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If It's Good Enough for Dolce&Gabbana? |
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What's the hottest, hippest, trendiest, most expensive casual clothing, jewelry, sunglasses, and accessories in the world?
There's a list of companies that could fit the bill, but one name that will come to the top of the heap is Dolce&Gabbana.
The name is synonymous with classic and trendy. Scarlett Johansson is one of their international spokespersons, and models, and Madonna is designing a line of sunglasses for D&G.
While I believe the price of the stuff they sell is insane, I'm far from their demographic.
The company was started by Italian Designers Domenico Dolce and Stefano Gabbana in Milan, Italy, and it is estimated the company currently delivers about $700 million in annual revenues.
More importantly, an endorsement for a new line from D&G can be life changing for a small start up designer line. Dolce&Gabbana introduces the world to new designers by carrying their merchandise at their flagship Milan Store.
So- guess what?- today's new idea is filling its first order for Dolce&Gabbana, and delivering to their Milan Store right now.
The market is riddled with giant success stories from True Religion (NASDAQ: TRLG) to Luluemon Athletica (NASDAQ: LULU) to Crocs (NASDAQ: CROX). These were all 2,000 plus % gainers if you bought at the right time.
Celebrities like David Bowie, Motley Crue, and members of the Red Hot Chili peppers are all wearing this liine. Why? Because of red hot and world famous Japanese Tatoo artist Horioshi Nakano- considered the Leonardo Da Vinci of the tatoo world.
Have I got your attention? Read on:
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This Year's Hottest Stock: Horiyoshi Wordwide (OTC BB: HHWW) |
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It was too hot, too early. Last January and into December I watched HHWW go absolutely ballistic. Starting at $.80, HHWW traded up to $3.25. and traded 17 million shares in one day.
This stock got some serious but brief momentum. The bars on this chart represent one week. If you were lucky enough to pick up some HHWW in December in the $.80 to $1 range, you could get out, and get out easily in a week or two at 3 to 4 times your money.
In fact- look at the volume bars. The stock approached 30 million shares of volume for two weeks in a row as it spiked up to the $3.25 level.
Some investors made a killing, others who bought at the top were scorched. I would never suggest picking this stock up if it were approaching $3 today.
The stock was far ahead of the company back at that time, and the market recognized it in short order. The stock sold off rather abruptly, and has been living in the $.20 to $.30 range for over two months. But, the move showed how this story can capture investor imagination.
HHWW designs and manufacturers casual clothing. The designs are all inspired by the most famous tatoo artist in the world- Yoshihito Nakano.
The collection has been featured in fashion publications such as the New York Times, Vogue, Harper's Bazaar, Marie Claire, Stylist Magazine, You Magazine, the International Herald Tribune, the LA Times, and Style.
Saks Fifth Avenue is carrying the brand, as are lesser known high end stores like Harvey Nichols, Maxfield, and Browns.
Getting their first order from Dolce&Gabbana to carry in their flag ship Milan store could be there ticket to massive sales increases as their products gain market acceptance and become viral in the pop culture generation.
Movie stars along with rock stars are starting to be seen wearing the line, and once the stars catch on, the public follows.
Names like Charlize Theron, Kate Hudson, Jessica Alba, Selma Hayek, Johnny Depp, Angelina Jolie and Brad Pitt, and by some of the biggest names in music like Gwen Stefani, Mick Jagger and The Black-Eyed Peas all have been seen wearing the line.
This stock was way ahead of itself when it went ballistic last January and traded over 50 million shares in one week above $3. However, it did tell us how much interest investors had in the story.
The company has since got their merchandise into about 13 stores in Europe, 15 stores in North America, and 3 more global and electronic stores.
There are a lot of investors who traded HHWW the first time around. You can be sure that same fan base is watching this one for a big rebound.
The fundamentals are now starting to catch up, and technically the stock is absurdly oversold- from $3.50 down to $.30.
I suspect a little no volume will go a long way with this stock on the first move up.
If you liked last week's idea which has so far yielded us about 25%, you have to love today's idea.
Last week's stock had no history. This week we now we're dealing with a story that can get red hot.
As I write today's edition, HHWW is showing signs of life for the first time in months, but looked at over the longer term the move in the stock is just a blip.
HHWW traded a little volume today and looks like it's staring a rebound phase.
I believe anything under $.40- preferably closer to $.35, puts you in a position to make money over the next week or two.
If the stock can just recoup 25% of the value it lost from the high print, it will find its way to $.80 and give you a 130% return on investment. Here's my thoughts on this idea:
Invest up to $.40 with a relatively short term price target of $.80. Set you SSL at $.25- a very reasonable stop loss level if it goes against us for some unforeseen reason.
The stock has just blipped up on increasing volume today for the first time in months. If lightening can strike twice, who knows where HHWW could go.
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