Solarwindow Technologies Inc (OTCMKTS:WNDW) Soars To New 52-Week High
At the end of Friday’s trading the stock of Solarwindow Technologies Inc (OTCMKTS:WNDW) stood at $2.67 per share for a gain of over 17%. Not only did investors exchange the record for the past 4 months volume of 367 thousand shares but the ticker also reached a new 52-week high of $2.78. The dollar value for the session almost touched on $1 million.
As the name of the company says WNDW is the developer of the SolarWindow electricity-generating coatings. The technology can be used on see-through glass and flexible plastics; it can be applied on all four sides of skyscrapers and commercial buildings and can use natural and artificial light. The problem is that the product has been in development for quite a few years with no concrete deadlines for its completion and commercialization given by the company.
All that is about to change on August 20 though when WNDW will host a special webcast during which the company will announce exactly how it plans to bring its technology to market. Participants in the webcast will also have the opportunity to ask questions regarding the SolarWindow product development and commercialization plans.
Although the characteristics of the product certainly sound amazing investors should still use caution when approaching the stock of the company because as the latest financial report showed WNDW remain very much a pennystock venture. They finished the quarter ending May 31 with:
• $69 169 cash
• $247 thousand current assets
• $2.4 million current liabilities
• ZERO revenues
• $1.5 million net loss
At the end of the period the company had minimal cash reserves, working capital deficit of over $2.1 million and accumulated deficit of more than $28 million. In order to meet its capital needs WNDW has been raising money primarily through the exercise of warrants – the subsequent events section of the report states that on July 9 921,875 Series H Warrants were exercised with the company receiving $765 thousand in proceeds. Investors should keep in mind that the Series H warrants have an exercise price of just $0.83 which is more than three times lower than the current market price of the stock. As of May 31 WNDW had close to 8.8 million outstanding warrants with exercise prices ranging from $0.67 to $1.37.
With the date of the webcast getting closer and closer the stock of the company could continue to register increased daily volumes. Getting too excited though may not be a good idea – even at the moment WNDW commands an unrealistically inflated market cap of $70.3 million. If the ticker continues to climb higher up the chart even more of the outstanding warrants could be turned into shares at below-market prices. Even if you believe in the potential of the Solar Window technology you should still do your own due diligence before committing to any trades.
