Green Innovations Ltd. (OTC:GNIN) Volume Starts to Fade?

Yesterday was special for Green Innovations Ltd. (OTC:GNIN). It was the first trading day in a long time that the company didn’t issue a press release, and the newsletters pumping the stock stayed silent.

That may have been one of the reasons for yesterday’s volume of just 1.56 million shares. Still, as expected, GNIN managed to close in the green – up 12.41% at $1.54.

After just one day of silence, GNIN issued another press release earlier today. It concerns two purchase orders from, Cardenas Markets, Inc. This is the second time GNIN gets purchase orders from the California-based chain of supermarkets.

Repeat customers are key for GNIN‘s business, but it’s still not clear if the company can turn a profit. Unless GNIN finds a way to increase the small gross margin from the annual report, it could pose a problem for GNIN in the future.

At the time of this writing the pumper newsletters haven’t sent emails about the new announcement. It will be interesting to see whether they do later on. If Investors Alliance and the other newsletters don’t send any emails on GNIN today, it could be an indication that the pump is actually over.

Even if it’s still on, most of the hype around GNIN was quashed by the 10-K filing. After the end of a pump, or when it has been running too long, touted stocks usually start to trade on diminishing volume.

On the other hand, GNIN is not the most common type of pump. The company has managed to prove it actually has a business going, and it has generated revenues. However, GNIN still has to prove it can turn a profit. A business which loses money is rarely attractive for investors.