HIGH PERFORMANCE (OTCMKTS:TBEV) managed to get back on its feet yesterday after a suffering a huge drop in the previous month.
The crash was so big that the firm almost lost enough market capitalization for a whole month. However, before the crash even happened, there were a few indicators that it would happen, especially the fact that the stock was being overbought. In the end, the image that was created at the back of the minds of most investors is that of a firm that makes promises that it cannot uphold.
During one of the filings, HIGH PERFORMANCE had a market base that amounts to $308 thousand in cash and current liabilities amounting to $4.1 million. To add more insult to the situation, the firm did not have any sales. With numbers like that, there was obviously no profit and the losses piled up to $283,000.
Unfortunately, those numbers are just part of the tip of the iceberg that the company has been buried under. On Tuesday, the company due diligence went to the dogs as it dropped more than 47% to close at $0.001. It dropped a further 105 on Wednesday to settle at 0.0009. The company resulted to share dumping to salvage what they could. About 1.08 billion shares were dropped into the market.
The future of the company is uncertain especially coming back from such a huge drop. However, it is not such a farfetched goal. The company recently announced that it had completed a 60,000 bottle test run of their latest High-Performance sports drink. Hopefully, the drink will perform well in the market and push the stock performance back on track. However, the firm should evaluate its product strategy to strengthen the business.
HIGH PERFORMANCE (OTCMKTS:TBEV) enjoyed the first positive session in the last few days as it closed with a huge gain of 55.56%. The close above the previous day’s high will provide some strength to the bulls and encourage them to extend the bounce for another session at least. The volume f the day reached 263 million, slightly higher than the daily average of 240 million, reflecting the inherent corrective nature of the bounce. The area around $0.003, previously a very strong support turned into a strong resistance now, must be overcome before any sustainable bullish scenario can be considered.