Profire Energy, Inc. (OTCBB:PFIE) Surges Up
Yesterday the stock of Profire Energy, Inc. (OTCBB:PFIE) surged drastically in early trading, adding more than a dollar, then cooled off to more reasonable levels but still managed to close the day a solid 20% up.
The company deals in combustion systems and has been around for quite a while. The most recent news releases from PFIE concerned its participation in an investor conference held last week, as well as the company filing a patent connected to proprietary valve technologies. The patent news, coming out on the same date the conference was held, managed to prop PFIE up and the ticker managed to go over the $2 dividing line.
Since then daily share volumes have been very slim, much like they have been in the recent weeks, barring a spasm of volume action when PFIE announced record Q1 revenues and income in mid-August, with its fiscal year ending in March. Speaking of revenues, here is what the company’s quarterly report in question, published on Aug 13, looked like:
- $1.7 million in cash
- $2.3 million in current liabilities
- $7.1 million in Q1 revenues
- $1.6 million in Q1 net income
The sizable revenue figure derived from both product and service sales managed to end up as seven-digit net income, which is a very agreeable feat for an OTC-tier company. PFIE also has a good amount of cash on hand and is not buried under a mountain of debt. The report states that revenues have gone up 95% year-over-year. The company seems to be able to generate its cash from operations and not from dilutive financing. With no convertible debt mentioned in the report, PFIE looks in a reasonably comfortable position.
One thing that could potentially bother investors is that the company’s stock is not particularly liquid and daily share volumes have been rather small. This, however, did not stop PFIE from moving nearly doubling within a little over month, including yesterday’s price movement.
Other stocks that were hot on Tuesday include Globalstar, Inc. (OTCMKTS:GSAT), who closed another 6% up and punched above $1 per share. Growlife, Inc. (OTCBB:PHOT) who surged a little too quickly for their own good, dropped by nearly 12%.
