A huge stock promotion is coming for the stock of US Highland, Inc. (PINK:UHLN) today. According to the promotional newsletters that arrived in our database, a third party has paid $170,000 to have UHLN promoted for the upcoming session.
On Friday, UHLN closed with a 5% increase at $0.42, although the trading volume of 49,214 traded shares was lower than the average for the past three months. We have received 5 promotional e-mails for UHLN yesterday, claiming the stock is “ready to be set on fire” and promising a real explosion. Total compensation for the campaign is $170,000 and it looks like it will be shared by several stock promoting websites.
US Highland, Inc. has not issued many press releases recently, there is only one from Wednesday last week. It says the company has appointed Posie Pfaff as Director of PowerTrain Product Development, whereby Mr. Pfaff is described as a top tier professional in the engine and transmission design and development, as well as a high speed test rider and practitioner.
The market did not react with strong volume on the announcement, however, neither did it to the filing of UHLN latest 10-Q report. Actually, UHLN had only four sessions with any trading activity at all since the beginning of November, suggesting that a new promotion could move the share price up.
The company’s balance sheet shows at first sight that UHLN is in a good financial position with $1.5 million in current assets against $441,000 in current liabilities. However, there is only $295,000 in cash, while the rest of UHLN current assets is accounts receivable and inventory ($1 million), which makes the company’s liquidity uncertain. Management expects significant revenue from the manufacturing of powerplants, but production would not start before early 2012.