Solar 3D, Inc. (NASDAQ:SLTD) Soars on Preliminary Q2 Earnings
[[tagnumber 0]]Yesterday Solar 3D, Inc. (NASDAQ:SLTD) released a press release in which it claimed to have nearly doubled its sales in just one quarter. Though the PR did not contain a lot of additional financial data, the stock soared out the trading range. In the meantime, SLTD keeps issuing new shares to directors and other insiders, who are obviously interested in increasing their ownership in the company.[[tagnumber 1]] [[tagnumber 0]][[tagnumber 3]][[tagnumber 1]] [[tagnumber 0]]SLTD closed the last session at $3.77 with a nearly 23% gain from the previous close. The trading volume of over 7 million traded shares was even more spectacular, being the highest that this otherwise illiquid stock has seen in the past few years. During the session the share price broke the upper Bollinger band and technical indicators look very bullish for today as well.[[tagnumber 1]] [[tagnumber 0]]It is questionable, however, if traders actually traded on the surge in sales that SLTD claimed in its press release, or on the expectation of some new promotional coverage. Yet, the hype could last a few more days until August 6 when the company is expected to file the official 10–Q.[[tagnumber 1]] [[tagnumber 0]] [[tagnumber 10]][[tagnumber 1]] [[tagnumber 0]]Other SLTD recent filings suggest also that its management as well as some directors of a subsidiary of the company have been issued a considerable number of new shares over the last month, all at prices above $4 per share, or just below the market price at that time. The respective documents show that all of these persons are now 10% owners of the company while its institutional ownership remains low.[[tagnumber 1]] [[tagnumber 0]]Usually, that could be a positive sign, though for a company like SLTD it looks more like a negative one. According to SLTD first quarter report, it has no hard assets, significant convertible debt and low cash reserves to grow its business. It is not profitable as well thus the stock looks already overvalued.[[tagnumber 1]] [[tagnumber 16]] [[tagnumber 1]]
