Tuesday, October 10, 2006

Are Homeland Security Stocks regaining investor favor?

Following 911 and for several years following, our site activity was dominated by Homeland Security Stocks. The sector was created following 911 and presented massive opportunity for new companies entering the space. With sub sectors from biodefense to non lethal to CCTV, we saw stocks in the sector rise significantly, led by sector leader in the small cap group- TASR, the non lethal king.
What we saw in the sector, as it settled, was it was very event driven and could spike immediately follow a terrorism event or threat.
The last two years the sector has matured and now trades with less volatility and more on contracts and revenue.
We saw the retail investor loose interest in the space as energy and commodity stocks took the lead.
Our site rankings for Homeland Security stocks moved from number one ranking to anywhere from 10-25 on our list.
What is interesting is a recent undercurrent of interest that is moving the Homelanddefensestocks.com (HDS) portal up our internal rankings and is now at number 5.
What does this mean? Maybe the cycle is changing and the sector may be regaining new interest from the retail small cap investor.

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