Although Riggs Eckelberry, the CEO of OriginOil Inc.(OTC:OOIL), usually talks about the domestic needs for products and services like the ones his company offers, this time the good news came from another continent. An order from Australia got the attention needed for another trading frenzy on the stock market yesterday. Yet, what applied a month ago applies today as well – it is the question of stability and sustainable growth. 
As far as the stock performance is concerned, stability is yet to come, if ever. Hypes like the one from yesterday are not rare, but as it is not that the company has exited the development stage and thus they don`t last as long as shareholders probably wish them to. Nevertheless, there is some positive news, and there is the price accumulating value. A modest 8% increase due to more than 3 million shares exchanging hands during the Tuesday session. The fact of the matter is, however, that it is not the order in the press release that should be kept in mind, but another factor, one that could indeed introduce a pattern of steady increase of the stock price. Revenues.
Mr. Eckelberry, who is often interviewed on Bloomberg, CNN and other major media, mentioned in one of his appearances that while the potential of OriginOil technology is huge, it might be years before the target results are achieved. Now, as the press release mentions, this equipment order brings OriginOil closer to achieving its forecast of $1 million in booked sales in 2011. Without a proper point of comparison, this figure means nothing. Luckily, the company also released its 10-Q statement last week covering the first three months of the year. It includes the following: [BANNER]
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$672k in total current assets;
- $127k in total liabilities;
- $12 million in accumulated deficit;
- $102k in revenues;
- $814k in net loss;
On one hand, there are the assets exceeding the liabilities by far. On the other, there is the net loss for just 3 months, which should not go overlooked. This data actually shows why there is still lack of stability on the stock market. OriginOil is growing, walking the extra mile, increasing revenues. Yet, with a net loss of $814k in just three months and a target sales figure of $1 million for the whole year, it is uncertain whether even relative stability on the stock market is possible. In terms, it seems that OriginOil offers opportunities mostly for the real long-term investors, not the short-term speculative ones. This, however, is by no means, of lower risk. Once the next 10-Q statement is out, there might be a clearer picture of what is possible and what not for OriginOil in 2011.
