Stornoway Diamond Corporation (TSE:SWY) (PINK:SWYDF) stock got busy after the company announced audited annual financial results.
SWY stock was swinging up and down lately, but it seems like the influence from the recently published annual report favors the bulls. SWY recorded a humongous trading volume on Thursday and will have above the average volume today as well.
The share price actually corrected back down after gapping up on the opening today, but the buying pressure appears strong enough to overthrow selling by profit takers.
Last week, the company announced audited annual results for the fiscal year end April 30, 2011. The major numbers were pretty encouraging:
• Net loss decreased 42.6% to $13.5 million due to a decrease in write-offs;
• Issued $40 million worth of stock over the year;
• Ended the year with $22.7 million in cash and roughly $24 million in working capital.
The company remains unable to finance its operations without external capital and that caused 23.9% dilution to shareholders over the last year.
Among the most notable improvement for the period was the acquisition of an additional property. On April 1, 2011 the company acquired an additional 50% interest in the Renard Diamond Project from Diaquem, Inc. and now fully owns the property.
