https://youtu.be/yTdvLbcbTXs
Today we are talking about two OTC Stock rockets, ILUS International, ticker ILUS, and Fernhill Corporation, ticker FERN. In this video I’ll give you a preliminary comparison of these two stocks, including stock chart review. Stick around to the end of the video, and I’ll share my opinion regarding which of these two stocks could make you more money in the long run.
I’ll give each stock a score from 1 to 10 for each category, and I will total the scores at the end to reveal a winner! Here the lower the score, the scarier the stock is for a long-term or swing trader.
But remember that OTC stocks are highly risky, so I only invest money in OTC’s that I can afford to lose. High risk versus high potential reward. And remember, this is not financial advice, and for entertainment only.
Hi investing friends, this is Lynn, and welcome back!
So Let’s go and review today’s hot stock!
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Just to give you a quick overview on the business focus of these two stocks:
ILUS’ focus is primarily on innovative emergency services, life safety and related technologies from emergency response vehicles, electric utility vehicles to disruptive firefighting equipment and related software solutions. ILUS has already made three acquisitions of other businesses in 2021, with two more signed letters of intent for more purchases!
ILUS’ E-Raptor Utility Vehicles is a division that produces environmentally friendly utility vehicles, including the world’s first electric 6-wheel utility vehicle. The FireBug division includes UK firefighting equipment manufacturers, using high tech disruptive water mist technology offering increased safety with reduced water consumption. ILUS’ Vehicle Converters, or TVC division fabricates and converts specialized vehicles. ILUS’ BCD Fire Division is a leading systems integrator and installer of Fire, Access and Security systems across the United Arab Emirates, or UAE
FERN is a technology holding company that builds, acquires and incubates businesses in the blockchain, mobile applications, software, Fintech and alternative energy industries. They have a lot going on! The Company plans to further develop and expand upon alternative energy, fuel cell technology, and sports betting applications.
FERN is quite progressive, and currently leases a virtual office for about $200 per year. Instead of fancy brick and motor offices, the company is clearly investing in technology and an impressive new website.
Let’s talk about acquisitions. Buying other successful business is a quick way for a company to grow and provide more value to stockholders.
Per this article, ILUS updated on its 2021 performance which includes the signing of precontract agreements for 3 US acquisitions which will add a further $12 million in annual revenue to the company. The US acquisitions, when completed, will mean that the company will have acquired 6 companies in 2021 and ILUS confirmed that it has multiple acquisitions in the pipeline, as it looks to close out 2021 strongly and carry a great deal of momentum into the new year.
On July 27th, FERN acquired PerfectMiner, a Crypto Mining Operating and Monitoring Platform. This is the only acquisition that I could find for FERN in 2021.
When it comes to acquisitions, we’ll give FERN a grade of 1 with ILUS’ grade of 6.
Next, we will look at stock charts, if you haven’t yet, please give this video a thumbs up to let me know you’d like to see more videos like this one.
The steadier the growth of a stock, the less likely we’ll be knocked out of it, or lose all our money.
First, I’ll share one-year charts for ILUS and FERN through early October, followed by three-month charts showing recent price movements.
Here you can see the first pullback over the past year in ILUS.
ILUS had a high on February 2021 of .189 and a pullback for to a low of .06 on March 5th. Here you would have lost 316% of your gain in this pullback.
ILUS then mostly recovered to a high of .179 on 3/16, and began a long pullback to a low of .0399 on August 11th. Here you would have lost 448% of your former gain during this pullback. If you were still in the stock, the big runup began on 8/12 from .0443 to a high of .48 on September 28th, would have meant a 993% gain! This is before the most recent pullback in early October.
This updated ILUS 1-month, 4-hour chart shows the pullback from October 19th through the 25th. What’s really great is that ILUS did, at least temporarily break past the former high resistance level of 48 cents!
In looking at the one-year chart, FERN had a 275% pullback, from the stock’s former high, on May 13th that lasted for 13 days! There was another pullback on July 27th from a high of .026 that lasted for six days. This time, the low of .0095 made this one a 365% pullback. So, if you’re planning to buy and swing this stock, the best time to buy it is at the low end of a big pullback. Clearly if you are not careful about a good entry point, you could lose all your money.
In looking at the one-month, 4-hour chart through November 5th, you can see that FERN’s stock pullback ended on October 6th, and then bounced twice off of the .029 price point. This .029 is the current support level.
MarketWatch provides an excellent summary charts showing individual stock’s performance. ILUS reflects a year-to-date performance of 38,625% versus FERN’s 4,611%. ILUS’ one-month performance has seen an increase of 30% versus FERN’s 9%.
Here ILUS is the clear winner versus FERN for year-to-date stock performance and consistency. ILUS would has been the bigger profit winner. We’ll give ILUS a grade of 10 versus FERN’s grade of 4.
Let’s look at the two stocks’ SHORT REPORTS: The higher the percentage of short sellers in a stock, the riskier it is. On bad news short sellers can hit a stock hard sending it plunging down to a level where you could lose all your money.
But per this OTC short report, FERN you can see that the short sellers are really hitting this stock. It is extremely volatile! You can see here that the short percentage is increasing with recent percentages of volume shorted of 58% and 65%, which is extremely high!
For ILUS, their recent high for percentage of volume shorted was 54% with a current percentage of 40%. This is still a significant amount but less severe than the shorts in FERN’s stock.
When it comes to a winner in this lower-percent-shorted category, ILUS is again the winner. We’ll give ILUS a grade of 4 versus FERN’s grade of 2.
We all know movement in OTC stocks is often driven by news. Here you can see ILUS released 6 unique news updates over the past month, but here FERN released none!
This category gains ILUS a grade of 8, and FERN a grade of 0 for news releases within the recent 30-day period.
Hedge funds can have a big effect on an OTC stock, and they have the capacity for a deeper level of analysis, and insight than individual traders do. We like to see more hedge funds owning a stock, with a good amount of shares indicating a belief in the stock’s future direction.
ILUS has only one institutional holder with 162,000 shares owned. The other institution formerly in this stock had sold out their shares.
FERN didn’t have any hedge funds or institutional holders owning shares.
When it comes to Institutional/hedge fund owners ILUS wins with a score of 3 and Fern is awarded a score of 0.
Let’s look at the stocks’ security details comparison: We like to see a small market cap leaving for more growth, preferably under 100 Million, and outstanding shares under 2 Billion leaving room to uplist out of the OTC world, without a reverse stock split.
ILUS’ market cap is 575 million with shares outstanding of 1.2 Billion, with a share float of 342 Million. The company has 2 billion authorized shares which means potential further dilution.
FERN’s market cap is 71 million, with 1.9 billion shares outstanding, and a float of 1 billion. FERN has Authorized Shares of 3 billion which also means potential further dilution. FERN’s float of 1 billion shares also makes it much harder to move this stock.
Here ILUS wins again with a score of 5, due to the still large float for a company of this size, versus FERN’s score of 2.
Now that we’ve done an ILUS versus FERN shootout comparison, let’s tally up the results:
When it comes to acquisitions, we’ll give FERN a grade of 1 with ILUS’ grade of 6.
ILUS is clearly hard to beat in this area with their multiple acquisitions completed and still planned for this year.
Let’s look at the Percentage shorted: When it comes to a winner in this lower-percentage-shorted category, I gave ILUS a grade of 4 versus FERN’s grade of 2.
For stock chart performance and consistency, here ILUS was the clear winner. We’ll gave ILUS a grade of 10 versus FERN’s grade of 4.
For the most news released over the past month. This category gains ILUS a grade of 8, and FERN a grade of 0 for news releases within the recent 30-day period.
When it comes to the most Institutional/hedge fund owners ILUS wins with a score of 3 and Fern is awarded a score of 0.
For the optimal stock security details, here ILUS wins again with a score of 5 versus FERN’s score of 2.
Now which stock is the winner in this BEST OTC stock shootout?
The winner is ILUS with a score of 39 to FERN’s score of 9.
I always love hearing from you, so please let me know in the comments below, what your thoughts are about FERN versus ILUS, and about any other stocks that you are liking right now. Also, go here to review the all deep-dive videos in or CYBL, ILUS and FERN playlist, including our CYBL Versus FERN shootout video.