This week FITT Highway Products Inc. (OTC:FHWY) looks strong on the chart, setting a new six-month high. Though the reasons behind seem to be paid promotions, not significant fundamental improvements within the company, the stock may attract further interest. 
Yesterday FHWY got promoted again and it hit the $0.15 level for a second time this week. The session closed then again at $0.13. Huge volume made the difference though as nearly 1.4 million shares were traded in just one day. That volume is the heaviest for the past two years. After reaching 15 cents the share price has now also no other resistances for the past half a year, next resistance could be at $0.17, whereas the 52-week high is at 0.20.
Two promoting websites have sent advertising e-mails for FITT Highway Products stock in the last two days. It looks like the promoters are part of a group and the total compensation received was $10,000 for a one-day campaign. Thus, that coverage should have already expired and the paying party could have already taken profit from the promotions. The e-mails contained the usual warning for traders that the paying third party might be holding shares and might sell them on the market any time.
Last Thursday, FITT Highway Products announced that its partner F.I.T.T. Energy Products Inc. will begin a trial to evaluate the impact of the “F.I.T.T. Energy With Resveratrol” energy shot on resting blood pressure. The two companies have an operating agreement for the production, marketing and selling of that product. F.I.T.T. Energy Products Inc. is supposed to pay 5 cents to FHWY for each energy shot sold.
FHWY partner is also supposed to bear all expenses around the production and distribution of the energy shots, thus the fact that FHWY had total assets for only $2,728 at the end of 2010 does not seem so disturbing. What is disturbing, however, is that no sales from the product have been reported yet and that the company had a lot of trouble with is debts and its former business in the past. According to the last 10-K, the company still has aver $4.85 million in debts, all of which current.
Previously, FITT Highway Products made energy shots under the tradenames Who’s Your Daddy® and The King of Energy®, which had basically the same formula as that of the new product. Apart from the name change, the company also states that the current product contains some additional ingredients that possibly have health and fitness benefits.
