PositiveID Corporation (NASDAQ:PSID) keeps moving up these days. The climb started two days ago, and yesterday the stock 
added another 0.38% to its price, on a traded volume exceeding 60 thousand shares.
The progressive movement is quite easy to be explained. As usual, it was due to supportive news and promotions.
The positive announcements started on Tuesday, when PositiveID released a mid-year update accompanied with its second quarter accomplishments for this year. Along with the company’s optimistic statements on its projects and opportunities, PSID reported it has entered into strategic financings for up to $13.8 million, with the potential to fund the company beyond 2012.
On the day after the news was published, PSID released another inspiring announcement. Yesterday, the company reported it has filed a patent for its glucose-sensing microchip system for patients with diabetes. PositiveID currently has five patents and patents pending surrounding the development of GlucoChip.
Apparently, the news has encouraged traders, though PSID made another step towards the top of the chart. This time by promotions. The campaign started yesterday and continues today focusing on the latest news by the company. The paying party for the alerts is Hanover Financial Services, who has been supporting PSID throughout the whole August by paying $40.000 to pump up its stock price. In any case, it looks like the usual strategy of PositiveID, considering its chart movement lately.[BANNER]
PositiveID Corporation is a developer of medical technologies for diabetes management, clinical diagnostics and bio-threat detection. According to its latest 10-Q report, PSID has more assets than liabilities, though its operating loss has increased, while revenues kept pointing $nil. At the same time, the company still expects to obtain some clearances by the FDA in order to launch products commercially next year.
As of June 30, PSID has had working capital of approximately $0.3 million and an accumulated deficit of approximately $75.4 million due to operating losses for the period, offset in part by capital raised through the preferred stock financings. Still, the management believes that its current working capital and our expected access to capital under the new financing agreement will provide sufficient funds to meet its working capital requirements through at least next June.
However, the company has been threatened by numerous risk factors that might lead to eventual delisting by the NASDAQ Stock Market. If delisting occurs, it could adversely affect the market liquidity of PSID common stock and harm its businesses.
