Kaloyan Gadzhev

Healthient Inc. (OTC:SNAX) Bounced on Nothing

by Kaloyan Gadzhev November 24, 2011
9SNAX_chart.pngYesterday, Healthient Inc. (OTC:SNAX, SNAX message board) closed up, despite the lack of a solid reason for such a move.

At the end of the session, SNAX was up 26.32% at $0.24 per share. The volume was also above the average, reaching 945 thousand.

Prior to yesterday's surprise bounce, SNAX had several sessions of significant drops due to the filing of its 10-Q.

The report in question revealed that in the quarter ended Sept. 30 SNAX had managed to generate $70 thousand revenues and lose approximately $628 thousand. The 10-Q also shows that in the time from June 30 until Oct. 12 the company has diluted its stockholders by approximately 36%.

The company announced the launch of a product back on Nov. 7, but there has been no news after the 10-Q was filed.

The disappointing results, the lack of recent news, and the questionable reputation of the management all make yesterday's bounce illogical.

34SNAX_logo.jpgAccording to FINRA's files, more than 40% of the volume came from short sales, but this doesn't explain the price moving up. It just suggests some people expect SNAX to move in a different direction soon.

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