Prophecy International Limited ("PRO")

[steve fleming]

PRO has had a great run recently on the back of Micro Equities taking a stake and continued success of its Snare software.

I see it was a great pick by Amalgam in the tipping comp.

Still on a 6% yield.

However what I find interesting is that I have noticed there has been a few calls about it on Your Money YOur Call over the last week or so.

I try and watch/listen to YMYC as much as I can, and I have found that interest on YMYC is an excellent lead indicator to increased activity in micro-cap stocks.

It is good evidence that their story is getting out there and its profile is increasing.

On a number of occasions initial interest on YMYC has been followed by big re-rates (EBT, CAJ, MNF, NEA)

Not sure how much is left in PRO to run, but it is good to see that there is growing interest in the stock as it is a major holding of mine!

[amalgam]

PRO has had a great run recently on the back of Micro Equities taking a stake and continued success of its Snare software.

I see it was a great pick by Amalgam in the tipping comp.

Still on a 6% yield.

However what I find interesting is that I have noticed there has been a few calls about it on Your Money YOur Call over the last week or so.

I try and watch/listen to YMYC as much as I can, and I have found that interest on YMYC is an excellent lead indicator to increased activity in micro-cap stocks.

It is good evidence that their story is getting out there and its profile is increasing.

On a number of occasions initial interest on YMYC has been followed by big re-rates (EBT, CAJ, MNF, NEA)

Not sure how much is left in PRO to run, but it is good to see that there is growing interest in the stock as it is a major holding of mine!
Hi Steve.....I held PRO for some time, but unfortunately sold out prior to this last rise in the price--better to not look in the rear window. As you say it has a good yield, but I didnt think there was much left in it. ( although I notice on one of the Australian sites they are talking it up)

[stoploss]

Hi Steve.....I held PRO for some time, but unfortunately sold out prior to this last rise in the price--better to not look in the rear window. As you say it has a good yield, but I didnt think there was much left in it. ( although I notice on one of the Australian sites they are talking it up)

I am a holder of PRO , got in mid 40's luckily before it took off. Steve excuse my ignorance what is YMYC , can we get this online in NZ ?

[Entrep]

I am a holder of PRO , got in mid 40's luckily before it took off. Steve excuse my ignorance what is YMYC , can we get this online in NZ ?


http://www.skynews.com.au/programs/ymyc/

[winner69]

http://www.skynews.com.au/programs/ymyc/

Get the podcast sub from here
http://www.skynews.co.nz/podcast/#aboutPodcasting

It works ....but I hardly ever have the time to listen ....but maybe should listen to Tuesday Thursday programs

[ozzie]

I notice that YMYC often gets a lot of calls about a stock when the Montgomery team tips something. TTN was one they tipped a few
weeks ago and a lot of callers to YMYC were asking about it immediately afterwards (though since there are two Titan Energy stocks, TTN and TTE,
YMYC always put up the chart for the wrong one, TTE, and the panel then naturally said it was a crappy looking stock, steer clear etc.) :P
Re PRO has it run too far?

[blackcap]

Market Analysis picked these in 2008, trading at 26 cents at the time. Makes intersting reading.. p14,15,16 for those keen to know some background on the company. Happy holder and not selling anytime soon. Recent announcements have been very positive.

http://www.stockmarket.co.nz/backissues/ma435.pdf

[steve fleming]

Interesting to see MicroEquities has just acquired a further 1 mill PRO shares at 60c off the PRO chairman

Micro Equities now owns 16% of PRO

[amalgam]

Interesting to see MicroEquities has just acquired a further 1 mill PRO shares at 60c off the PRO chairman

Micro Equities now owns 16% of PRO
While I suppose it is good that Micro Equities have increased their holdings--I always feel concerned when there is insider selling for whatever reasons

[blackcap]

While I suppose it is good that Micro Equities have increased their holdings--I always feel concerned when there is insider selling for whatever reasons


It is not positive but I am not as concerned about insider selling as positive about insider buying. Peter Lynch in his book "one up on wall street" says that insider buying is a good sign, insider selling is nothing to be concerned about. People need money for all sorts of reasons, maybe to diversify (makes good financial sense especially after a big run in price), or just needs money for an upgrade to their house, equity for a new home, maybe sending the kids to private tuition, a family member in financial strife etc. Insider selling is not as bearish a signal as insider buying is bullish a signal.

[steve fleming]

Over the past 4 years, either the day of the AGM (2009), the day before the AGM (2012) or 2 days before (2011, 2010) PRO have released some good news to coincide with the AGM.

Hopefully this year there will be some news on the new acquisition - would be nice to see PRO really bulk up their revenues.

Has been four months since the placement to Micro equities for the purpose of funding a new acquisition

[steve fleming]

Over the past 4 years, either the day of the AGM (2009), the day before the AGM (2012) or 2 days before (2011, 2010) PRO have released some good news to coincide with the AGM.

Hopefully this year there will be some news on the new acquisition - would be nice to see PRO really bulk up their revenues.

Has been four months since the placement to Micro equities for the purpose of funding a new acquisition

Price action not good in the lead up to the AGM tomorrow....

Another small Adelaide company (SCD) had a pretty poor 1H outlook at their AGM today, so hears hoping for better news from South Australia tomorrow

[steve fleming]

Interesting announcement today

http://stocknessmonster.com/news-item?S=PRO&E=ASX&N=777441

"This agreement adds further weight and support to the industry trend from the Snare Open Sourceagents to the commercially available Snare Enterprise feature set for organisations needing to fullyaddress audit, regulatory or security compliance standards. "

so more customers moving from the free version of Snare to the paid version which is nice

[blackcap]

And another one .....

New sales of SNARE software products have continued to surge during the month of May. The month closed out with a very impressive sales total that has made May the second best sales month so farthis financial year.As a result, the YTD new sales total for SNARE has grown 117% compared to the same period last year.

The sales pipeline for the month of June is the best that it has ever been and this heralds the opportunity for a record sales total for the month of June and the full year. The indications are that the growth will continue through June and provide a record growth result for the full year.

HI KW,

I hold some PRO and am very happy with my investment but these monthly announcements of sales do "annoy" me a bit even though its great news. Its almost as if the company needs to give itself some TLC as if they are suffering from insecurity.
Good to see things looking up though. Lets hope the divvy will also increase with increased profits.

[percy]

Just keep them coming.I love them.!!!!!!!!!!! lol.

[blackcap]

Just keep them coming.I love them.!!!!!!!!!!! lol.

I take it you are "well positioned" in this stock? lol

[blackcap]

They are legally obliged to announce a 10% or more variance to forecast earnings to the market as soon as they become aware of the variance. So if the sales of SNARE rise by 10% over forecast, then one supposes earnings are rising by the same amount (or even more, depending on operating leverage). I see it as simply being compliance not puffery.

Maybe in the future they will get more aggressive with their forecasts, and we will be spared the updates. But personally I prefer conservative forecasts and upgrades along the way. It makes it easier to buy in along the way :-)

Thanks KW, I was unaware of the 10% threshold that applies. That makes sense. I was surprised last time that the SP fell back after the initial burst upwards and thought that that may be due to perception of puffery by the company. But I guess I was wrong. 98 bid as I type, could break $1 if this goes on much longer. And I see it has now gone to $1.02

[blackcap]

Extremely well positioned :t_up:

However, the vast majority of companies in pre-earnings season have failed to maintain their price rises off good news. Its a symptom of the sick market at the moment. Hopefully PRO will be the exception as I bought some more today.

Well done. You are right about the "sick" market... previously announcements of these proportions may have seen the stock shoot up to $1.20-$1.40 or thereabouts. I guess punters are a bit nervous at the moment.

[blackcap]

Hits $1.22 today and finishes on $1.15. I am going to do some numbers if time permits tomorrow and see for myself what I think it is worth. Difficult though without knowing fully what forward looking revenues are.

[percy]

Today's announcement,upgrade on expected result moved the sp up 16 cents to $1.70..

[blackcap]

Today's announcement,upgrade on expected result moved the sp up 16 cents to $1.70..

You certainly are "well positioned". However just wait for inclusion into ASX all ords and maybe 300 liquidity permitting for this to get a rocket up to $2 and beyond...

[noodles]

You certainly are "well positioned". However just wait for inclusion into ASX all ords and maybe 300 liquidity permitting for this to get a rocket up to $2 and beyond...

What market cap will it need for the all ords? When is the next inclusion date?

[percy]

I feel the share price trajectory has caused me to move from "well positioned" to "poised",and I am now holding myself "at the ready" for more announcements that will send me further "over the moon."
Just can't remember why I never brought in when SF started this thread.I brought in after a kick in the backside from Noodles when PRO was at 60 to 65 cents.Only ones for sale were at 68cents which I brought.

[mark100]

What market cap will it need for the all ords? When is the next inclusion date?

The third Friday of March 2016 so a while yet. Not sure of Market Cap, it will need to be in the top 500 by market cap for inclusion.

Too small for ASX300 inclusion, which is next updated in Sept

[blackcap]

The third Friday of March 2016 so a while yet. Not sure of Market Cap, it will need to be in the top 500 by market cap for inclusion.

Too small for ASX300 inclusion, which is next updated in Sept

It should definitely make the all ords though... and that in itself will/may put it on the radar of a few insto's. And with scrip being tightly held... could cause a violent movement upwards. Not to say that that has not happened already. Got in at 28 cents many years ago... justifying my entry well and truly now after a few years of going no where :)

[DarkHorse]

According to an ASX announcement Director Matthew Michalewicz bought his first shares - 150K - 22/7 - sounds great but listed as "on market transaction" for consideration of $165K - ie $1.10 per share?! They were trading c$1.60 last Wednesday... ???

Btw I see another ASX provider of monitoring and diagnostics software - Integrated Research - is still on a tear - now my largest holding :)