Solar 3D, Inc. (OTCMKTS:SLTD) Steps Back, but Prepares for Merger News
Solar 3D, Inc. (OTCMKTS:SLTD) stood just at the point where we began to seriously question the durability of the long upward run. The answer did not lag, as 10 million shares were shed on Friday, bringing the first day in the red since January 3rd. SLTD did not manage to face 13 cents well, and slid back toward the 10-cent levels. 
SLTD is still not boosted by a promotion, and the rise is attributable to press releases and the general demand for alternative-energy stocks. If the new week arrives with a new mention, this may renew the enthusiasm, but the great sales on Friday are a potential downside risk.
SLTD is yet to announce the completion for the acquisition of SUNWorks, a solar technology company, a piece of news which created excitement and expectations in the past weeks. Otherwise, SLTD is shown lacking in some departments when it comes to financials:
- Cash: $98 thousand
- total current assets: $103 thousand
- total assets: $132 thousand
- total current liabilities: $2.4 million
- revenues: $0
- net loss: $1.4 million
Still, investors’ forums are expecting further spikes, with a price in the dollars range. There is talk of “Merger Monday” when the deal would be announced. Despite all the setbacks, SLTD is priced low enough to invite newcomers, and holds a certain longer-term potential, especially if it manages to harness true demand for solar energy. With relatively low 194 million shares outstanding, SLTD holds attraction. And let’s not forget that the 12-cent range is a price unseen since the beginning of 2012, so a temporary setback would be logical.
The rise of SLTD recalls that of Sigma Labs, Inc. (OTCMKTS:SGLB), a promising producer of 3D printers aimed at the aerospace industry. SGLB peaked out at 26 cents, and stepped down, sliding in the past months to just half that price. This is despite the relatively high loyalty of investors, and the robust trading volumes.
The exuberance of the alternative energy sector resembles that of oil and gas prospectors among small cap companies. Tiger Oil and Energy, Inc. (OTCMKTS:TGRO) enjoyed its time in the sun, but went on to correct by 60%, and now hovers around the 57-cent levels.
While you are waiting for the right signs from SGLB, keep in mind that no event guarantees a positive price outcome, so plan your investment accordingly, and be prepared to absorb cuts in the share price.
