This Monday, a stock promotion for Tootie Pie Company, Inc. (OTC:TOOT) took place in the form of an interview with Don Merrill, the CEO of the company. Surprisingly, no increase in traders’ activity has been noticed since then. What is more, the price has even decreased with $0.01 as yesterday`s session closed at $0.69. Now, it`s a common fact that stock promotions are not always successful. Besides, TPC stock has never attracted much attention as the volume of traded shares topped 100k only on several occasions during the past few years. Usually it has been between 5 and 20k per day. But there are also indicators in this particular case that may sparkle optimism among investors.
Tootie Pie Company, Inc was founded in 2005. As the name suggests, main line of business is the baking and sale of pies through three main channels: corporate, retail and wholesale. The company owns several Tootie Pie Cafes. According to Mr. Merrill, the company plans to open a few more in 2011 and in the following years. Since its inception, TPC stock has experienced both sharp declines and increases in its price. For example, though initially traded at $1 per share the stock began last year with bids and offers for as much as $0.10 per share. But, the fact of the matter is that 2010 was a very successful year for Tootie Pie. After January a slow but steady upward movement on the market can be seen and it continues up-to-date, bringing in a more than 600% value increase in twelve months. Ultimately, this meant that investors have been confident in the company`s future.
That said, it does not mean that the upcoming months and years are set to all positive developments and profits. Some investors who bought the shares a year ago and sold it this January surely turned up more than fine in terms of profits, but this does not mean that reverse scenarios are out of question. According to the last 10-Q report covering the first three quarters of last year the company had a net loss of $420 thousand for the period in question, coupled with a total net operating losses since its foundation in the amount of $2.4 million. It is actually up to reversing this numbers in order for the positive development on the market to continue and for the stock to reach $1 per share again. Otherwise, declines are certainly not out of question for the near future.
