RFID Stocks to Watch

From the Fool:

Digital Angel (AMEX: DOC) -- While this stock has had a good run since the FDA approved
the use of the company's VeriChip RFID device in humans back in
October, Digital Angel is already carving out a living by inserting
chips in animals. From tracking pets and Canadian cattle to helping the
U.S. eradicate wildlife diseases by tagging the captive deer and elk
population, Digital Angel has been pawing, clawing, and hoofing its way
to a stronger top line over the past few years and its losses have been
narrowing sequentially.



Click Commerce (Nasdaq: CKCM)
-- When I mentioned that I would be writing about RFID, I received a
fair amount of email from readers suggesting public companies to look
into. That's the beauty of the Internet when it comes to generating
stock ideas. Yet by the time I got the fourth email whispering Click
Commerce, I pretty much had this all figured out. Surely this was one
of those penny stock hype deals where folks on some speculative message
board were pimping out my email address to see if I would bite the
rusty hook. The fact that the only time we had written about this
enterprise software company on our site was 21 months ago when we
warned about buying into damaged companies that announce reverse stock splits pretty much iced my conspiracy theory cake.



Gaming Partners (Nasdaq: GPIC)
-- While folks already know that they are under camera surveillance in
Las Vegas, many do not realize that some of the casino chips also know
what you're up to in Sin City.


Chips with chips? That's right. Embedding RFID microchips in casino
chips has many practical applications. From immediate inventory tallies
to making sure that chips don't walk out or bogus chips aren't brought
in, casinos can keep gambling as honest as you can when you are dealing
with folks who have mastered poker faces. Through the first nine months
of the year the company has reported earnings of $0.18 a share on a 30%
uptick in revenues.   



While table game and card shuffling giant Shuffle Master (Nasdaq: SHFL) recently acquired the patent
behind Gaming Partners' microchip technology, the company retained
exclusive stateside rights to its effective casino chips. With casinos
springing up just about everywhere and the logical convenience and
security advantages of Gaming Partners' smart chips, why bet against
the house?