UNDT closed the market yesterday at $0.0009 and reported a 10% decrease from the previous day close. One of the promoters that participated in the glorious March promotional campaign has put UNDT back on “HIGH ALERT” for today’s session. Compensation disclosure is still missing.
The sub penny share price at which Universal Detection Technology stock trades is maybe enough to expect again a three-digit percentage profit. Though, profit taking of the parties that pay for such promotions is possible again. One more aspect is that the promotional effects fade away over time and a subsequent promotional campaign within a short period of time rarely produces better results than the initial one.
In the case of Universal Detection Technology, the promotions are usually accompanied by press releases, even when the company has actually nothing new to say. Since the middle of March, the market is already aware of UNDT too ambitious, and judging by its current financial state unaffordable, plans to market a radiation detection technology in Japan. Since that time, UNDT has already announced a distribution and a collaboration agreement related to the issue, which looking at the chart did not make investors suddenly change their mind about the company and its potential.
That casts even more doubt on the future direction of UNDT share price, even though yesterday evening the company announced one more agreement to market radiation detection devices in Japan and Singapore. None of the announced deals has been filed with the SEC, instead UNDT filed recently a notification of late filing for its latest annual report on time. One cannot get rid of the feeling that the company keeps trying to profit from an environmental catastrophe and that its stock price could easily return back to its under $0.0005 levels as soon as the promotions expire.
