Good evening readers and welcome new subscribers.
Hope you’re ready for some action! We just came across a play that could be the perfect way to start our week, and the best part is that it’s trading for less than 10 cents per share! We all know how thinly traded stocks in this price range can cause chaos once things get going, and that’s exactly what we like!
Our new alert is:
RDSH - Roadships Holdings
RDSH is an emerging company in the short-sea and ground freight industry sectors operating through its wholly owned subsidiaries in the U.S. and Australia.
RDSH trades on the OTCQB, the highest OTC tier, at just 7 cents per share.
You can visit the company’s website here.
Did you know that around 90% of world trade is carried by the international shipping industry. Without shipping, the import and export of affordable food and goods would not be possible - half the world would starve and the other half would freeze!
There are over 50,000 merchant ships trading internationally and between 2000 and 2007, the value of world trade grew 12%, whilst total freight costs during this period increased by around 6%.
Seaborne trade moves about $6T worth of goods every year - yes, trillion!
So where does RDSH fit in?
RDSH, in partnership with STX Canada Marine Inc., developed a proprietary design of a high speed Ro/Ro vessel for use in the U.S. coastal transport trade.
Roll-on/roll-off (Ro/Ro) ships are vessels designed to carry wheeled cargo such as automobiles, trucks, semi-trailer trucks, trailers or railroad cars that are driven on and off the ship on their own wheels. This is in contrast to lo-lo (lift-on/lift-off) vessels which use a crane to load and unload cargo.
RDSH’s is attempting to base their ship design from a model that allows the use of high output medium speed diesel engines to achieve the service speed of 30 knots. Utilizing these new high output engines developed in the last 5 years removes the need for gas turbine propulsion, which could offer significant fuel savings.
Logistics
RDSH also operates Roadships Freight Logistics. Roadships Logistics is a third party logistics company, or 3PL, dealing with road, rail, and sea logistics consulting.
To dig a little deeper into the world of logistics, we’re going to be looking at the 16th Annual 3PL Study. This yearly study finds information about the market for third party logistics providers worldwide. You can see the full report for yourself here.
According to the 2012 3PL Study, 78% of shippers outsource international transportation!
In the end, the results of the study reaffirmed that third-party logistics providers continue to provide strategic and operational value to many shippers across the globe. Shippers consider logistics and supply chain management as key contributors to their overall business success, and approximately three-quarters of survey respondents say 3PLs provide new and innovative ways to improve logistics effectiveness.
The report also found that companies are spending an average of 12% of their sales revenues on logistics!
You’ve got to be in a good position if you operating in a market where 12% of a company’s sales is devoted to you!
Stay tuned for updates on RDSH !
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