Hangover Joe’s Holding Corp (OTCMKTS:HJOE) has been climbing up on charts due to a number of Press Releases issued in last few weeks. The upward moment in Hangover stock price is not supported by its financial numbers. As per the latest financial report, the company reported cash balance of $48,000. The quarterly net loss was $592,000 while revenue in quarter was $48,000. The current liabilities came at $2.8 million. The management believes that the availability of its products in new outlets will help the company to enhance its revenue in coming period.
The concerns
The financials of Hangover certainly paints a bleak picture. In addition, the share structure also doesn’t appear attractive enough to get investors attention. The company’s common stock has surged from around 208 million recorded on October 06, 2014 to over 1.7 billion recorded about a month and a half ago.
Investors can find the red warning sign of “limited information” on Hangover’s OTC Markets profile. The sign clearly indicates that the company has been casual in filing its financial reports. It maintained the trend as the latest filing mentions that it will file its annual report for FY2014 at a later date.
The buzz
The investors are really eager to know the reason behind gains of over 1000% in Hangover’s stock. The gains have come at a much faster pace and are not supported by any news or filings. The only buzz related to the stock was incessant spam of posts on a Twitter account. There is no clarity as on the user of account which is even assumed as being linked with the company.
With cash balance just under $50,000, a poor bottom line in the last quarterly report, a late report and unclear share structure, Hangover fundamental story remains still poor, and needs thorough consideration before making any investment call.
