Southern ITS International, Inc. (OTCMKTS:SITS) Climbs The Charts on Good News
Southern ITS International, Inc. (OTCMKTS:SITS) is a rare OTC Markets gem providing security systems services. What differentiates them from most OTCcompanies is the fact that they are managing to operate at a profit and the recent good news helped their stock to make a big percentile gain in price.
SITS announced that they are working on an acquisition program via two integration companies located in California and Arizona in the hopes of expanding their business and providing their security services to casinos. This is the exact reason in the choice they made regarding the location of the integration companies, because both of the above mentioned states have a large number of casinos.
As SITS stated in the press release, they have their mind set on increasing the value of their stock as they start the acquisition program and are making the first steps in achieving that, as SITS CEO, Jason Bell has returned a large amount of his shares to the company treasury. This helped reduce the outstanding shares from 348,217,382 to 188,217,382.
Yesterday’s session proved that their effort is paying out as the ticker gained a whopping 125% in price. The number of traded shares also saw an increase, which was quite big. The amount of shares that switched hands yesterday, as the stock was moving from $0.0024 to $0.0054 came at 70 million and helped generate a trade value of $295 thousand, the biggest the ticker has seen in over 5 months.
Currently there is no reason for the stock to start falling, because as we mentioned the company has very decent financials. You can see the numbers of prime interest from their Q2 report below.
- cash: $145 thousand
- total current assets: $438 thousand
- total current liabilities: $1.1 million
- revenues: $948 thousand
- net income: $249 thousand
As you see they have quite a lot of liabilities, when you take into account the cash that they have on hand, but the fact is that they have managed to increase their assets over 5 times compared to the same period last year. There is the possibility that they can resort to a pump campaign as they did before and this might bring trouble.
All in all, SITS, with its booming performance yesterday becomes a risky investment, so be sure to do a lot of due diligence. Things can turn sour if bad news arrive and the stock’s value might be destroyed.
One of the biggest winners in trade value yesterday was the stock of Press Ventures, Inc. (OTCBB:PVEN), who began trading recently. The $2.2 million dollar volume they registered in the session is a result of the promotional campaign that was initiated and we reckon that it is going to have a bad outcome.
The biggest percentile gain in yesterday’s session was that of United American Healthcare. (OTCMKTS:UAHC). The ticker gapped up a mind-blowing 1053% and reached as high as $0.40 per share, but a sharp correction followed the ascend and they closed the day 438% up, priced at $0.14.