Advanced Cell Technology, Inc. (OTC:ACTC) closed the week on massive trade. After three days of price falls, last Friday the 
stock soared 7.84% and traded over 8 million shares on the market.
The most reasonable explanation on the huge gain turns out to be the latest news by ACT. The news that has been regularly released by different websites over the past week came up as research reports on ACT which spread out positive alerts on its activities.
Despite the fact that some of these reports failed to influence ACT stock price, apparently others did and it finally got the climb. Now, the question is how long the up move will resist.
Historical data shows that usually the gains are shortly broken, though ACT finds another way of getting back on track. Namely, by more news, or promotions. Regarding the company’s financials, these certainly cannot support ACT.
As of September 30, the company still had significant amount of cash and cash equivalents, though its liabilities were far beyond them. At the same time, the stockholders’ deficit got 50% higher and the accumulated deficit jumped over $241 million. [BANNER]
Considering the net loss, as well as the other expenses, the situation for ACT looks disastrous. The management claims that they continue to repay their debt financings in shares of common stock, enabling them to use their cash resources to fund operations.
However, on a long term basis, ACT has no expectation of generating any meaningful revenues from its product candidates for a substantial period of time. Meaning that if the team is unable to raise additional funds, ACT will be forced to either scale back its business efforts or curtail the business activities entirely.
