Crednology Holding Corp (OTCMKTS:COHO) is jumping over the last five days up over 600% with volume cresting over 200M on multiple occasions over that time. COHO is a relative unknown to most, so we did a deep dive on their portfolio and their business strategy.
COHO has three business prongs: Landmark PMG dba 4 Service, Riteman Inc. and CA Recycles Inc. There has been movement on another acquisition, an IT company, but COHO is holding off until the company shows better stability. One area that the company sees as having big opportunity in the future is e-waste. Electronic waste is big business and China currently holds a lion share of the market but the country is starting to limit its intake as geopolitics and over capacity play a role.
Crednology Holding Corp (OTCMKTS:COHO) a Delaware corporation, is a public holding company that has been dedicated to enhancing shareholder value through a strategic combination of organic growth, mergers and profitable acquisitions.
The Company is engaged in the cloud computing segment of the technology sector as well as the Electronic Waste and Recycling business. The main products and services include cloud computing and virtual environment, disaster recovery and business continuity and managed services to corporate accounts as well as the recycling and disposal of E-Waste and other materials.
Find out when $COHO stock reaches critical levels. Subscribe to OracleDispatch.com Right Now by entering your Email in the box below.
Orie Rechtman, CEO of COHO commented, “The E-waste industry, as a whole, has seen changes to costs and to selling prices as a result of China putting a temporary block on all plastics imports. China is responsible for 50% of worldwide plastic recycling. This had a direct effect on the recycling of printers, copiers and plotters as well as household plastic electronics. The industry has picked up momentum again in February and we have seen increased demand and e-waste available supplies as we are nearing Earth Day in April. As momentum has picked up we have seen revenue growth again. As a result, we expect our first quarter’s results to continue our upward momentum and progress. The acquisition, although comparatively small due to the target’s loss of revenue, will benefit our bottom line profit starting in our second quarter.”
On the financial side, the last release from the company showed revenues from 2017 were up by 355%. According to the company, EBITDA achieved for the six months ended June 30, 2017 was $99,853 including one time organizational costs compared to a negative EBITDA of $(34,536) for the same period last year. This is a staggering increase in EBITDA of $134,389, a 395% improvement.
“This business model is helping us achieve good margins for our individual subsidiaries which bodes well for overall results when we have greater revenues and profits to support the costs necessary to manage the public company,” Rechtman added.
Crednology Holding Corp (OTCMKTS: COHO) has a market cap of 1.17M and outstanding shares of 1.95B. The 10-day volume is averaging 2.65M and COHO has minimal cash on hand and debt at 197.69k. There is reason to watch COHO as they look at potential acquisitions and explore avenues in the e-waste business. COHO’s regular recycling business, California Recycling Inc., added a nice contract last year with the City of Torrance and more could be on the way. The stock is running right and investors should stay tuned in as more news could be on the horizon. Sign-up for continuing coverage on shares of $COHO stock, as well as other hot stock picks, get our free newsletter today and get our next breakout pick!
Disclosure: we hold no position in $COHO, either long or short, and we have not been compensated for this article.