Solar3D Inc. (OTCMKTS:SLTD) made good on the publicity thrown its way by the media after President Obama commended one of its clients last month.
As can be seen on the charts, the jump was quite spectacular, but what’s more impressive and a bit puzzling is the fact that SLTD actually managed to retain quite a bit of the market value increase it gained during the hype.
This turn of events is strange because a hype driven ascent usually lasts for a couple of days at most, after which the ticker is usually headed down – hard. Evidently SLTD has managed to captivate the investors’ attention and somehow prevent that from happening, although how the company did that is unknown.
Indeed, the ticker’s movement is nothing short of counter-intuitive – stock of companies with a tendency towards toxic funding and heavy dilution usually plummet as soon as the hype train grinds to a halt.
Investors should probably keep in mind that said crash could still occur, because although the acquisition of SunWorks has turned SLTD into an operating company, said subsidiary’s work is hardly enough to keep SLTD afloat.
To make the long story short – SLTD is still as risky an investment as ever.