CAVU Resources Inc. (PINK:CAVR
, CAVR message board
) started getting attention from investors about two months ago. The company has been very active in its press release policy. The latest announcement may have had something to do with yesterday's performance.
The PR about the reduction of debt was published shortly, before the markets opened. CAVR gained 22.25% and closed at $0.0489 on 527,617 shares.
According to the company, it has managed to decrease its debt by $1.1 million through the sale of non performing assets and cancellation of equipment lease. The news was apparently welcomed by traders.
Another thing that may have factored in for the "green" close, is this promotional mail. The promoter discloses a $10 thousand compensation.
With or without the help of the PR and promotion, it seems the support that CAVR found recently at $0.04 held.
The management of the company has stated on more than one occasion it has set its sight on achieving profitability and reducing its liabilities, thus making the company a more attractive investment choice. If CAVR manages to do so, the returns could be very impressive.
However, until a new financial report is out, traders have just the annual report and some PRs to look at. It will be interesting to see if those will prove enough for a more substantial and lasting increase in the price.