Wednesday, July 30, 2008

The Early Bird Catches the Worm– FORTERRA ENVIRONMENTAL CORP

Times are tough, but as the saying goes, when the going gets tough, the tough gets … tougher … or something like that. With Fannie Mae and Freddie Mac joining the socialist club of America, getting bailed out by the wonderful tax payers of the USA (courtesy of a backroom, undemocratic process - thanks!) well, makes you think: "how can it get worse?" We are in a time when conventional investment strategies such as the infamous buy and hold are not effective. With such insane volatility in the market, it’s really all about the trade. The Inspector’s take is to trade around a long-term position. Do not pass up on all the ample opportunity of crazy ups and downs.


Speaking of volatility, there is a personal favorite stock that the Inspector has been reticent to mention on the blog because it is highly risky. Considering the current environment though, what isn’t? So, without further a due, here is a penny stock worth its weight in worms: FORTERRA ENVIRONMENTAL CORP.


Forterra is a producer and marketer of organic enrichment products, (i.e. fertilizer) specifically for use in the commercial turf, horticulture and specialty agriculture markets. It trades on the Toronto Venture Exchange as FTE. This is a penny stock so the usual caution is advised.


Check out Forterra's website


Forterra makes environment-friendly fertilizer from worm castings. Their biggest cost is worms! It has recently signed many deals for its products and its prospects for growth (no pun intended) are huge. Forterra has a good product that has a great demand: they are in a great sector. Remember, this is a very, very small company, so don’t expect a Potash type world domination story, but it is very lucrative. In fact, what makes this stock attractive is the very fact that it is tiny: nobody knows about it! This stock is very thinly covered. In fact, Forterra just announced that is has retained a Company for Investor and Corporate Relations to improve communications with investor community.


Every cent this stock moves is a huge percentage gain or loss. If you want to get in on this worm story, pick the down days. Do not buy all at once! Again, the Inspector cannot stress this enough – this is a risky investment, but for those with a bit of spare money to spend in their portfolio and a need to speculate a bit, this could be the right pick for you.


Check out Forterra on Google Finance


DISCLOSURE: I own shares of FORTERRA ENVIRONMENTAL CORP. Always do your own research. If in doubt, don’t! For serious investors only!


Remember, tell everybody you know about Inspector Stock .com.






Worms!

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