Ener-Core Inc (OTCBB:ENCR) Sinking Despite Positive News

[[tagnumber 0]][[tagnumber 1]]After an impressive run in the second half of March we saw the stock of Ener–Core Inc (OTCBB:ENCR) hesitate around the 25 cent per share mark throughout most of April before embarking on a descent down the charts.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]One thing that can be a reason for the poor performance lately might be the fact that [[tagnumber 6]]ENCR [[tagnumber 7]]hasn’t been doing very well financial–wise. In the middle of last month the company filed their report for the first quarter of the year and it contained these numbers in its balance sheet.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 11]] [[tagnumber 12]]cash: $398 thousand[[tagnumber 13]] [[tagnumber 12]]current assets: $778 thousand[[tagnumber 13]] [[tagnumber 12]]current liabilities: $2.45 million[[tagnumber 13]] [[tagnumber 12]]revenues: ZERO[[tagnumber 13]] [[tagnumber 12]]quarterly net loss: $2.06 million[[tagnumber 13]] [[tagnumber 22]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]We see that the cash on hand has been significantly decreased compared to the end of last year, while the current liabilities have grown by around $700 thousand. There are still no revenues in sight and the net loss is similar to that of the same period last year.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]But what’s surprising is the fact that [[tagnumber 6]]ENCR[[tagnumber 7]] is actually crashing on positive news. After they announced that they were going to present at several conferences in Monday they also informed us that they had obtained a U.S. patent for a system that converts waste gases into steam yesterday.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]The performance of the stock, however, was far from good and we saw [[tagnumber 6]]ENCR[[tagnumber 7]] lose 8.75% of its value and close the session at $0.1825. A total of 862 thousand shares switched hands and generated $146 thousand in daily dollar volume, the biggest in a month of trading.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]Today we see that [[tagnumber 6]]ENCR [[tagnumber 7]]is still sliding down the charts so things aren’t looking all too well for the company stock. Doing your due diligence and weighing out the risks before putting any money on the line is crucial.  [[tagnumber 2]]