NETeller - NLR - 3.15
Thought i would start a new thread following on from
hawick - new issue looks very special - not to steal the thunder from
hawick but just to highlight the company name to those not already in to this
potential blockbuster.
Those of us who are following NETeller know the background and have been
active with postings,for newcomers i strongly sugest viewing the
( new issue looks very special posting )the content will speak for itself.

Brief overview of NETeller
The company handles online cash transactions across the globe
on 21st oct gained fsa approval to operate as a regulated e-money issuer
and will passport the regulated status to all 25 EU member states
it has over 1 million clients rising by 2000 number each day
1500 online merchants and processed over $1.5 billion in 2003
pre tax profit is estimated to be 29 million to dec 04 rising to
40 million next year
per currently 20 to dec 04 falling to 11.5 which is low for sector
brokers have been raising forcasts on a regular basis
share price has risen over 50% since launch earlier this year
new markets emerging constantly,asia has the potential for supergrowth
online casinos are creating enormous profits
given all this - cash generative - huge market - fsa approval
infastructure in place to handle growth, profits accrue to bottom line
the market force is behind it with good relative strength
all put together it is hard to argue against this has the potential
to be a blockbuster over the year ahead

regards HUSTLER

I think a few bears may be running for cover now. They may of course regroup and "charge again" early next week. But this upturn will make them nervous, and I think we may see some money that was sitting on the sidelines start to move back in.

A good weekend to all!

rgrds
gk

Chatted this through with a professional advisor who I have a deal of confidence in. As a TA he is not that keen on NLR because he is aware of the froth around the share which I take as being opportunistic punters as many of us are, including myself. He sees the bounce off sd's support level at around 450 as significant; 468 was a 50% retracement, also significant; below 468, there is the 200ma at 395 before sd's lower levels. The upside potential in this recovery is 541. But I think the key point that he is making is that the bull market has been destroyed, at least for now. I would have averaged down today but couldn't manage it with the weakness of other positions, following the general market. Will take a raincheck at 541p and reappraise. What I have done is switch funds into NLR in the Champion Investor comp. at average 440p! Have risen from 488th to 330th already! lol!

Eric

Just had a quick day trade and took 42 points out of it.

I still believe in the fundamentals but we need a period of consolidation first and a better general market.

Wow 500p. That's psychological....man!

(I must stop smoking these Spanish cigarettes).

Well done, Dil. Was tempted myself, but hadn't the free cash - are you able to trade on-line on a settlement basis so you do not need a balance on the account?

Eric

Where's HUSTLER?

Time we heard from him again!

lets hope there are more gains on this,or does some one think there is still a risk these going back to 450p.

What does the x trades mean,as there are two big trades at the close.

Looks good for next week,some big delayed buys coming through,one for over 350.000.

Never got around to buying my third tranche but am very pleased with a 10%+ on one tranche and a 4% profit on the other. Not bad for one day .... pity it got swamped with the drop of seo. Nevertheless I still see a bright future for both of these.

Cheers

B2B

Never tried it Eric , I had the cash available as I'm 100% cash.

Is that y0ou, Dil, at numer 2 on the Champion Investor list: not surprised with that trade today. Good to sit at the feet of a master investor!

Eric

I'm not a master investor eric , lucky b*stard sounds about right :-)

I know your Welsh but not every Welshman is a bastard is he? :-)

How do you see next week? Could go either way. Not sure any real evidence that short positions have been closed.

Eric

Dunno , closed all my positions even in the game and only going to try trading with the trend if there is one and not going to try second guess what will happen.

If the US is closed Monday then rally should continue first thing Tuesday but after that I wouldn't like to guess.

Checked the charts of all FTSE100 companies last night and a lot had fallen to key support levels so guessed there could be a bounce but if pushed I would say their is more pain to come somewhere along the line.

Good luck.

Evil revealed his hand this afternoon says the competition is coming from Firepay, obviously hasnt a clue as Firepay as been there all along and is only a third the size of NLR, check out the SBT site and others, its been there for over 2 years. Seemingly they are floating so what, this isnt new competition and they are a poor substitute for NLR.

When and if the markets recover Evil will be under big pressure. Anyway I have tried to speak to him this afternoon but couldnt get hold of him so left a message.

cheers GF.

Ask him how much he is still down on RGU , that'll cheer you up.

gf: Good idea to talk to Evil as you obviously know him personally. He announced a short on SEO and I suspect lost on it; he announced the next week that a firend had talked it out of him. Again he had got it wrong by a bit of a generalisation: lumped SEO with BPRG in terms of their valuation far outstripping their cashflow. No doubt he made a mint on BPRG and could claim to be right. However, he had not researched SEO to realise the immensely strong cash projections from their licensing arrangements. My view is that NLR is way below its fundamental value (cf. Evolution) because of the recent shorting programme. No doubt EK is sitting on a profit - it would be a great help if this was out of the way! Good luck!

Eric

Hi Eric, NLR as been given to him as a tip from someone else. He says their margins are going to be hit by the competion and floatation of Firepay, but lets facew it Firepay have been around since NLR listed and they have made no inroads on NLRs market share.

Hes just using scare tactics in a nervous market.

cheers GF.

Added again this morning. Looks like Bears closing their positions and moving over to the Bull side.

cheers GF.