. And if it plays out like we hope, it could be a big UK small-cap winner for your portfolios.
Regards,
Sam Volkering
Editor, Frontier Tech Investor
