For years, I had spent my career compiling penny stock ideas for this letter, as well as Penny Stock Fortunes. In that time, I'd like to think I did a pretty good job picking apart winners from losers.
So when I came across the one I'm going to show you today, I just had to let you know about it.
When it comes to making money in the stock market, rarely do I simply place bets. I want a little insurance for my money. I want it to pay me back on top of any extra growth I can find.
Today, I am going to let you in on my secret way to do that��
On the surface, Cenveo Inc (NYSE:CVO) looks like a bad bet. Investors have fled this seemingly small printing company. But that was simply a mistake. Smart money, as I'm about to show you, is doing things quite a bit differently.
For starters, let's dig into what Cenveo actually does. While its small cap status may seem like it might only have a few regional operations, that's wrong. The company is actually one of the largest nationwide printers. It even has international business.
When you receive a bill or an interest statement from your bank, you probably don't think much about it. You pay it or file it away, and that's the end of it. But its story is much more involved.
You see, big banks, credit card companies and even utility companies typically hire printers to send you those statements and bills. They sign large contracts with companies like Cenveo to handle that logistical side of their businesses. And when I say large, I mean it. Some of these contracts can be in the tens of millions of dollars. Cenveo handles one right now for American Express. Just imagine how many Am Ex statements go out every month.
On top of contract work, Cenveo is also a major independent printer. Think about all the junk mail you receive. The penny mailers, credit card offers, post cards telling you how much you can save by switching auto insurance. We all get those, probably hundreds of them througho! ut the y ear. Who do you think prints those? Contract printers like Cenveo�� that's who.
Finally, think about all the envelopes those mailers, statements, bills, etc. come in�� and all the ones with return envelopes inside. The amount of money that goes into envelopes alone in the U.S. is in the billions. Cenveo has been squeezing its way into this incredibly lucrative field over the past few years. Now, according to the company's CEO, one out of every four envelopes in the U.S. is made by Cenveo. That's an enormous amount of something most of us just throw away without looking at.
Speaking of the CEO, check this out. Over the past two years, CEO Robert Burton Sr.
has been purchasing shares of CVO every month. His monthly average open market purchase has been about 14,500 shares. With today's depressed share price, he claims to be picking up about 30,000 shares each month. Having someone on the inside with that kind of faith in the company is a tremendous asset to have.You could certainly go out and pick up shares of CVO if you want. They may eventually work out for you. But I can tell you right now, that's not the best way to make money off this idea. Not even close��
Instead, you can use a strategy I call Income Safe IOUs to turn CVO into a bank account. Like a savings account or bank CD, you can use these Cenveo IOUs to pay you regular interest on your money. But unlike typical banks, this one comes with a massive, penny-stock-sized payout. And all of it, every dime of this return is contractually guaranteed. Good luck finding that in the stock market.
You see, 100% of this investment is guaranteed by law. You don't ever have to buy or sell a single share of CVO. And best of all, your income checks are scheduled years in advance. You'll know exactly how much you'll get paid, when you'll get paid.
I told a select group of readers about this opportunity a little over a month and a half ago. Here's what they have already had the chance to lock in:
That's a 50% return that's guaranteed by law. But look at the annual income that also comes with this play. That's $39.38 every six months, or 10.6% every year. The average savings account pays just 1% right now.
I want to give you the chance to get into this opportunity too. But there are more than 300,000 people that read Penny Sleuth. Obviously, I can't share it with that many people.
But I might be able to still help you. Be sure to keep a close eye on your inbox tomorrow where you will have the opportunity to get the details of this play��
Sincerely,
Jim Nelson
for The Penny Sleuth
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