Super Conductor Technologies, Inc. (NASDAQ:SCON)
Nano-cap Superconductor Technologies, Inc. (NASDAQ:SCON) is receiving a lot of attention from traders today. The Austin, TX-based technology company was trading at $1.42 (+10.9%) on large volumes. The average daily trading volume for SCON is listed at 1.15 million shares but less than 20 minutes into trading SCON shares traded hands over 680,000 times.
With less than a $10 million market cap, Superconductor Technologies, Inc. (NASDAQ:SCON) does not trade in the options markets. However, that appears to not be deterring traders as enthusiasm for the stock today as trader chat rooms are abuzz with activity around SCON shares. SCON shares ended yesterday at $1.28, gapped up to open at $1.35 and reached $1.47 before retreating.
The 20-day and 50-day daily average price was breached when SCON opened on Monday. Both averages were about $1.17. The 200-day daily average is running around $2.08. The breech of the 20 and 50 day moving averages may well have been a trigger for traders to begin the large amount of activity today. However, SCON shares seem to be hitting some large selling activity above $1.40.
Superconductor Technologies, Inc. (NASDAQ:SCON) holds the patent for its Conductus super-conducting wire. It boasts 100 times the capacity of conventional copper and aluminum wire. This provides exceptional power efficiency for motors, generators, and medical equipment. Superconductor Technologies, Inc. (NASDAQ:SCON) holds over 100 patents and was formed in 1987.
HC Wainwright is the sole analyst covering Superconductor Technologies, Inc. (NASDAQ:SCON). It offers a rating of “Hold” for SCON shares. Long-term investors in SCON shares have had little to cheer. Although their EPS is improving YoY, it is still reporting negative EPS. In 2015 the figure was-$6.55. Sales are also trending in the wrong direction. In 2011 Superconductor Technologies, Inc. (NASDAQ:SCON) reported sales of $3.5 million. That number has trended lower each year and was just $200,000 in 2015. SCON share dilution has also been a shareholder nemesis. In 2011 there were just 110,000 SCON shares outstanding. That number steadily grew to $1.31 million in 2015.
|Last Price a/o 9:56 AM EST||$ 1.36|
|Market Cap (mlns)||$ 6.45|
|Shares Outstanding (mlns)||5.04|
|Share Float (mlns)||4.37|
|Short Interest Ratio||0.56|
I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 96 hours. All information, or data, is provided with no guarantees of accuracy.
About the author: James Marion is a University of Houston student studying Business with a concentration in Finance.