Three Words Every College Student Knows: Bill My Parents (BMPI)

In a play on words off the old EF Hutton commercials, when super investor Isaac Blech speaks, will traders listen? In an article printed by Reuters this morning, Blech reveals what he has been buying, which includes more shares of BillMyParents (OTC: BMPI). He has apparently been buying loads of it because his holdings of BillMyParents amounts to 38 million shares, making him the leading shareholder in the company. Lech also sits on the company’s board of directors.

Like a teenager rolling out of bed in the morning, traders appeared a little groggy at the opening of the trading day. Shares of BillMyParents began the session unchanged from Wednesday’s closing price of $0.68. Once traders woke up, they could not decide which way to turn as share prices first dipped to an intraday low of $0.67, and then within an hour touched the high for the day at $.072. Almost two-thirds of the volume on the day traded during this time. Share prices remained flat for the rest of the day with the stock closing on its high for a gain of 5%. The 309,000 shares traded during today’s session exceeded the average daily volume by roughly 50%.

Traders showed little interest in the stock for a good portion of the last 12 months as share prices drifted around $0.40. In late May, on a volatile day, the stock made a 52-week low when share prices plunged to $0.21, but the stock closed unchanged on the day. The stock made a new annual high at $0.89 a little over three weeks ago. Since the end of August, traders have seen share prices decline by a tad over 20%. With Blech still opening his wallet and considering the recent pullback in the stock, traders must decide if now is a good time to start writing personal checks for more shares.

In other related news, BillMyParents announced on September 19, 2012, that it had partnered with Autism Speaks, the world’s largest autism advocacy group. The partnership will provide financial education for teens and families living with autism through the use of BMP SpendSmart prepaid MasterCard.

Last year the company hired Michael McCoy to fill the position of CEO. McCoy came over from Wells Fargo (NYSE: WFC) where he served as President of the bank’s Consumer Credit Card division.

In a newsletter promotion today, Actual Gains noted the following about BillMyParents stock: “BMPI – Volume – Long Term Watch.” More promotions from newsletters can be read on Stockreads.com. Two other promotions from last month are available for viewing on Stockpromoters.com. @BsiflingTrades commented about the Reuters article on Twitter this morning. Meanwhile @ScottMatusow gave a heads up to readers that shares of BillMyParents may be on the move next week.

BillMyParents helps teens and young adults manage their spending. The company provides online payment platforms that integrate with e-commerce products and the latest social networking applications such as Group Gift Card and BillMyParents. The company also offers a prepaid reloadable MasterCard (NYSE: MA) with various options for parental control. The San Diego, California, company was founded in 1990.

Please make sure to read and completely understand our disclaimer at https://www.wallstreetpr.com/disclaimer. While reading this article one must assume that we may be compensated for posting this content on our website.

Published by Alan Masterson

Alan has over 25 years of trading experience in the U.S. equity markets. He began his career in finance working on a program trading desk specializing in over-the-counter stocks. His career progressed from that point to his current position as senior trader on an institutional trading desk. In the evenings, Alan teaches economics at a local community college. He has contributed articles to various publications over the last six years, including feature articles for an economics magazine and various financial blogs. You may contact Alan via his email (alanmasterson@wallstreetpr.com) or his Google+ page (https://plus.google.com/103338576216002376250).

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