Since hitting a new high print of $1.95 in early June, investors have been shucking shares of Great Wall Builders (OTC: GWBU) faster than oysters at a New Orleans seafood bar. Though the stock has only been trading for three months, its price range is from the aforementioned high to a low of $0.052, which printed on Monday. On June 21, 2012, the stock plummeted 66% from $1.50 to $0.50. Shares have continued to slide since then with little hint of a bounce.
Today’s trading action mimicked recent sessions with the stock falling by 20% to close at $0.072. Share prices reached an intraday low of nearly $0.06 before rallying about a penny in the final two hours. The stock barely moved above the opening price of $0.09 at the start of the trading day before doing an all-familiar swan dive in the afternoon. The number of shares exchanging hands totaled 9.85 million compared to the stock’s average daily volume of 7.8 million.
In a note yesterday, Tech 24 reasoned the fall in Great Wall Builders’ share price is tied to the European market that it plays in. Tech 24 specifically cited unfavorable exchange rates and the impact of the European debt crisis as contributing to the recent demise of the company.
The stock appeared to get some relief from the selling pressure on July 16 when the company announced results from a fuel efficiency trial for its Start Feed units conducted by Cooperative Transporti di Riolo of Italy. The test showed the units could reduce fuel cost by 15%.
On June 27, 2012, Great Wall Builders announced another set of results that showed an average fuel cost saving of 8%. Apparently traders in both cases were less than impressed.
Today, the PennyStockProfessor put out a note on Great Wall Builders that said in part:
GWBU has developed a patent-pending fuel efficiency and emission device (FEED) called “Start” which is proven to lower fuel consumption as much as 15% and reduce emissions by more than 70%!
The “Professor” does not list any compensation for its promotion. A total of 528 promotions and newsletters can be viewed on Stockpromoters.com.
There were several mentions of Great Wall Builders on Twitter today. For example, Epic Stock Picks chatted about an epic bounce for the stock. Traders are wondering if tomorrow brings a bounce or just scrambled eggs on the cement.
Great Wall Builders is a developmental company that recently created a fuel efficient technology named Start Feed for combustible engines. The company claims the units can be used in both private and commercial vehicles. Great Wall Builders also offers environmental products like roof tiles and solar water heaters.