A couple of positive press announcements let the share price of Avatar Ventures Corp. (OTC:AVVC
) spike up again in the latest trading session. It looks like it is only based on technical indicators, however, as the company has not announced anything that would secure profits for its shareholders in the nearest future.
Yesterday's session closed with a 20% jump in the share price at $0.24. Trading volume was at least several times higher than the daily average and amounted 142,320 traded shares. AVVC chart shows that the stock price has started an uptrend, however, the company's fundamentals do not suggest that an increase in the value of AVVC is justifiable.
Over the last two days Avatar Ventured published two press releases aimed to raise again awareness for its stock which had been forgotten by traders for a while and moved within a trading channel. First, the company announced to have appointed a new president and director effective March 16, then yesterday AVVC said it were launching a suite of social media marketing tools through the company's newly founded division Avatar Social Media Agency.
AVVC stock holds now a market value of over $16.4 million, at the same time it has not reported any revenue yet and has no viable assets or cash at hand to justify such a market value. What is remarkable is that the company has reported no research and development costs whatsoever in the last four quarters, which raises questions about the technologies it claims to be working on.