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December 3, 2004 Stock Pick: Cardiac Sciences, Inc. (DFTS)

Stock Price: $0.175

Defense Technology Systems, Inc. offers a broad portfolio of security-related products, including ballistic glass and associated security systems, and the only Security Portal certified for Ballistics and Forced Entry by the U.S. Department of State. The company recently changed its name from Dataworld Solutions Inc.

This company has begun to turn around its operations in a major way. Revenues for the most recent quarter were $494,177, a 240% increase over the same period last year. Total liabilities and shareholder deficit have been decreased by 34% and 45% respectively.

The most fascinating aspect of this company is a member of their advisory board, Bernard B. Kerik. NYPD Commissioner Kerik was just chosen this morning by President Bush to become the next Homeland Security Secretary. Rumors are beginning to spread as to what Commissioner Kerik will be able to do for DFTS. He knows the interworkings of this company and will most likely provide them with lucrative contracts. Commissioner Kerik link.

The kicker is that Defense Technology Systems should be able to handle government contracts in the near future after they acquire the Homeland Security Operations of NewMarket Technologies. This division of NewMarket Technologies has won a number of million dollar defense subcontracts and city government contracts. NMKT shareholders will receive shares in DFTS as an equity dividend.

DFTS jumped up $0.055 today, or 45.8% on over 4.3 million shares traded. This is by far the most volume DFTS has ever seen. This appears to be just the start of a huge run. DFTS has 32.6 million shares outstanding and a market cap of only $5.7 million.

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