What do small cap investors ask of us most often?
1. What is the main purpose of the
Investorfile website and blog?
is a small cap media and information resource for investors seeking accurate,
truthful representation of a small cap company stock's potential worth. Our Top
Ideas become stocks picks that are communicated through the Investorfile blog.
Small cap companies who become our Top Ideas freely benefit from the exposure
to hundreds of retail investors, brokers and small cap portfolio managers who
regularly visit the Investorfile website or subscribe as a member to directly
receive Investorfile commentary. All our Top Ideas are comprised of small cap
growth companies with management teams who are dedicated to maximizing
shareholder value through the betterment of financial results.
2. How do you find stock picks for
Investorfile's Top Ideas?
is nothing to find. It is all there in black and white; that is the print
colour of the Management Discussion & Analysis (MD&A) report filed each
quarter by companies listed on Canadian exchanges. Often the MD&A provides
a wealth of information on the operating and market trends of a company which
can be tracked and compared to help forecast financial performance. Twice a
year Investorfile reviews every non-resource small cap company listed on TSX
and TSXV stock exchanges to comprise a short-list of about 15-20 stocks that
meet our general criteria (See: 5 principles that have guided Investorfile). The
MD&A's of the short-list of companies are reviewed in detail to help support our
valuation metrics. Senior management is also contacted. To date all our Top
Ideas have been generated by this process.
3. Stock price targets for
Investorfile's Top Ideas are rated as "Accumulate to." What does that
believe our Top Ideas are stocks largely overlooked by the investment community
and therefore trade on a value basis. Our stocks' price targets
specify an opportunity for small cap investors to accumulate shares at valuation
levels before the broader investment market recognizes the stocks potential.
Over the longer term this approach provides the greatest upside and some
downside risk to overpaying.
4. Why do you not revise your stock price
targets for your Top Ideas once they are surpassed? Are they a sell at that
our Top Ideas are headlined as small cap "value" stocks, but they are
still growth companies. We believe our stock price targets represent an
opportunity for investors to take advantage of the market's inefficiency from
mispricing certain growth stocks. Generally when our price targets are exceeded
the broader investment community including analysts and institutional investors
has begun following the stock. When our price targets are exceeded Investorfile
continues to provide updated blog posts on all our Top Ideas. To date, many of
our Top Ideas stock price targets have been far surpassed by over 100%.
5. How does Gerry Wimmer, blog writer for
Investorfile's Top Ideas, benefit from providing his opinion on specific small
on each Top Ideas blog post, Gerry Wimmer is a shareholder of stocks mentioned.
Those shares were purchased on the open
market. No remuneration in cash, stock or options whatsoever is paid to
Investorfile or Gerry Wimmer from any small cap company featured on
Investorfile's website unless disclosed otherwise. Gerry Wimmer like any other shareholder
can benefit from potential capital gains. To date, Gerry Wimmer continues to
hold share positions in all of Investorfile's Top Ideas.
This article is for informational purposes only. This article is based on the
author's independent analysis and judgment and does not guarantee the
information's accuracy or completeness. The information contained in this
article is subject to change without notice, and the author assumes no
responsibility to update the information contained in this article. The
information contained within this article should not be construed as offering
of investment advice. Those seeking direct investment advice, should consult a
qualified, registered, investment professional. This is not a direct or implied
solicitation to buy or sell securities. Readers are advised to conduct their
own due diligence prior to considering buying or selling any stock