Yesterday, NutraCea (PINK:NTRZ) rose 5% to $0.17 after gaping up at $0.19 at the open. The trading activity was marked by a relatively high volume. The number of shares that changed hands reached 450 thousand, which is more than 2 times higher than the daily average.
The stock action in the last few weeks was mostly dictated by technical factors as the news sequence issued by the company had stopped more than a month ago and NTRZ was left to the whim of the daily tug of war of sellers and buyers.
Truth be said, it seems that it was mostly sellers who got the upper hand over the trade of NTRZ. The stock broke below the 200-MA, which showed serious weakness. The major technical indicators such as the MACD and the short-term moving averages have been supporting the bears throughout the whole month. [BANNER]
Nutracea is a company which processes and distributes stabilized rice bran. The company’s stock value at present is not as high as it was at the beginning of the year, but it is still higher than it was one year go. The market capitalization of NTRZ is $33 million, which represent the value which market participants attribute to the company.
However, NTRZ has reported a financial state which is far more shining than the market cap. In this regard, the company’s report show a net worth of $43 million and a cash position of $1.2 million. So, it is not certain if the market participants will decide to intervene and bring the market cap to its previous levels, or if the stock will continue to fall.
