Is Hangover Joe’s Holding Corporation (OTCMKTS:HJOE)’s Surge Broken?
Hangover Joe’s Holding Corporation (OTCMKTS:HJOE) had a thrilling ride to the top of the charts from May 11 to May 20, but now its momentum seems to have broken.
The ticker’s nine session ascent was interrupted by just one pullback, from which HJOE recovered more or less instantly, but now it’s momentum doesn’t seem to have reverted suddenly, so much as it seems to have died out.
Friday’s session hardly saw the ticker move, in spite of the green open, and interestingly enough, the price per share ended up finishing exactly where it had left of the previous day. That in itself is a dead giveaway that HJOE has lost its thunder, but more importantly, investors should note the dollar volume.
Less than $300 thousand wort of HJOE shares changed hands that day – which is a meager amount, especially if you consider how much stock was traded in the previous sessions, when the ticker showed more activity.
This development was by no means unexpected. As diligent investors no doubt well recall, the ticker had risen on hype alone in its latest run, and there was pretty much nothing else supporting its ascent, once the twitter spam started losing its potency.
HJOE‘s latest financials, outdated as they are, certainly don’t justify a rapid climb:
- Cash – $48 thousand
- Current Liabilities – $2.8 million
- Quarterly Revenues – $48 thousand
- Quarterly net Loss – $592 thousand
On the other hand, all the dilution HJOE keeps heaping on its investors is certainly dragging the ticker down. What do we mean?
Let’s just say that HJOE‘s common stock has surged around form 208 million as of Oct. 06, 2014 to approximately 1.7 billion about a about seven weeks ago. Investors should really pay attention to such details when making up their mind about HJOE stock.
At this point in time even a slow but steady tickle of discounted shares could end up eroding HJOE share prices – and a massive dump may well cause a catastrophe like the one that happened seven sessions ago. Let the buyer be ware.
