Georgi Kamburov

New 52-Week Highs For Jones Soda Co. ( USA ) (OTCMKTS:JSDA)

by Georgi Kamburov February 10, 2016

When back in November Jones Soda Co. (OTCMKTS:JSDA, JSDA message board) reported their financial results for the third quarter of 2015 investors were left quite disappointed. The negative sentiment can be clearly seen on the chart of the stock with JSDA sliding down to less than 40 cents per share. The last couple of weeks, however, have been nothing short of amazing for the company.

Although the daily gains have not been that impressive the uptrend displayed by the ticker has allowed it to not only recover all of its losses from the end of 2015 but to actually reach new highs. Yesterday JSDA closed the trading day with a gain of a little less than 2% at $0.53, which is still its highest close in over a year. During the session the stock actually spiked to even higher prices registering a new 52-week high of $0.5625 .

It should be noted that the upswing of the stock is not supported by a new press release coming from the company. In fact, the latest PR published by JSDA came on January 13 when they announced the launch of their new non-carbonated blended beverage brand, Lemoncocco. Usually the lack of a clear catalyst for the climb would be a serious red flag but JSDA is not one of the typical pennystock companies.

As we said their latest financial results may have shown some weaknesses but JSDA still finished the quarter ended September 30, 2015, with:

• $491 thousand cash
• $6 million total current assets
• $3.8 million total current liabilities
• $3.76 million revenue
• $179 thousand net loss

For the nine-month period the company generated $10.9 million in revenues, which is just $200 thousand below their result for the same period the previous year. At the same time, however, the net loss was reduced by over 50% - from $1.2 million to $575 thousand. JSDA has no toxic debt and minimal shares have been issued - between December 31, 2014, and January 31, 2016, around 600 thousand new shares have seen the light of day.

JSDA shouldn't be approached without the necessary due diligence, though. The fact that the company is still struggling to achieve profitability and the pressure on the stock after reaching its current price ranges should be taken into account before committing to any trades. 

Comments 1

1. Guest
February 18, 2016, 11:19PM

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