Fuel Stream, Inc. (OTCMKTS:FLST) Doubles Price Again on Buying Momentum
While the climb of Fuel Stream, Inc. (OTCMKTS:FLST) looks phenomenal, keep in mind the ticker is only recovering from a painful slide from a much higher range, $3 in May. Now, buying accelerates at 24 cents, leading the stock up 92% on dollar volumes above $650,000, or around 4 million shares bought in the past two trading days. 
Even without a promotion, such an attempt at rebouncing is a promise in itself, inviting investors again. We don’t know how long the momentum will last, but FLST has the attractor of much higher prices.
Otherwise, the company does not look too solid in its financials, holding some severe drawbacks:
- Zero cash
- $180,000 assets (receivables)
- $5.5 million total current liabilities
- Zero sales
- $579,261 net loss for the latest reported quarter
We have not received new emails since July 10th, yet even without this boost now the market cap of the company rose to $3.6 million, with just above 15 million shares outstanding. The company achieved the very low number of shares after three reverse splits throughout the years. Despite the wild optimism, FLST is extremely high-risk, with serious doubts creeping among investor discussions on how capable the company is of keeping the gains.
Still, FLST may turn into a speculative bet for a while, if high volumes remain. Also, the ticker is in the ener
gy sector, and even though the company is not making money yet, it stands in the same boat with other small caps trying to make a fortune in gas and oil.
Several such stocks are trading actively right now, and some come as a cautionary tale. Bayside Petroleum, Corp. (OTCMKTS:BYSD) spiked quickly on a promotion, broke through the penny-level, but quickly slid back to double-zeroes.
PetroSonic Energy, Inc. (OTCMKTS:PSON) is moving at a higher range, but this is no deterrent to erratic day swings. The company is seeking a direction after promotions inflated it to unusual levels, but so far has been lacking a clearly defined trend.
It is a matter of time before FLST turns the tides, and while the ticker may provide some investors with phenomenal gains, for others the correction may come unexpectedly. It is best not to get swayed by promises, and do your own estimation of the potential of FLST.
