Dow Jones 13326.22 +111.09 12:07 pm PDT, May 13, 2007 NASDAQ 2562.22 +28.48 For info, visit access.smallcapnetwork.com S & P 500 1505.85 +14.38 Change your subscription status here Russell 2000 829.54 +10.91 VOLUME 07 : ISSUE 48   Phinder's Bottom Line....err, 'Top' Line If there was any mystery left behind the Phinder Technologies (OTCBB: PHDT) opportunity, odds are the company's recent announcement will clear it up once and for all. In a nutshell, Phinder has announced a revenue estimate. And let me tell you, I think you're going to like what you hear.  Just to set the stage for why the press release may end up being a 'deal-maker' in the investment-decision sense of the word, a brief history may be in order.  We've been classifying Phinder as a telecom service provider since we first started covering them early last month. Their focus is providing the 'connection' between domestic carriers who have international calling needs....specifically, calls to the Latin American market. Simultaneously, they were looking to become a local carrier within that same Latin American market (which by default makes them a termination point for those international calls....also a money-maker).  The challenge has been the telecom enterprise's newness. There really was no history or track record to use as a benchmark, so there was really no effective way to determine what kind of revenue growth was likely....not unless Phinder told us. That, however, wasn't even all that easy for the company to do, as all the pieces of the puzzle were still being assembled.  Well, the curtain has been lifted, so to speak. This weekend, Phinder came out and said what kind of sales they realistically expect to drive in the near term. By the second quarter of this fiscal year (the fiscal year ends on March 31st, so we're now in their Q1), they're expecting to be doing $2.5 million is sales per month. Annualized, that translates into $30 million per year. A lot? Oh yeah! We knew the telecom business was expanding, but Phinder was on track to do only about $10 million last fiscal year. We don't have the final word on those numbers yet, but regardless of whether they meet or beat expectations of last year, they're looking to be pulling in about 2.5 times that total within the next six months. Wow!    Our Take  Now that we have some flesh around the framework, let's revisit our initial valuation model.  In our first look at the opportunity, we used a guess-timate of $30 million in annual sales to come up with a price target for PHDT. Honestly, we had no idea at the time the company's first projection would be the exact same as ours. Maybe we're just really good, or perhaps we're lucky. Either works for me.  With about 70 million shares issued and outstanding, the market cap is around $12.9 million when shares are at their current level of 18.5 cents. Now, think about this for a minute.....a company with a roughly $13 million market cap looking at $30 million in sales by the end of September? On a per-share basis, we're talking about 42 cents in annual revenue, though the stock is trading at 18.5 cents. The price/sales ratio works out to be about 0.44. The problem is - and here's the root of the opportunity - a price/sales ratio of 3.0 is about the norm. By that same model, PHDT shares 'should' be trading at $1.26 within the next six months.  Yet the question remains, can Phinder really do it? In our opinion, yes - Phinder can indeed realistically reach that benchmark within the next six months. We've independently studied the company and their growth opportunity, and we speak with the guys steering the ship on a pretty regular basis. Based on what they've already achieved in Latin and South America, we're believers. At the same time, we're equally excited about some of the other opportunities in the works the company hasn't even really shouted about yet. And truthfully, based on all we know, we think an annual run rate of $30 million is just the tip of the iceberg. Last week's Argentina and Uruguay announcement was a great first milestone, but they've got many more licenses to do business in other Latin/South American markets, thanks to their union with Italba. Beyond that, the company is opening doors in Asia and Europe as well. We agree with CEO Lex van Arem's assessment of the $30 million forecast....that it's 'conservative'. Don't forget -the company recently acquired the financial capacity to do up to $120 million per year, and don't even get me started on the wide margins here. So needless to say, we're still completely comfortable with our original target of $1.25. In fact, with the stock currently trading below where we saw it when we first started looking at PHDT, the bargain appears to be even better.  The bottom line is once again quite simple....you can own a stock at incredibly low levels before you think the 'on' switch has been flipped, or you can chase a stock with everyone else after the potential becomes crystal clear. As always the choice is yours, but you know where I stand - I see the sweet-spot for speculation as being right here, right now.   Phinder Announces Revenue Projection of $2.5 million Per Month  Miami, May 11, 2007 - Zupintra Communications, Inc. a wholly owned subsidiary of Phinder Technologies Inc.(OTCBB: PHDT) announces anticipated revenues of $2.5 million per month by the second quarter of this fiscal year.  Further to our May 4, 2007 press release, Zupintra is pleased to announce that it is in the position to start routing traffic through its' Latin American network and has been in discussions with a number of telecommunication companies over the past few weeks.  The company anticipates generating over $2,500,000 a month in wholesale telecommunications revenues by the second quarter of this fiscal year. This is a direct result of its' joint venture with Italba Corporation and Zupintra Panama S.A.  "We feel this projection is very conservative based on the level of current activity", stated John Alexander (Lex) van Arem, CEO of Phinder Technologies Inc. "The initial construction phase of our plan is nearing completion and revenue has already begun".  Phinder Technologies' core business runs through its wholly owned subsidiary, Zupintra Communications Inc. Zupintra is a facilities based retailer and wholesaler of international voice traffic within the carrier to carrier network. As a wholesale VoIP provider, Zupintra Communications Inc. holds both origination and termination contracts with PTT's and next generation carriers.  In compliance with the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, PHDT notes that statements contained in this announcement that are not historical facts may be forward - looking statements that are subject to a variety of risks and uncertainties. Accordingly, PHDT wishes to caution readers of this announcement that its future actual results may differ materially from those that any forward - looking statements may imply. There is no assurance the above - described events will be completed. There can be no assurance of the ability of the company to achieve sales goals, obtain contracts or financing, consummate acquisitions or achieve profitability in the future. The above and additional factors are discussed in detail in the company's filings with the U.S. Securities and Exchange Commission. These may be viewed at www.sec.gov and many other Web sites without charge.    We Value Your Feedback   Got comments, questions or suggestions? Send 'em on over: Email the Editor If you wish to send a written request or inquiry, please send it to our physical address: TGR Group, LLC 4653 Carmel Mtn Rd Suite 308 #402 San Diego, CA 92130 Stockgroup's Earnings Call on Monday Don't forget, everyone's invited to listen in on Stockgroup's (OTCBB: SWEB) Q1 conference call at 4:05 PM EST on Monday, May 14th. They'll actually announce results about an hour before that. Still, we know from the Q4 call that there's a considerable amount of important information you can only get by participating in the call.  To join the call, dial 1-866-400-2280 a few minutes before the start time. If you're more of a web-based investor, you can join the online webcast following the instructions available at the company's website, stockgroup.com. Windows Media Player is required to access the online version.  For more, click here.    Titan Completes Purchase of Ready Mobile Back in February, we learned how a Titan Global (OTCBB: TTGL) acquisition was expected to add a few million to Titan's top line. Well, it's now a done deal.  In 2006, the Ready Mobile enterprise did $9 million in sales. Since then, the annual run rate has been upped to $12 million. Will that really impact Titan's communication division? Try this on for size....Titan's communications division did $89.3 million last year, and is expected to do between $120 and $140 million this year. So, we're looking at about a 10% improvement thanks to Ready Mobile.  The neat part about this union is what each side brings to the table - Ready Mobile is great at attracting subscribers, while Titan has an enormous distribution network. The two talents combined foster a win/win scenario.  For more on the purchase, click here.  In the meantime, Titan seems to be back in the hunt  It's true - in the blink of an eye, Titan's stock is on the rise again, and back into the trading range it got pretty comfortable with during the first four months of the year.  The move pushes TTGL back above a key support line....the line that didn't act as support when we fell back to 95 cents. Given the choice, I'd rather not have made a side trip like that, but I think this is an encouraging sign - especially when there's some volume behind effort.  I see $1.40 as the next big milestone. Though we've actually traded as high as $1.49 within the last two months, it was the $1.40 area that seemed to constantly cap each surge since January. If we get above that line, I feel this stock's burden may ease a bit.  The catalyst? We covered it in Wednesday's newsletter....the company plans on buying back up to 4 million shares. 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