The Best Cloud Penny Stock
One of my jobs as an amateur futurist as I see it is to establish and discover high-growth startups with a lot of investment potential. Today I’m going to talk about why I’m bullish on a small startup in San Antonio called CloudCommerce OTC: $CLWD.
It is one of the best 10 day performers in terms of growth stocks in ultra penny stocks (less than one cent). As of today, its 5-day performance is up 258% at a current price of $0.0068. So what’s going on here? Why would I be talking about a company whose stock is worth less than one cent?
I discovered this stock when they put out their last guidance. Few startups will be profitable in the year of the pandemic. This company appears to live at the intersection of advertising and analytics, and as a Cloud company that’s promising. Their PR has improved and their stock has broken out, so this is a long-term play where we are buying extremely early.
The company began operating in Texas in 1999, and incorporated in Nevada in 2002 as Warp 9. Fast forward to 2020 and this company is putting San Antonio on the map. They operate in a $129 Billion Market and use advanced data science to deliver a digital advertising solution. Technology companies as penny stocks significantly out-perform other sectors due to their possible trajectory.
The Cloud Penny Stock of 2020
There’s slightly more volume than usual, but not enough that indicates they have been discovered by Robinhood traders or anyone much yet. They expect 2020’s full year revenue to exceed $14 million and net operating income to exceed $1 million. They have between 20 and 40 employees, if you check Yahoo and then LinkedIn.
I respect Deloitte and this company to me is boosted by one silly award. CloudCommerce Ranked Number 235th Fastest Growing Company in North America on Deloitte’s 2019 Technology Fast 500™. So while they have been around a while it seems that the 2020s is their time to break out and succeed.
Their flagship product is called SWARM. It analyzes audience data to help businesses find who to talk to, what to say to them, and how to market to them. So it’s one of those quasi-AI companies that could get legit. I don’t know much about their leadership, but their PR is above average for a company this size.
They claim to have clients ranging from Fortune 100 companies, to five diamond destination resorts, to leading brands. In the retail and hospitality recovery after the Great Shutdown of 2020, you have to see increased business opportunities here.
CloudCommerce is also an exceptional name for a technology startup. It’s easy to remember and buffs itself with the Cloud movement. However what they do is this: they combine their analytics by applying advanced data science, behavioral science, artificial intelligence. That intersection of advertising, analytics and AI is interesting to me. So they provide market research techniques to discover, develop and create custom audiences for highly targeted digital marketing campaigns that will enable many businesses to revive their business in the 2020s.
As a relatively new and modest retail investor, I’ve strongly recognized the importance of getting in early. This stock is pretty much newly minted at this price of $0.0068. A Starbucks Venti is $2.45. This means you could get 360 shares instead of drinking that coffee. It’s a relatively low-risk situation to drop your hat into for a few months or years. It’s kind of a passive income investment.
As part of the COVID-19 pandemic, the company received a $780,680 federally backed small business loan from Cache Valley Bank on May 5 as part of the Paycheck Protection Program. This is an American technology story at a time when online commerce is booming. I’m not a fan of your typical PR but let’s hear what their leader had to say recently:
“As was the case with most business leaders, our management team was concerned about the economic headwinds caused by the COVID-19 pandemic,” said Andrew Van Noy, CEO of CloudCommerce. “However, I am pleased to announce that our recent sales efforts have resulted in newfound revenue growth for CloudCommerce. As the economy begins to re-open, we are also seeing existing clients ramp up their digital advertising budgets. The strong trend to digital media and away from traditional media appears to be accelerating – helped by the pandemic. We look forward to helping more businesses leverage digital advertising to be more competitive and successful in a post-pandemic world.”
You can check out their website here. As an OTC they don’t have speculation on Stocktwits yet. Their history of News can be found here. So what is my price target? I think this can reach $0.04 in 2020. Although with penny stocks, after that point it could experience a lot of volatility on the upside. The era of pump-and-dump retail investors is incredibly bizarre. But this company has a long-term trajectory like $MARK that is worth $2.33 today mostly based on Covid-19 related products.
Let me know on Twitter if this stock makes sense to you. Just follow the cashtag $CLWD and you should see me around. I have bought a modest amount of shares in this company. The Company also revealed that in spite of the fact that 2020 is a major year for elections, it does not have any political clients. All revenue in 2020 is expected to come from non-political businesses and organizations.
With the remote work movement, a startup in San Antonio has as much chance of being the next AI startup as a company in Silicon Valley or Toronto. In the era of The Trade Desk and with more regulation going to hit Facebook, Google and Amazon, likely in 2020 or 2021, smaller digital advertising solutions have an opportunity. Can a small company like this make significant headway? With a history of aggressive acquisitions, you never know.
At the Last Futurist we are spending some of our weekly time to research and discover promising penny stocks and hone our craft as independent investors as we evolve our views on futurism, the economy and the future of technology, startups and their industries.