Three Sink or Swim Small Cap Stocks: DBMM, BLUU & MIHI

Last Friday, small cap Digital Brand Media & Marketing Group Inc (OTCMKTS: DBMM) surged 22.22% while Blue Water Global Group Inc (OTCBB: BLUU) sank 18.42% and Medina International Holdings, Inc (OTCMKTS: MIHI) sank 50%. However, one of these small caps (Blue Water Global Group) appears to be reversing course in early morning trading today. So with it and the rest of these small cap stocks either sink or swim in trading this week? Here is a closer look to help you decide on an investing or trading strategy:

Digital Brand Media & Marketing Group Inc (OTCMKTS: DBMM) is Making Progress

Small cap Digital Brand Media & Marketing Group crafts, designs and executes digital marketing strategies across multiple ad platforms and social media networks for a broad array of clients to help each of them establish a uniform brand identity across the digital universe. On Friday, Digital Brand Media & Marketing Group surged 22.22% to $0.0011 for a market cap of $40,455 plus DBMM is up 175% since the start of the year and down 89% since February 2011 according to Google Finance.

What's the Catch With Digital Brand Media & Marketing Group Inc? According to various disclosures, no transactions have occurred to mention Digital Brand Media & Marketing Group in various investment newsletters. The last news from the Digital Brand Media & Marketing Group dates from mid-November and was a joint announcement with VMS Holdings (VMS) about an enhancement to the partnership relationship released to the press on August 18th that coincided with Letter of Intent between the parties. Both parties expect to finalize an Agreement shortly following conclusion of the due diligence process. The press release also noted that the "Chill" imposed by the Depository Trust Company (DTCC) in September, 2012 had been satisfactorily resolved earlier in the month plus the Digital Brand Media & Marketing Group is in the midst of its 10-K audit preparation for the fiscal year ending August 31, 2013 with the 10-K expected to be filed on or about December 15, 2013. A quick look at Digital Brand Media & Marketing Group's financials reveal revenues of $106k (most recent reported quarter), $86k, $137k and $126k for the past four quarters along with net income of $134k (most recent reported quarter) and net losses of $337k, $217k and $212k. At the end of August, Digital Brand Media & Marketing Group had $78k in cash to cover $1,644k in current liabilities. So maybe investors should wait a little longer for more financials to appear and some kind of deal with VMS Holdings to push through.

Blue Water Global Group Inc (OTCBB: BLUU) Announces an Acquisition

Small cap Blue Water Global Group Inc is a developer of casual dining restaurant properties. Currently, Blue Water is developing a chain of casual dining restaurants in popular tourist destinations throughout the Caribbean under the Blue Water Bar & Grill brand plus the company is involved in making strategic equity investments in promising businesses that are in the early stages of obtaining their own listing on the OTCBB. On Friday, Blue Water Global Group Inc sank 18.42% to $0.0062 for a market cap of $1.41 million plus BLUU is down 93.8% since last June.

What's the Catch With Blue Water Global Group Inc? According to various disclosures, a transaction or transactions of $15k has or will occur to mention Blue Water Global Group Inc in various investment newsletters. Last Wednesday, Blue Water Global Group Inc announced it had entered into an agreement to acquire a significant equity ownership in Stream Flow Media, Inc. - a development stage business focused on developing online gaming and media solutions for customer loyalty and retention applications, including corporate training solutions. The press release noted that Blue Water Global Group Inc's shares of Stream Flow are currently valued at $200,000, the ownership position is expected to be accretive to Blue Water's 2014 and 2015 earnings and the company will be going public on the OTCBB in early 2014. A quick look at Blue Water Global Group Inc's financials reveals revenues of zero (most recent reported quarter), zero, $10k and zero for the last four reported quarters along with net losses of $92k (most recent reported quarter), $22k, $56k and $44k. At the end of September, Blue Water Global Group Inc had $26k in cash to cover $216k in current liabilities. So investors better hope the ownership position is accretive in the near future.

Medina International Holdings, Inc (OTCMKTS: MIHI)

Small cap Medina International Holdings under its two wholly owned subsidiaries, Harbor Guard Boats, Inc. and Medina Marine, Inc., plans to manufacture and sell recreational and commercial boats. On Friday, Medina International Holdings sank 50% to $0.03 for a market cap of $1.68 million plus the stock is up 328.6% since mid January according to Google Finance.

What's the Catch With Medina International Holdings, Inc? According to various disclosures, a transaction of $22k has or will occur to mention Medina International Holdings in various investment newsletters. However, Medina International Holdings has been quiet lately with news as the only recent news was a mid-November filing about replacing the company's independent registered public accountant due to his retirement. A quick look at Medina International Holdings' financials reveals revenues of $57k (most recent reported quarter), $307k, $348k and $58k for the past four quarters along with net losses of $122k (most recent reported quarter), $107k, $241k and $86k. At the end of July, Medina International Holdings had $22k in cash to cover $3,474k in current liabilities. So baring any new news, its hard for investors to be more than indifferent with Medina International Holdings right now.