Ballard Power Systems, Inc. (USA) (NASDAQ:BLDP) Can Have Another Session of Gains

[[tagnumber 0]]Ballard Power Systems, Inc. (USA) (NASDAQ:BLDP) stock rallied over four trading sessions to close near the high end of the trading range on Monday. It seems like the stock could recover after the company recently announced some new deals, however, it is not clear if they will lead to profitability and grow shareholder value.[[tagnumber 1]] [[tagnumber 2]] [[tagnumber 1]] [[tagnumber 0]][[tagnumber 5]][[tagnumber 1]] [[tagnumber 2]]BLDP jumped 7.03% during yesterday‘s trading session and closed the market at $1.37 for a share. Trading volumes grew up as well over the last three sessions and the chart looks technically in a bullish position. The strength of the rally has also been confirmed by a bullish crossover of MACD two lines below the zero line that could be a signal of reversal of the long–term downtrend.[[tagnumber 1]] [[tagnumber 2]]It still needs confirmation today that BLDP can break much higher above the upper Bollinger band but in the last days the company has issued a number of positive news to pump up its stock price. At the beginning of the month, the acquisition of Protonex Technology Corporation was declared as completed and BLDP CEO claimed the newly added products would complement the company‘s own platform.[[tagnumber 10]][[tagnumber 1]] [[tagnumber 2]] [[tagnumber 1]] [[tagnumber 2]]For shareholders, the price paid for Protonex was also of importance as it has diluted their ownership, and could potentially cause further dilution. In consideration for the transaction, BLDP assumed debt obligations in the amount of $4 million while the rest of the price consisted of 11.4 million newly issued BLDP shares.[[tagnumber 1]] [[tagnumber 2]]On the same day, the company also announced a deal with an Indian telecom operator for the delivery of 50 ElectraGenTM–H2 direct hydrogen modules that should be delivered by the end of the year. A few days before that, another press release announced a $17 million contract for the delivery of fuel cell for 300 buses in two Chinese cities.[[tagnumber 1]] [[tagnumber 2]] [[tagnumber 1]] [[tagnumber 2]]Unfortunately, the company‘s financial reports show that even if these new revenues actually materialize they will hardly be sufficient to cover the expenses so that BLDP operations turn profitable on a sustainable basis. That means rather limited upside potential for the current rally of the stock.[[tagnumber 1]] [[tagnumber 0]] [[tagnumber 1]]