The stock of Xinde Technology Co. (OTC:WTFS) surged 44% yesterday as it became involved in a paid promotional campaign. Today, this campaign is expected to continue. However, is WTFS bound for another big success?
WTFS closed yesterday’s session at $0.101, up $0.031, or 44.29% from its previous close, shifting a total of 3.85 million shares. Thus, WTFS scored a six-month record both in terms of market value and volume.
Shortly after the end of the latest session, a new promotional email in support of WTFS reached our database. As mentioned in the very email, WTFS enjoyed a ‘phenomenal’ run for the day, paving the way for a second move today. The disclaimer says that the promoter who sent the email got $30 thousand for providing coverage on WTFS stock.
WTFS is a Chinese enterprise focused on designing, developing, manufacturing and commercializing fuel injection systems, diesel engine and generator products. The company closed the fourth calendar quarter of 2012 with:
- $2.85M in cash;
- $140M in current assets vs. $58M in current liabilities;
- $19.75M in revenue and a net income of $2.82M.
With a D/E ratio of 0.62, WTFS is far from highly leveraged. The company could easily raise external capital when (and if) necessary.
