LD Micro Conference

Premier Exhibitions (PRXI): One of the fastest growing entertainment companies in the world. Big gross margins, profitable, and trading below real intrinsic value.

Rick's Cabaret (RICK): Who knew that gentlemen's clubs could be so profitable both in good times and bad? CEO Eric Langan is the best / owner operator in the game.

Somanetics (SMTS): A profitable medical equipment company that has $62 million in cash, no debt, and 90% gross margins. It's real cheap too.

Aeroquest (AQL.v): Our #1 selection for 2008. Provides airborne geophysical surveys for mining and oil companies using its proprietary technology called AeroTEM. The company has more business than it knows what to do with. Insiders own close to 50% and the company has been very profitable while increasing its infrastructure.

SpaceDev (SPDV): Makes the components and systems that go up into the cosmos. Has signed sticky contracts with the big defense companies, launches micro-satellites into orbit, and is benefiting from the nascent commercial space travel industry.

Global Med (GLOB): Through subsidiary Wyndgate Technologies, the company develops information management software that tracks blood donations and manages information for blood banks, transfusion centers, hospitals, clinics, and other health care facilities. The company has made several large announcements in the past couple of months that should substantially increase both top line and profits in the coming year and beyond.

Communicate.com (CMNN): The most undervalued name in the entire Internet space. The domain names it owns are worth almost as much as the entire market cap of the company.

American Medical Alert (AMAC): A fast growing, very profitable health safety and monitoring company. Signed a game-changing deal with Walgreens last year and is a direct beneficiary of the aging baby-boomer population.

Berliner (BERL): Did $5.4 million in net income last quarter with no one time gains and is consistently profitable. It is all about wireless infrastructure and could be one of the most undervalued names on the OTC. Market cap is only $25 million.

Xenonics (XNN): Makes the one product every U.S. soldier should have in their backpack. The "NightHunter" is a series of high-intensity, portable flashlights that illuminate dark areas from almost a mile away. Their "SuperVision" device is night vision at its finest.

Grill Concepts (GRIL): My favorite place to dine. Now operates 29 restaurants across the country doing brisk business. Began and based in Los Angeles

AvantAir (AAIR): Commercial travel nowadays is almost as bad as getting your teeth pulled without any anesthetic. Avant sells affordable fractional ownerships in private planes so that you do not have to spend the night in O'Hare because your flight got canceled. It is generating monster business while the aviation industry is in shambles.

OPTi (OPTI): An intellectual property company that has already settled with Intel (INTC) and nVidia (NVDA). Apple (AAPL) and AMD are next. Take out cash, and you're buying $100-$200 million in potential lawsuit settlements for $17 million (1-on-1's only).

ZAGG (ZAGG): Makes a unique product called "InvisibleShield" that protects your cell phone better than any hard cover case on the market. Operationally profitable, expanding into big retailers, and has a cult-like following with Apple iPhone users.

Tix Corporation (TiXC): Tix Corporation has made a massive transformation since we first wrote on it two year ago. The company offers ticketing services, event merchandising and concert and theatrical productions. It currently operates five excellent locations in Las Vegas offering up big discounts for same-day shows, concerts, attractions and sporting events. It also offers discount golf and dining through its sales locations in Las Vegas. The company sells premium tickets to concerts, theater and sporting events throughout the United States.

Collectors Universe (CLCT): The leader in grading and authentication services for trading cards, collectibles, stamps, and coins. Diamonds and jewelry are next.

8x8 (EGHT): The dark horse in the VoIP race. Over 11,000 businesses now use their software, services, and equipment. Huge IP portfolio coupled with profitability is not a bad combo. Once Vonage dies, 8x8 will become the leader.

ProElite (PELE): Bringing MMA (Mixed Martial Arts) to primetime. Just signed a deal with CBS to showcase a bout on May 31st. PELE recently had a fight in San Jose, California (Cung Le versus Frank Shamrock) that was a completely sold out event. I know because I was there.

BSQUARE (BSQR): The company is hip to intelligent computing devices (ICDs) and smart devices, including Internet appliances, handheld computers, TV set-top boxes, and gaming consoles. With BSQUARE's engineering and development services and software, equipment makers can integrate Microsoft's Windows operating systems into their products. With $1.50 in cash and .27 cents EPS in fiscal year 2007, the firm is firing on all cylinders.

Imagenetix (IAGX): Makes a topical cream called Celadrin (treats body pain) that is sold in some of the nation's largest retailers under the brand "Inflame Away". They have done multiple clinical studies over the years on efficacy. Try some at the event.

Smart Online (SOLN): The firm is the "working man's" leader in SaaS (Software-as-a-Service). Whether it is bookkeeping, sales, human resource management, shared group calendar, billing, CRM, or keeping all your employees' schedules on tab, Smart does it at the lowest possible price for all small companies.

4Kids Entertainment (KDE): The company behind Pokemon and Yu-Gi-Oh in North America is brewing another big concept right now called Chaotic. 4Kids produces animated television shows and films and also licenses merchandise. If you have a child under the age of 13 that watches Saturday morning cartoons, then look no further. Take out cash and you are buying the company for practically nothing.

LiveDeal (LIVE): Another deep value Internet selection. The company is a very profitable online classified and yellow pages provider. Some 16 million businesses are listed through its yp.com and livedeal.com web sites. Take out cash and the value of the domain names and you are buying LIVE for practically nothing at current prices.

Smart Energy (SMGY): The company has created a patented product called the "Battery Brain", whose sole focus is to ensure that the car battery lives and also prevents vehicle theft. Just last week, they signed a big contract with OnGuard. You have to see what else it can do to learn about its true potential.

International Stem Cell (ISCO): Creating clinical and research products for the treatment of diabetes, liver disease and retinal disease using its stem cells. Note: the company does not use human embryos.

Hythiam (HYTM): The company's PROMETA Treatment Protocol utilizes a combination of medication, nutritional supplements, and counseling to treat drug and alcohol addiction. We have spoken to many people who have done the treatment, and the results are captivating.

WPT Enterprises (WPTE): Shuffle up and deal! The World Poker Tour is one of the most valuable brands in the gaming industry. Its shows have a huge following on cable, and the stock is trading at cash.

Telanetix (TNXI): Created a product that revolutionizes video conferencing at a fraction of the cost. No words can describes how "real" the entire experience was. You need to see it to believe it. CEO Tom Szabo will be the funniest, tallest, and kindest person at the conference.

Destiny Media (DSNY): The company develops and markets digital media management software, and is being actively used by the largest music companies in the world. All the big labels are using their MPE program to digitally and securely distribute songs to radio stations nationwide, resulting in a huge cost savings. In the U.S., they have more than 95% of the market.

Newtek (NEWT): Trading under cash with three profitable businesses (Electronic Payment Processing, Web Hosting, and Small Business Finance). The sum of the parts is worth more than its current share price in our opinion.

PhotoMedex (PHMD): The company manufactures and markets skin, hair, and wound care products under the GraftCyte brand. It also develops lasers and fiber-optic equipment for dermatological and surgical applications. Its FDA-approved XTRAC excimer laser system is used for the treatment of psoriasis, a chronic inflammatory skin disease, as well as other skin disorders such as atopic dermatitis. It is the only psoriasis treatment on the market that is fully reimbursed by Medicare and 90% of private payers.

Card Activation Tech (CDVT): Card is by far and away the biggest risk / reward story of the entire conference. Management believes that it has the patent on the process of activating gift cards. So far, it has settled with McDonald's and retailers are shivering in their pants after Barnes and Noble as well as Aeropostale tried to invalidate the patent but lost. Court cases are coming up in the summer against the titans of industry.

Aspen Bio (APPY): Has created two first-generation blood-based human diagnostic tests designed to rapidly help screen or rule out appendicitis in patients complaining of abdominal pain. It is currently in the process of getting FDA 510(k) clearance for its initial screening technology, AppyScore, which in late 2007 demonstrated 98% sensitivity in a 471 patient multi-hospital study.

Atrinsic (NWMO): The company distributes digital entertainment (music, games, sports, shopping, and dating services) to mobile phones throughout the U.S. It operates four brands: Altnet (music downloads), Bid4Prizes (auction services), GatorArcade (gaming), and iMatchup (online dating). They acquired the marketing firm Traffix, which LD covered and recommended.

DAC Technologies (DAAT): The company makes gun cleaning kits, gun locks, trigger locks, security safes, specialty safes, personal protection devices, and items for the health care industry. It has been profitable for the past five years and is trading below book.

Dale Jarrett Racing (DJRT): For the ultimate thrill ride, you don't go to an amusement park. Dale allows ordinary "Joes" to ride in a real stock car at the racetrack. Packages range from riding three laps in the passenger seat with a professional driver to 60 laps of actual driving at speeds of up to 180 mph (after instruction). Events are held at racetracks around the country including Talladega and Atlanta Motor Speedway.

Provectus (PVCT): Our #1 selection from four years ago, it is in the process of beating cancer. The company designs pharmaceuticals for the treatment of cancer and various skin problems. Its focus is on melanoma, breast and liver cancers, and it is currently in phase two for PV-10, which treats skin cancer. PH-10 is another phase two product that treats psoriasis.

Affinity Media (AFMI): Our favorite discovery so far this year, and one that everyone should see present. The company has a near monopoly on "in-room" items for sale, and that is because the world's largest hotels have already partnered up to sell their wares. What started with beds has now expanded to sheets, pillows, candles, bath linens and towels, blankets, clocks, artistic works, bath amenities (hooks, rods, robes, duel-head shower, shampoo), tea, chocolates, and even tissue dispensers. Growing and profitable, we are still in early stages.

Mandalay Media (MNDL): One of the few stocks that is actually up this year. Based out of Los Angeles, Mandalay Media recently acquired Twistbox Entertainment, which publishes mobile content to over one hundred operators in 40 countries. They are actively pursuing other acquisitions in the space.

Logic Vision (LGVN): A remarkable story that does not get the attention it deserves. LogicVision's proprietary designs (IP) are licensed to clients such as NEC, Broadcom, and Intel for test logic and memory chips, as well as chip interconnections. The technology allows such tests to be run even after the chips are incorporated into larger electronics systems. If you take out cash, you are buying the entire company for $8 million dollars. We believe the IP is worth considerably more as Logic gets to breakeven and ultimately becomes profitable.

ProLink (PLKH): Provides global positioning system (GPS)-based systems embedded in golf carts that enable golfers to get a reading on the distance of their ball to the hole, the positioning of hazards, and keep score -- in essence, an electronic caddie. One of the best feelings in the world is blasting a big drive down the center and driving up to it and checking how far the ball went. Unfortunately for most golfers, this feeling rarely takes place.

Document Capture (DCMT): The Silicon Valley firm makes contact image sensor (CIS) modules used in such office equipment as fax machines and PC scanners. However, the jewel is the company's line of portable image scanners, which are sold under the TravelScan and DocketPORT brand names. Let's not forget about the valuable patents they hold in scanning technology.

Alliance HealthCard (ALHC): Alliance HealthCard is an ally for people without health insurance. The company provides health care savings programs, serving individuals and families with limited health benefits or no insurance. Its membership programs offer access to hospitals, doctors, dentists, mental health services, pharmacies, physical therapy, and outpatient clinics at discounted rates for an annual fee. No one follows this extremely profitable company even with its recent announcements. This should change after the event.

Avatech Solutions (AVSO): The company resells and services third-party CAD/CAM software. One of the world's largest integrators of Autodesk software, it generates an overwhelming majority of its revenues from AutoCAD and other Autodesk packages. However, even though what it does may be dull, management has done an excellent job of expanding service revenues and making the firm generate lots of income.

OIS (OISI): The firm makes digital imaging products for use in ophthalmology. Ophthalmic Imaging Systems also sells image archiving, medical records management, and practice management software. The company is trading at cash and is profitable.

Pure Bioscience (PURE): The company makes and markets a patented lower-toxicity disinfectant (SDC) approved for use in homes, restaurants, and medical facilities, among other commercial and industrial locations. The hard surface disinfectant kills MRSA (Methicillin Resistant Staphylococcus Aureus). Pure kills more virulent strains such as Campylobacter jejuni (food poisoning) in two minutes. On the viral side, the human corona virus, SARS surrogate, it takes three minutes. Revolutionary would be an understatement. The applications are infinite.

Network-1 (NSSI): The small firm has a patent on PoE (Power Over Ethernet). PoE technology allows for the delivery of power over Ethernet cables rather than by separate power cords (traditional AC outlets). As a result, a variety of network devices, including IP telephones, wireless LAN Access Points, web-based network security cameras, data collection terminals and other network devices, are able to receive power over existing data cables. It settled with D-Link, which is one of the worst IP infringers in the game (almost never pays) and is currently in the process of suing the entire data-networking segment (Cisco included). This is a big patent.

ADDvantage Tech (AEY): My cable darling did .64 in earnings last year and the company is trading at $3.60. I'll let everyone else research the story and see if you reach the same conclusion I did. The stock is undervalued.

Organic To Go (OTGO): Based in Seattle, Organic To Go is the nation's first fast casual cafe chain to be certified as an organic retailer with locations in Seattle, Los Angeles, and San Diego. Organic To Go's delicious organic food is now available in more than 160 locations - including 26 cafes, more than 120 wholesale locations, 14 universities and 11 locations at Los Angeles International Airport. The company received a ten million dollar investment from Nestle recently. Management is impressive and has the capabilities of building Organic into a very profitable enterprise in the coming years.

CombiMatrix (CBMX): The company develops technology to make customizable microarrays for biotech and pharmaceutical firms and other researchers. Based off a recent settlement win and cash, you are paying just a few dollars for a stock that is in the early stages of growing its diagnostic business exponentially. Something AFFX and Illumina are having a hard time doing. We have something very special here.

Broadcast International (BCST): Another game-changing company. BI has a proprietary video compression technology known as CodecSys. CodecSys is a breakthrough, artificial intelligence-based piece of technology that cuts video bandwidth needs. IBM is the first big company to use it, and the windfall to BI is significant.

CoActive (CMKG): Another undervalued gem. Through various subsidiaries, the company provides integrated marketing services primarily for manufacturers of packaged goods and consumer product manufacturers such as Coca-Cola, Fisher Price, and Safeway. The group's services include strategic consulting, direct marketing, sales promotion (sampling and sweepstakes), event marketing, multicultural marketing, and interactive services. $2.80 stock did .11 cents last quarter. More good news to come!

Heska (HSKA): The company makes diagnostic products, vaccines, and pharmaceuticals for domestic animals. Products on the market and in development include diagnostics and treatments for allergies, arthritis, cancer, fleas, heartworms, skin problems, thyroid problems, and viral infections. We love the firm and have been tracking them for five years now.

INX (INXI): The company primarily offers Cisco-based IT infrastructure services and related hardware and software to customers in the educational, governmental, and private sectors. CEO Jim Long acquires companies better than anyone I've seen, and has done a great job of selling more and more wares to existing customers. INX is a very profitable firm and in great position to grow even bigger.

Advaxis (ADXS): The company is developing therapeutic cancer vaccines that enhance the immune system's cancer-fighting abilities through its proprietary Lm based system, which utilizes multiple simultaneous immunological mechanisms to fight cancer safely.

Altigen (ATGN): The company designs and manufactures phone systems that use traditional networks (think Ma Bell) and increasingly the Internet to make phone calls. With over 10,000 customers and 15,000 of their systems currently in use, they have earned the trust and respect of many businesses. Wall Street should also respect them. The company trades near cash and the new CEO, Jerry Fleming, has done a great job in focusing on international partnerships.

Goldspring (GSPG): A North American precious metals mining company with extensive, contiguous property in the Comstock Lode District and a fully permitted gold and silver mine. In the Company's relatively short history, it secured permits, built an infrastructure and brought the Comstock Lode project into production. The recent drill results are very promising.

BLUE Holdings (BLUE): Blue Holdings, Inc., directly and through its wholly owned subsidiaries, Antik Denim, LLC and Taverniti So Jeans, LLC, designs, develops, manufactures, markets, distributes and sells high-end fashion jeans, apparel, and accessories under the "Antik Denim," "Yanuk," "Taverniti So Jeans," and "Faith" brands both in the United States and internationally. The new CEO, Glenn Palmer, is turning things around, cutting costs, and hiring the right people. So far, he has done a terrific job in fixing this ship and growing the brands.

Linc Energy (LNC.ax): Not only is Linc the only company presenting at the conference from a foreign exchange, it is also the only pure-play in energy. With oil at $117, Linc is focused on "Underground Coal Gasification" clean coal technology and Coal to Liquids. The company now has the ability of taking huge coal deposits and turning it into ultra clean fuel.