$CEOS Benefiting From VET Anguish & a Congressional RunWith its CEO set to run for Congress, CeCors, Inc. (OTC: CEOS) may be poised to soar over the coming months due to the anticipated attention it is positioned to gain from major media outlets. This is mainly the result of its CEO’s – Kate Monroe – popularity as she has been previously featured with several well-renowned outlets. Given the potential the company may gain from Monroe’s endeavor, it may be well-positioned to achieve its goal of adding 1 million subscribers this year which makes CEOS stock a prime candidate to run over the coming months.
CEOS Fundamentals
In 2023, the company acquired VetComm Corp. and is now in the business of supplying vets with crucial services. CEOS currently charges around $97 per month, or $997 annually, for its membership and expects to have 1 million subscribers by the end of the year. This means that the company may be on track to realize $997 million in annual revenues this year which is a substantial amount for an OTC company. At first, this may seem like an impossible task for a small company like CEOS, however, the company’s services are in high demand.
Less than a third of veterans file their disability claims while half of them are not aware of the VA benefits. Here comes CEOS whose main service is centered around providing vets with services that assist them in the filing process and helping them understand what their benefits are. While there are several companies that offer the same services, CEOS has a major advantage which is its pricing.
There are several companies operating in the same field as CEOS but they often cost thousands for assistance on a single filing. For example, Trajector Medical – one of the leading companies in this field – charges its clients upward of $2 thousand for a disability claim. This could be worth pentuple what veterans get from their claims which is not ideal for veterans.
In addition, this field is full of fraud as the VA and the CFPB jointly published a cautionary post in February reporting that “unscrupulous actors have misled some veterans into paying hundreds of thousands of dollars”. In this way, CEOS’ transparent fees offer veterans a non-exorbitant alternative which is why if the company is more recognized among veterans, it may see an influx of new subscribers.
That said, the company is about to witness a significant surge in coverage which could help it exceed its estimates. So far, Monroe has caught the attention of major outlets including the New York Post, Yahoo News, Access Wire, and Fox News. For reference, the latter of the bunch averages around 1.1 million views daily.
As the campaign continues, more media outlets may cover Monroe which would lead to an increase in CEOS’ visibility. The reason behind this is that the company may be a great campaigning focal point thanks to its impressive work with veterans. If Monroe utilizes the company in her campaign, it may acquire veteran and independent votes which could mean that the company may be at the forefront of her campaign. In this way, CEOS stock may increase in value over the coming months which could make it a solid buy at current levels.
CEOS Financials
According to CEOS’ Q1 2023 report, the company’s assets decreased QoQ from $574 thousand to $569 thousand, mainly due to its cash balance decreasing from $6.9 thousand to $3.4 thousand. Liabilities on the other hand increased from $1.3 million to $1.4 million due to debt increasing from $696 thousand to $767 thousand.
When it comes to revenue the company realized $5.7 thousand which resulted in a gross profit of $4.6 thousand. That said, operating expenses skyrocketed YoY from $80 thousand to $115 thousand which was due to general administrative expenses increasing by $31.8 thousand as well as marketing expenses increasing by $6.6 thousand. Having said that, interest expenses decreased from $34 thousand to $6 thousand which is why the company’s net loss only increased YoY from $115.8 thousand to $115.9 thousand.
Technical Analysis
CEOS stock is in a neutral trend with the stock trading in a sideways channel between $.0309 and $0.043. Looking at the indicators, the stock is trading below the 200, 50, and 21 MAs which is a bearish indication. Meanwhile, the RSI is neutral at 42 and the MACD is curling bullishly.
As for the fundamentals, CEOS may be poised to run due to the increased coverage it may gain thanks to Monroe’s Congressional campaign. Given that Monroe could make the company a focal point of her campaign, the company may be on the right track to reach its 1 million subscriber goal this year. Given the stock’s potential to soar from current levels, investors could wait for the stock to retest its $.031 support to go long on CEOS stock.
CEOS Forecast
As one of the promising OTC stocks, CEOS stock may be poised to run in the coming months due to Monroe’s Congressional campaign. Considering the potential media attention the company may gain from the campaign, it may be on track to reach its 1 million subscriber goal this year which would translate to up to $997 million in annual revenues. For this reason, CEOS stock could be one to hold onto for the long term.
