BUY ALERT: uWink Inc. (Nasdaq: UWKI.OB) BUY 1/4 Position 1/15/08 Around $1.25

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What:

I am initiating my third (3) BUY recommendation of uWink Inc. (Nasdaq: UWKI.OB).

Why:

There are a few of reasons why I am buying additional shares of uWink:

• The stock price has declined from my original recommendation, making an additional purchase attractive from a risk/reward and valuation standpoint.

In fact, uWink has about $.70 per share in cash on their balance sheet! Admittedly, this cash is going to be used to expand and grow the business, but it’s just another metric to show how favorably the share price is in terms of risk/reward.

• There have been recent company highlights, news items and business trends that favorably reflect the company’s continued path towards acceleration of their restaurant concept and expansion.

Read my full company research report here.

Variables You Should Know:
Risk Rating:	10+ (Highest Possible Risk)
Position Size:	1/4
Buy Around Price:	$1.25

• uWink trades with very high bid/ask spreads. Learn how to protect yourself from getting screwed by the market makers.

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(2) comments to “BUY ALERT: uWink Inc. (Nasdaq: UWKI.OB) BUY 1/4 Position 1/15/08 Around $1.25”

1. Daneen Says:
   January 27th, 2008 at 7:11 pm

   Chris:

   If you are purchasing your 3rd 1/4 buy, what would you recommend to those newly interested in buying shares? Do 1/4 buy or go larger?

   Also, I’m guessing unless we hear otherwise, the buy recommendation is in play even after a week or so of your posting assuming it remains close to the recommended buy price - right?

   Thanks
   Daneen

2. Chris Fernandez Says:
   January 28th, 2008 at 12:56 am

   Daneen,

   This is a good question. I should address this, but if I have made 2 previous buy recommendations at higher prices, as is the case with uWink, and one right around where it sits now, then it’s a good bet that I want you in that horse race, and you can get a BETTER price than even I did!

   So in this case, yes, it means I want you to purchase 3/4 of your position right now, around 1.25 or certainly lower than the original 1.85.

   And yes, you are correct, the buy recommendation is always “on” for anywhere from 5-10% above or below my initial recommendation even if I don’t say anything about the stock.

   If I think it’s time to sell, I’ll put out a sell recommendation, otherwise, it means hold onto what you have, and if the shares are significantly higher than my last recommended by price, it probably means you should hold off until the price dips.

   In the future, I will be adding a “best buys now” or similar section on the site so that when you get new money to invest, it will list my top 5 stock ideas for new money right now.

   This will help take the guess work out of which company’s stocks you should purchase.

   Chris

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