Petron Energy II (OTCBB:PEII) Rising On Positive News
The stock of Petron Energy II (OTCBB:PEII) added a mind blowing 733% to its price in just 2 sessions relying on a promotional campaign in the end of July, however, it started to decline and by yesterday it had lost 75% from the value that it gained earlier. Despite that we can’t say that yesterday wasn’t a ray of light for investors as PEII‘s stock finished with promising results after the long period of ending in the red.
After the decline in PEII‘s stock price and press releases issued by Gil Steedley, who we linked to the not so fortunate mineral exploration company Strategic Mng Cop. (OTCMKTS:SMNG) in our previous article on PEII it seems that the company’s CEO Floyd Smith is back on track with announcing the current news from the company.
Yesterday a positive press release in which Mr. Smith wrote that there is a 50% increase in natural gas production in their Oklahoma pipeline subsidiary helped the price to finish the day with a gain in price after the decline their stock experienced in the previous 6 trading sessions.
The stock managed to go up 70% on a decent volume that was well above their average of 3.5 million shares. The price jumped from $0.0302 to $0.042 with a total of 7.1 million shares switching hands, which helped generate a trade value of $283 thousand in the end of the day.
So far the company has showed that it has some potential, as it is one of the few oil and gas companies in the OTC Markets that can actually show some revenue, which may in term cause the price to continue to rise. However, let’s see what they actually have to back their $1.6 million market cap, with the numbers of prime interest from their report for Q1 of this year.
- cash: $380
- current assets: $23 thousand
- current liabilities: $1.3 million
- quarterly revenue: $106 thousand
- quarterly net loss: $383 thousand
You can see that even though they have some revenue they are still unable to make it at a profit. With all the positive news lately we can’t wait to see what they have in store for us in the report for the second quarter of the year, which we should be seeing soon. So far they have little improvements in their reports when you look at the revenue and net loss sections and if you check the current assets you will notice that they have lost half of their value from the previous time they filed a 10-Q.
Even though PEII have revenue generating operations they remain a risky investment. Having in mind that they underwent the paid promotion treatment doesn’t add to their credibility so be sure to do a lot of due diligence and weigh out the risks for yourself.
On the other hand, the rapid increase in price that Amanasu Technologies Holdings Corp. (OTCMKTS:ANSU) experienced came to a halt yesterday. After they gained a mind-blowing 4435% in price in just 2 trade sessions and peaked at $1.27, they lost 47% from their value yesterday and are currently priced at $0.6650.