https://youtu.be/PtV3gitADpE
Today we are talking about a popular penny stock, DarkPulse, Inc, OTC Pink Ticker Symbol, DPLS. Yes, DarkPulse does have potential major catalysts that could have big impacts on their stock price in late 2021, or in 2022. And, I’ll share the details today, whether DPLS could be a big winner.
OTC stocks are highly volatile and risky, so today we are going to dive into the details of DPLS to determine if this would be a good bet to build a portfolio.
I did spend hours poring through articles and DPL’s financials, to decide of this one had the potential for a big run-up in price.
In the past I worked for years with Fortune 500 CFOs and financial consulting teams, to help companies determine where they were making money. Now I use this expertise to dig into HCMC’s details.
But this is not financial advice, and for entertainment only.
This is Lynn, and welcome back! So Let’s go and review today’s hot stock!
You can see on this Yahoo Profile that DPLS has a Market Cap of 551 Million, and a very large average daily trading volume of 100 Million shares. The beta of a negative 2.13 lets us know that DarkPulse is 2.13 times less volatile than the overall stock market.
DarkPulse, Inc. has been around for quite a while and was incorporated in 1989 as Klever Marketing, Inc (“Klever”). Its principal wholly-owned subsidiary, DarkPulse Technologies has two security platforms: Fiber and Ultra-High Sensitivity Sensors or UHSS.
DarkPulse offers a full suite of engineering, installation and security management solutions to industries and governments. Coupled with a patented BOTDA DarkPulse technology, DarkPulse provides its customers a stream of metrics for assessing the health and security of their infrastructures.
DarkPulse Technology is a distributed-fiber sensing system, based on dark-pulse Brillouin scattering, which reports in real-time on temperature, stress, strain corrosion and structural health of Critical Infrastructure, Key Resources including Bridges, Buildings, Roadways pipelines and mining installations.
Here are DarkPulse Technology’s Differentiators and advantages over existing technologies from their financial report:
| · | Real-time Reporting, with higher data acquisition speeds allowing for structural monitoring of dynamic systems | |
| A greater magnitude of precision and spatial resolution than other available systems | ||
| · | Lower power consumption than existing systems, allowing for off-grid installations | |
| · | They also offer a central station monitoring/cloud-based GUI |
DarkPulse claims that they advantages should enable them to open new market opportunities. They intend to leverage new applications to target clients that have been previously unable to make use of distributed fiber optic technology.
Now let’s talk about DarkPulse all-important financials. One of the biggest risks of OTC stocks, is their lack of financial stability. So, I did a deep dive into DPLS’ financial reports. If you are invested in DPLS, or considering an investment, you’ll find these details to be very valuable.
Here are the highlights. In looking at DPLS’ most recent quarterly report, as usual, they did not report any revenues, which is clearly a concern. But, in looking at their annual report financials, you can see that their Free Cash Flow has improved year-over-year, to a positive 3000 in the last quarter of 2020. This means that their liquid assets are increasing. Free Cash Flow is the most important measure of a company’s health. So the company’s efforts are beginning to show an improvement in their financial reporting.
DarkPulse’ catalysts are the potential to make acquisitions in order to grow the company’s value, and product strength. In June, a Seeking Alpha article stated Darkpulse’ intent to acquire drone based AI companies, Remote Intelligence and Wildlife Specialists. These companies would provide depth to DPLS’ offerings including underwater inspection services and 3D modeled mapping for industrial applications. TerraData is a big plus, providing unique services in countering the increasing public safety concerns related to bridges, culverts, dams, and similar infrastructure. TerraData’s ROV Inspection Services are needed more than ever as the United States struggles to review the conditions and deterioration of aging infrastructures. Specializing in underwater inspection through their unmanned vehicles, TerraData mitigates the safety concerns surrounding human divers.
TerraData will join DarkPulse’s growing list of world-class capabilities and the Company’s positioning as the leader in infrastructure sensing and monitoring in all domains, air, land, and sea.
Wildlife Specialties, LLC, is an ecological consulting firm that provides environmental consultation services to both the public and private sectors.
In a July 16th interview between The stock day Podcast host, Everett Jolly, and DPLS’ CEO, O’Leary, we learned about more potential acquisitions, likely coming soon. In the interview O’Leary described DPLS’ strategy as more like a software-as-a-service company. He said, “My interest is to find companies that are revenue producing, but also are capable of expanding our services offering. We don’t want to just be a one-type technology company, we want to have a broader portfolio of offerings.”
To me, O’Leary’s statements sound like DPLS is considering even more acquisitions.
If you own, or are trading this stock, you should be aware that there are a significant amount of short sellers in this stock. This July 22nd screen shot shows that the percentage of DPLS’ share volume shorted is 52%!
DPLS does have a very committed management team that each own a significant number of shares in this stock as you can see here on this slide. I can see why they haven’t had any share purchases or sales recorded over the last five years. Considering the management team are mainly foregoing compensation, they are very motivated to grow this company!
I always love hearing from you, so please let me know in the comments below, what your thoughts are about DPLS, or any other stocks that you are excited about right now.