With the recent shoot up in the general stock market in the U.S., several penny cap stocks have been beneficial tremendously after they have been shot down pretty badly. Here are the top four gainers which have moved up more than 30% within the previous trading day.
Euro Tech Holdings Company (CLWT, Financial): Its stock price has moved from $2.56 to $3.71, creating a gain of nearly 45% within one day. Dated back a little further, it was $1.98 in the beginning of this month, and with this current price, the gain topped more than 87% within just two weeks' time.
CLWT is the distributor of a range of advanced water treatment equipment, laboratory instruments, analyzers, test kits and related supplies and power generation equipment. It acts as a distributor for manufacturers of those equipments to commercial customers, governmental agencies or instrumentalities in Hong Kong and China. CLWT is based in Hong Kong with 12 other offices in Beijing, Shanghai, Guangzhou and Chongqing. At this current price, the market capitalization is $29.3 million, generating negative P/E and negative P/B but at nearly three times the book value.
Columbia Laboratories (CBRX, Financial): Yesterday, it has made existing shareholders better off for more than a 34% increase in the stock price. However, it has quite a bit of fluctuation in the market place. On Jan. 10, 2012, the stock price was around $2.9, and it plunged to nearly $1 just a week later, and now it is closed at $1.47. CBRX is in the field of developing, manufacturing and selling pharmaceutical products which utilize the bio adhesive drug delivery technologies to treat various medical conditions. At the current price, the market values CBRX at 7.8x earnings, six times book value and having negative TTM operating cash flow. As like any pharmaceutical development companies, CBRX contains much of speculation factors in its stock.
Net1 UEPS Technologies (UEPS, Financial): Within a day, UEPS moved from $6.72 to $8.92, making the investors realize a gain of 32.74%. UPES is the company providing payment solutions and transaction processing services across a range of industries in many places. It has developed a smart-card based alternative payment system for the unbanked and under-banked populations of developing economies. UEPS has a history of generating consistent positive net income over time since 2004, as well as positive operating cash flow. At the current price, it is not so cheap at 27.4x earnings, 30% more than the book value, and 6.4x the level of operating cash flow.
Gentium SpA (GENT, Financial): After more than a quarter with little fluctuation in the stock price, yesterday it shot up nearly 30.6% in its stock price, moving from $5.72 to $7.47. GENT is the bio-pharmaceutical company focusing on development and manufacture of defibrotide, investigational drug based on the mixture of sing-stranded and double-stranded DNA extracted from pig intestines. The company is based in Italy. At the current price, the market values GENT at 27.8x earnings, 5.1x the book value and ridiculously high cash flow multiples, at nearly 44x. This company is still much in the development process, and contains high risk speculative factors, especially when it has been shot up at the very high price currently.
The sudden rise in the stock price certainly gave traders a lot of excitement. CBRX and GENT are really speculating games, and CLWT is not very intriguing at the first scanning look. As investors, I can only see UEPS as a candidate for investment. Nevertheless, at this price, it is not very cheap in relative measures. I would prefer UEPS to be down much more before I consider buying.
Euro Tech Holdings Company (CLWT, Financial): Its stock price has moved from $2.56 to $3.71, creating a gain of nearly 45% within one day. Dated back a little further, it was $1.98 in the beginning of this month, and with this current price, the gain topped more than 87% within just two weeks' time.
CLWT is the distributor of a range of advanced water treatment equipment, laboratory instruments, analyzers, test kits and related supplies and power generation equipment. It acts as a distributor for manufacturers of those equipments to commercial customers, governmental agencies or instrumentalities in Hong Kong and China. CLWT is based in Hong Kong with 12 other offices in Beijing, Shanghai, Guangzhou and Chongqing. At this current price, the market capitalization is $29.3 million, generating negative P/E and negative P/B but at nearly three times the book value.
Columbia Laboratories (CBRX, Financial): Yesterday, it has made existing shareholders better off for more than a 34% increase in the stock price. However, it has quite a bit of fluctuation in the market place. On Jan. 10, 2012, the stock price was around $2.9, and it plunged to nearly $1 just a week later, and now it is closed at $1.47. CBRX is in the field of developing, manufacturing and selling pharmaceutical products which utilize the bio adhesive drug delivery technologies to treat various medical conditions. At the current price, the market values CBRX at 7.8x earnings, six times book value and having negative TTM operating cash flow. As like any pharmaceutical development companies, CBRX contains much of speculation factors in its stock.
Net1 UEPS Technologies (UEPS, Financial): Within a day, UEPS moved from $6.72 to $8.92, making the investors realize a gain of 32.74%. UPES is the company providing payment solutions and transaction processing services across a range of industries in many places. It has developed a smart-card based alternative payment system for the unbanked and under-banked populations of developing economies. UEPS has a history of generating consistent positive net income over time since 2004, as well as positive operating cash flow. At the current price, it is not so cheap at 27.4x earnings, 30% more than the book value, and 6.4x the level of operating cash flow.
Gentium SpA (GENT, Financial): After more than a quarter with little fluctuation in the stock price, yesterday it shot up nearly 30.6% in its stock price, moving from $5.72 to $7.47. GENT is the bio-pharmaceutical company focusing on development and manufacture of defibrotide, investigational drug based on the mixture of sing-stranded and double-stranded DNA extracted from pig intestines. The company is based in Italy. At the current price, the market values GENT at 27.8x earnings, 5.1x the book value and ridiculously high cash flow multiples, at nearly 44x. This company is still much in the development process, and contains high risk speculative factors, especially when it has been shot up at the very high price currently.
The sudden rise in the stock price certainly gave traders a lot of excitement. CBRX and GENT are really speculating games, and CLWT is not very intriguing at the first scanning look. As investors, I can only see UEPS as a candidate for investment. Nevertheless, at this price, it is not very cheap in relative measures. I would prefer UEPS to be down much more before I consider buying.
