Dr. John L. Faessel
ON THE MARKET
Commentary and Insights
Faessel Publishing LLC
(NXTH) announced research coverage by CHARLES PAYNE EQUITY RESEARCH. Mr. Payne’s two-year price target is $5.00.
NXT Nutritionals Holdings, Inc. (NXTH) $1.42 OTCBB
One week ago I introduced a new idea and I mentioned that, “the story falls into a category where if the stars align this company could have blistering upside potential.” Understanding the substance of deep space may be well beyond the scope of us mere earthlings, but the forces that propelled (NXTH) up over 35% in a week are better understood. To wit; it’s a flat-out terrific story, buyers undeniably showed their “hand” and the stock took-off. Now add Friday’s news that a well known Wall Street analyst and talking head has also embraced (NXTH)’s potential makes the outlook even more compelling for the shares.
On Friday, post-close, (NXTH) announced research coverage by CHARLES PAYNE EQUITY RESEARCH. Mr. Payne conjectured on (NXTH) price potential with a two-year share price target of $5.00.
To visit (NXTH)’s comprehensive web site that includes links to the research coverage:
Mr. Payne has modeled for greater revenue growth and cash flow than management based in part to new marketing arrangements, new product launches and assumptions of consumer demand (and he believes his estimates are on the conservative side as well.)
Let’s review again what we now know about this development-stage company and its markets backdrop.
(NXTH) is a small development-stage company focused on developing and marketing alternative sweeteners and other food and beverage products in the United States. The common ingredient for all of the company’s products is its SUSTA™ Natural Sweetener, a minimal calorie, all-natural and nutritional sweetening system. Of foremost importance to me is the taste of the sweetener: my wife and I have tried SUSTA™ and it tastes just like sugar―but better. In fact, it’s delicious. Take the taste test and see for yourself.
(NXTH)’s market is defined by the now universal acceptance of its proprietary, patent-pending healthy alternative sweeteners and products that include them, so the target market for this company’s product is truly enormous. Conspicuously, the need for lower calorie products has never been more obvious, as the girth of America’s population continues to expand to truly shocking levels and the health consequences are “weighing” hugely on what is spent on overall health care. For a time only well-educated and health-conscious consumers availed themselves of the lower caloric alternatives in the marketplace but today the demand for such low-cal formulations is universal and, what’s more, is accelerating at an astonishing rate.
SUSTA™ Natural Sweetener currently serves as an ingredient for (NXTH)’s nonfat all-natural Healthy Dairy® yogurt smoothies and is marketed as a stand-alone product as well; currently in over 3,000 stores in 14 states. SUSTA™ is said to aid digestion, support the immune system, help maintain healthy blood sugar levels and provide more than one gram of soluble fiber per serving.
Importantly, (NXTH) has management and a board of directors that have exceptional résumés in the food and beverage industry. The president and CEO, Mike McCarthy, has 25-years experience in the sector and was a former Vice President of PepsiCo. He understands selling products to the mass markets and has set forth with a plan to market the SUSTA™ Natural Sweetener and build value for shareholders.
(NXTH) is currently focused on launching SUSTA™ into the U.S. table top sweetener market where they will focus on taking market share from the natural sweeteners segment that is less entrenched and has fewer formidable competitors. SUSTA™ is targeted at individuals craving sweetness but for whom sugar is either not a viable option or is an undesirable option. At the top of this group are diabetics, individuals on diets, and those proactively managing obesity.
Management has also engaged a top national sales broker with an extensive footprint to help pave the way in building brand and bringing value to the company. This brand building is necessary for strategically setting the product for mass distribution. Of Note: Last week NXT Nutritionals received a purchase order for SUSTA™ Natural Sweetener from the ShopRite Supermarkets – The launch will mark NXT Nutritionals entrance into northeastern region of the USA.
It’s definitely a stock for your screen, one to follow and one to consider owning.