Beacon Equity put out an amazing Report on AMCG. Target $1.44! Amazing Gain Potential from here!
AMCG.ob is an excellent stock for our members to be accumalating at these levels. We have an amazing feeling that this price is going to breakout and when it does, it will breakout FAST.
AMCG closed green today at .66 and Beacon Equity released a research report at the end of the day. This report was filled with excellent DD for AMCG.ob and we recommend all our subscribers take the time to read it! Click here for Beacon Research Report on Amico Games OTCBB AMCG.ob
Its time for AMCG.ob to get the awareness it deserves. The buzz on the internet is brewing and we just have a great feeling that AMCG will appeal to the masses. Time to hit our short term target of $1.00! We highly recommend taking 5 minutes and reading the report. We provided some copy/paste from the article of the most important factors! Take your time and do your Due Diligence here!
Here are some Major Key Information from the Report:
| Market Data |
February 4, 2010 |
| Symbol | AMCG |
| Exchange | OTC BB |
| Current Price | $0.65 |
| Price Target | $1.44 |
| Rating | Speculative Buy |
| Outstanding Shares | 72.00 Mn |
| Market Cap. | $46.80 Mn |
| Average 50-Day Volume | n/a |
Investment Highlights
Market leader in WAP mobile gaming segment of China
AMCG develops and distributes interactive multiplayer mobile phone games through industry leading 2.5G and 3G technology platforms (including WAP and Java™) for the Chinese market. The Company has developed more than 10 mobile phone games and grown its game-registered user base to exceed 20 million. AMCG is already recognized as a market leader in networked WAP gaming in China.
Strong mobile phone game portfolio
AMCG’s portfolio includes some of the most popular massive multi-player online role-playing games and advanced casual online games in China. The Company currently distributes the following WAP Games: Miracle Journey to the West, Fantasy Wulin ,and Miracle Jiutian and the Java TM platform game Journey to the West OL. By year-end 2009, Miracle Journey to the West had accumulated more than 15 million registered users and an impressive 11.1% share of China’s multiplayer WAP game market.
In addition, AMCG was the first Chinese company to cooperate with Nokia to develop Java™ multi-player mobile phone games and the first to supply wrestling genre games and multi-player games over the WAP platform of China Mobile™ (the world’s largest mobile network).
Huge market opportunity
China is the world’s largest mobile telecommunications market, with 724 million mobile phone users at year-end 2009. Despite the large user base, mobile telephony penetration was only around 55% in China last year, which is well below 90% penetration in the U.S. and 125% penetration in Germany. This gap offers a significant growth potential since China expects to reach developed countries’ penetration levels in a relatively short period of time.
The enormous mobile phone consumer base provides a solid foundation for the development of mobile games applications. According to Enfodesk and Analysys International, China’s mobile phone game market revenues rose nearly 63% in 2008 to approximately $200 million (RMB 1.365 billion). With the recent increases in the use of third-party payment gateways and more efficient distribution models, mobile phone game market volume is expected to grow substantially. Enfodesk and Analysys International predict revenues for China’s mobile phone game market will rise to $394 million in 2010 and $616 million in 2011.
This market growth is due primarily to the rapid growth in mobile phone ownership, expansion of 3G network availability and improvements made by mobile phone game developers in designing, managing and marketing their products.
Impressive growth story
AMCG is poised to capitalize on stellar growth in China’s mobile games market. The Company’s revenue rose nearly 40% in FY 2009 and 61% in Q1 2010, compared to the same prior periods. Moreover, the number of total game-registered users rose 129% to more than 20.6 million last year.
The Company’s net income grew 187% year-over-year in Q1 2010 to $127,222. Revenue and net income growth reflect steady growth in the number of mobile phone game users.
Accelerating growth expectations through FY 2012
The Company plans to accelerate its growth pace in 2010 and 2011 by licensing additional games and technologies and further expanding its registered user base. AMCG is developing software which will allow users to generate maps and game play scenarios for Journey to the West OL; completing development of Journey to the West Online II for a scheduled September 2010 launch; and developing software that would allow users to operate games on additional platforms such as the iPhone and personal computers.
In addition, AMCG plans to create in-game ‘goods’ which may be purchased by players to increase their game experience or enhance their status, developing the Company’s proprietary online mobile game platform and transitioning from a content provider to a service provider model which will allow players to access games directly from AMCG’s Web sites.
We think this growth initiatives will increases the Company’s revenues to more than $10 million and net income to more than $5 million by fiscal year-end 2012.
Cooperative agreement with the leading mobile games portal in China
The Company has a cooperative agreement with Shenzhen Tencent Computer System Co., which operates QQ, the most popular free instant messaging computer program in China. Tencent is the distributor and partner for Miracle Journey to the West, Fantasy Wulin and Journey to the West OL.
Tencent’s instant messaging platform is the most used instant message tool in China with more than 990 million registered users. Active users exceed 448 million and peak concurrent QQ users exceed 90 million. The QQ Games platform accounts for about 6.2 million users simultaneously online. QQ.com is China’s most visited Internet portal site and PaiPai.com, also operated by Tencent, is China’s second largest Internet shopping platform.
