Subscribers,

Our last couple of trade ideas provided us with limited upside potential. So now we change our focus to a lower priced play, one that just released some major news yesterday that we think could be a strong catalyst for the days to come.

As you can see in the chart, SinglePoint Inc. (SING) has been drifting low for many months and we think it could be ready to breakout.



About SING...

SinglePoint Inc. (OTCQB: SING) is a fully reporting company with core holdings in Solar Energy Services and Industrial Hemp based Consumer Products. Acquired in May 2019, Direct Solar of America, a majority owned subsidiary, now operates its leading national solar sales brokerage model in 34 states.

In the past year Direct Solar of America has virtualized its sales platform and has added and expanded its corporate offerings to include Direct Solar Capital (Financial) and Direct Solar Commercial with a focus on financing, designing or developing small to mid-size commercial opportunities and projects.

1606 Original Hemp, has been designed and created to be the premier category leader in manufacturing and marketing high quality smokable industrial hemp consumer products for sale through traditional retail channels and online. Since its debut in late 2019, 1606 Original Hemp has been placed into hundreds of retail locations across the country and has amassed a large social media following that continues to grow.

The Company has a portfolio of non-core focused business that are searching for strategic partnerships or other alternative solutions. SinglePoint is committed to positioning the Company to be able to up list to the highest exchange possible which we feel is a benefit to our stakeholders and shareholders.

You can visit their website at http://www.singlepoint.com/
 
 
Major News...

Direct Solar of America Closes Transaction with Principals of Standard Eco Creating Framework for a Multi-State Solar Installation Network Beginning Execution of Previously Announced National Solar Network Strategy

Direct Solar of America intends to acquire or partner with residential and commercial solar installers to build the leading comprehensive National Solar Network

PHOENIX, Oct. 13, 2020 /PRNewswire/ -- Direct Solar of America, LLC ("Direct Solar"), a majority owned subsidiary of SinglePoint Inc. (OTC: SING), today announced that it has finalized an agreement with the principals of Standard Eco, a developer and installer of grid-tied solar electric systems in Texas, Illinois, and Arizona, to create multiple licensed entity in order to leverage the recent rapid expansion of Direct Solar of America's national solar footprint to 38 states, an increase of 30+ states since May 2019 acquisition by SinglePoint Inc.

As previously announced via an LOI in July 2020, Direct Solar of America and SinglePoint Inc. begun due diligence related to the previously announced LOI. The parties reached a final agreement based upon the outcomes and completion of that phase. The original transaction was expected to close no later than December 2020 and was based primarily on Standard Eco's ability to continue to deliver revenue and profitability results in 2021, 2022, and 2023 comparable with the previously reported unaudited revenues of $12,331,703 in 2018 and $11,345,061 in 2019. 

This strategic transaction, the first in what is designed to be a series of multiple transactions, is comprised of cash (facilitated through Direct Solar of America) and incentive-based stock compensation to be issued upon reaching definitive operational milestones in addition to revenue and profitability thresholds within certain territories and timelines. This will immediately broaden the combined service offerings Direct Solar of America currently provides.

"We've had a tremendous period of growth at Direct Solar of America since a majority interest was acquired by SinglePoint Inc. in May 2019," stated Pablo Diaz, CEO - Direct Solar of America "We added new divisions in commercial and capital to augment our leading solar brokerage network and now with the finalization of this agreement we can fully capitalize on the partnerships and relationships we have built while adding 30+ states to our network in a little over a year.  We anticipate continuing to leverage our national solar network to add licensed solar installation groups that will increase our revenue and profitability as we look to capitalize on the increasing demand for energy solutions powered by solar over the next decade."

"This transaction immediately increases the value of Direct Solar of America and provides a framework for continuing to acquire or partner with strategically important entities within the solar and alternative energy sector as we look to rapidly build a national solar installation network via roll up or joint venture strategy.  We will continue to target accretive companies within the Solar and Renewable Energy space that can benefit from our national footprint and meet our previously announced acquisition strategy.  Our goal is to become the national leader in residential and commercial solar solutions operating in all 50 states," Wil Ralston, President - SinglePoint Inc.  "We look forward to continuing to assist with enhancing the value of our majority owned subsidiary, Direct Solar of America and supporting the strategic vision outlined by their senior management."

The recent and continuing expansion of Direct Solar's sales platform now covering 38 states, allows the company to reach more households and raise awareness about the benefits of home solar and battery storage solutions which continue to drive the market for residential and small commercial customers.  The Direct Solar specialized concierge sales approach provides an immediate cost savings for independent installers who typically would resort to hiring expensive door-to-door sales professionals. We will continue to target smaller ($5M - $15M in annual revenue) solar installation companies, similar to Standard Eco, that can benefit by partnering or combining through acquisition with a leading virtual specialized sales platform like Direct Solar.

A consolidation phase in the domestic residential solar market has recently begun with the combination of Vivint and Sun Run in a merger that was announced on July 15, 2020 in which Sun Run acquired Vivint for a reported $3.2 billion.  One of the key components of that deal was the value of having a high-quality sales channel.  It is estimated that the Sun Run – Vivint combination will create an entity that has about 15% of the current residential market share in the US.  It is estimated that Residential Solar in the US has only reached 3% penetration.  In 2019 nearly 40% of all new electricity was added by solar-centric solutions. The global solar energy market was valued at $52.5 billion in 2018 and is projected to reach $223.3 billion by 2026, growing at a CAGR of 20.5% from 2019 to 2026.  After a strong 2019 Q4 and a record Q1 of this year, residential solar installations were hampered in Q2 by work stoppages, delays and temporary muted consumer demand caused by the complications of the current pandemic and corresponding economic shut downs which is accounting for the industry forecast of a 25% year-over-year drop in residential solar installations. Residential Installation has since begun to see a rebound in consumer demand and is set to resume growth in 2021.

After a long period of consolidation, SING could be ready to breakout.

The Company announced huge news yesterday, and we think that could be the catalyst in the days and weeks to come.

Get SING on your trading screen immediately.


All the best.

SmallCapMomo.com

picks@smallcapmomo.com

Remember our key trading rules when trading. Capital preservation is key. Keep your stops tight, and if things don't go your way, cut your losses and look for another opportunity.