Valence Technology, Inc., together with its subsidiaries, engages in the commercialization of phosphate-based lithium-ion rechargeable battery technology, known as Saphion. The company offers various Saphion technology-based power systems, including N-Charge and U-Charge. The N-Charge power system is a stand-alone tool that provides power for various portable electronic devices, such as a notebook computer, cell phone, and personal digital assistant. The U-Charge power system is offered as a replacement for lead acid batteries systems, which would be used in applications, such as electric vehicles, wheelchairs, scooters, robotics, marine, remote power, military, back-up, and various other devices. It markets its products through national retailers, distributors, and resellers, as well as directly through its sales force and Web site in the United States and internationally. The company was founded in 1989 and is headquartered in Austin, Texas.
It got me interested as I saw lot of insider buying and the chart is technically better then most in the same sector. I think its worth looking at by David.
Chart after ER
Citron Research attacked VLNC in point 1 and as usually they killed the stock:
(http://www.3stocksonfire.org/trading/index.php?action=dlattach;attach=45167;image)
Citron Examines Valence Technology (http://www.citronresearch.com/index.php/2008/04/09/)
Posted in Citron Reports by CitronResearch on the April 9th, 2008
Probably VLNC will be below $1 in 12 months time.
What amazes me is that a pump and dump, if well organized and made by the company itself, can make a stock rise three or four fold in a few months ... and many times sound fundamentals with earnings growth and good prospects take 10 years to make a move of the same magnitude. So, the pure guts and glory guy could have gotten 100%-200% fast profit in VLNC, where as I, being "fundamentally responsible" would have got nothing and maybe even lost money in a "sound long term pick".
There's more to the market than the fundamentals ... so, if I see a company trying to artificially pump its stock price, but in the early stages, I'll probably just go with it while there's positive momentum. Unfortunately VLNC's momentum was killed by Citron's report and the only way seems to be down now.