Preventia (OTC: PVTA) is competing with other big-ticker stocks such as RIMM (NASDAQ: RIMM) or AirMedia (NASDAQ: AMCN). Currently, this small developmental company is sitting at an all-time 52-week high of about $3.00, a price significantly higher than its $0.13 opening price during the month of February. This new $3.00 high may not seem astoundingly high, yet for Preventia, it means a 488.24 percent rise in share prices, a stunt rarely attainable for even the top earners on the NASDAQ.
What Makes Preventia Special
This is actually a company in its developmental stage, working to improve cognitive and brain functionality through the aid of IT industry applications. This makes Preventia part of both the health and IT industry, since it specializes in building software tools to improve brain health and occupational performance in adults. The company thus hopes to prevent or reduce the large population suffering from Alzheimer’s or similar diseases, and to promote brain health and performance so that consumers can live healthier, happier lives.
The company performance is affected by general economic conditions, but also by consumer confidence and the trends of its direct competitors. Preventia began in 2010, but began seeing revenue streaming in during 2011. Currently, it holds a market capitalization of $4.72 million and is in week 52 of an all-time $3.00 high, with significant signs of remaining that way, at least in the near future.
Performance is reliant on acceptance by the end-consumer according to Yahoo Finances, and according to the Preventia yearly report, its products seem well received. Still, there have been recent executive changes that may affect the stock in a downward or upward spiral. The administrative changes are still relatively new, so it may be too early to see any significant change to the value of the stock.
Preventia is also somewhat concerned about future competition, which is currently minimized, that it expects to intensify. To prepare for this, Preventia has successfully distinguished itself from its competitors and continues to offer consistent quality, service, and efficiency in all of its services, tools, applications and operations.
Currently, there are no other known trends, demands, or uncertainties that could negatively impact Preventia’s financial condition or operating performance. It is very conceivable that the stock will continue on its upward trend (of course with certain daily fluctuations). Liquidity and revenues are not expected to significantly decrease or increase any time soon, making it a rare and stable penny market stock to invest in.
Although the future outlook for Preventia is clearly a positive one, the company specifies; “There is nothing to prevent normal business problems, delays or difficulties to arise…At any point these may turn up as an unanticipated problem which causes additional operating costs and expenses that may exceed our current budget estimates and competition.”
As far as analysts are concerned, Preventia is still riding pretty and will probably do so for a few more weeks. Now may be the perfect time to invest with hopes of experiencing a large gain in revenue.
It is certainly a stock to continue to watch to see if the rise continues. For a company with very few competitors, the outlook seems to be a positive one, and investors can feel confident with the stock that bears minimal risks.