Borislav Tonev

Solarwindow Technologies Inc (OTCMKTS:WNDW) as Unpredictable as Ever

by Borislav Tonev March 17, 2015

Six months ago, Solarwindow Technologies Inc (OTCMKTS:WNDW, WNDW message board), the stock that was then traded under the NENE symbol, hit a 52-week low of $1.10 per share. The people who jumped in at those levels are probably pretty chuffed with themselves. At the moment, the ticker is hovering around the $2 mark which means that the profit opportunity is anything but small.

That said, WNDW hasn't exactly been a smooth ride.

Spikes in the right direction are, more often than not, followed by scary drops and the volumes are far from consistent. Take the performance from the last few weeks for example.

At the beginning of the month, WNDW came up with some good news which gave the stock (and the volumes it was generating) a rather strong push in the right direction. At one point, the ticker even started playing with the idea of registering a new 52-week high of over $2.50 per share, but suddenly, and with next to no warning, it ran out of steam. Days of heavy trading were followed by sessions of doing nothing and WDWN experienced some wild swings.

Even the new ticker symbol failed to stabilize the performance. It became effective a few minutes before March 12's opening bell and it did result in a couple of green sessions. Unfortunately, yesterday, the ticker stumbled for the umpteenth time and it lost about 16%, finishing the day at $1.97 per share. Today, it seems determined to regain some of the lost ground, but even if it does, it's fair to say that nobody can say for sure what it's about to do next.

So, unpredictability is definitely on WNDW's list of characteristics. But how do investors feel about it?

That depends on their agenda. The ones who want to trade the stock and make some quick and easy money are preferring to stay on the sidelines. Others, however, treat WNDW as a long-term investment. They don't seem bothered about the current volatility and they reckon that sooner or later, the company's potential will be appreciated.

It's up to you to decide whether you will side with the first group or the second one. Whatever your decision is, however, you might want to bear one or two things in mind.

You should probably take a good look at the latest 10-Q. As we've mentioned numerous times on these pages the balance sheet is not exactly perfect.

And while the management team is doing everything it can to patch it up, this means that the amount of warrants and debentures that can be turned into common stock is growing. This, by the way, is also something we've discussed in our previous articles.

Last but not least, you should consider one very important thing found on Page 8 of the latest 10-Q. It's a part of a sentence and it goes like this:

'...the Company has not generated revenues from its operations and does not expect to do so in the near future...'

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