Within two sessions, AAN pushed 27% up. Besides, the turnovers are relatively high: over 2M. That is above the trading average for the last 30 days. Looking further back in time, we might notice that the shares have gained 154% over the last six weeks, which is really amazing.
There are no fresh announcements issued by Alexander Nubia recently. In the lack of credible and official information, one might only guess what could have caused the present stock rush. It is not hard to arrive at the conclusion that this might be a speculative rise, driven by some investors who are eager to make quick profits from trading AAN shares.
Alexander Nubia is focused on the exploration and development of precious and base-metal deposits in Egypt, holding three projects there. In mid-December, the company declared its intention to commence a 7.500 metre diamond drill program at the Abu Marawat Concession, which will require substantial financing.[BANNER]
The latest Q3 2010 reports filed on SEDAR reveal the following trends compared to the relevant 3-month period of 2009:
- Cash and equivalents have jumped by 478% and amount $3.38M at the end of September 2010
- The net loss for the quarter is $99K, or up by 59%
- The working capital totals approximately $3M, compared to $463K in 2009
The figures show that Alexander Nubia has sufficient capital to meet its short-term requirements, but will need more funds for the financing of its properties and the completion of the mentioned diamond drill program. Having this in mind, we cannot be certain whether the shares’ surge will go on. Besides, a pattern resembling a bearish evening Doji Star has been formed on the chart.
