Axion Power International, Inc. (OTC:AXPW) closed the last September session shifting unusually high volume.
By the end of Friday’s trade, more than 420 thousand shares of AXPW stock changed hands, marking the highest turnover AXPW has generated since Sep. 7. Not surprisingly, this figure was a considerable improvement over the 30-day average trading volume of 271 thousand. As far as the price is concerned, AXPW clocked in at $0.53 per share, losing 5% due to the saturation caused by the big volume.
Neither news, nor paid promotions appear to have caused such market behaviour. However, over the course of 24 days, i.e from Aug. 29 to Sep. 22, two company insiders – Director David Gelbaum and the Quercus Trust, each of them a 10% owner, performed a dozen transactions to dispose of their common AXPW shares. In the aggregate, they sold almost half a million shares at prices ranging from $0.51 to $0.66.
Axion Power International Inc. focuses on the development of new-generation batteries using a patented technology. The company expects to create “a battery-supercapacitor hybrid that uses less lead.”
Although AXPW has channelled its efforts into a high-potential industry, its market value has, more or less, been on the decrease. As seen on the chart, each new peak in price is lower than the previous one. So, if there is any hidden motive behind the massive insider selling which occurred last month, it is exactly this negative trend.
Provided that AXPW succeeds in developing a novel battery type, market players will hardly give it a miss. Until then, however, the future remains uncertain.
