mingusdew (99.29)

HYGS - What Gives?

June 30, 2008 – Comments (1) | RELATED TICKERS: HYGS

Has anyone been following this one lately?  They've run up over 100% in merely a couple weeks.

I started following them in late 06, and opened a position a little later when they took a dive around $1/share.  I always liked their position in the hydrogen industry, having been in the space for decades and focusing primarily on utilizing hydrogen for energy storage and battery backup systems (their deal with APC from a couple years back is what got me looking at them). I doubled down earlier this year around 50 cents, and have been waiting with modest skepticism for their profits to catch up with my wacky ideals.

Now that they've seen such a huge run-up in such a short period of time, I'm a little worried about the source of this price action.  It seems unprecedented in this market, especially since the only recent news I can find is this:

http://biz.yahoo.com/iw/080626/0410801.html

Great news no doubt, but this run up still has the skeptic in me questioning what else may be going on. 

Anyone else following this one?  Anyone out there starting to get spam emails about it (this is my main concern here, if people are getting spam emails about this one it's time to BAIL BAIL BAIL before the day is up). 

The most likely scenario is that it's due to high volume, as that news article seems to imply HYGS is on its way to becoming the defacto standard for consumer hydrogen stations (lofty goal, to say the absolute least).  This hype could explain the recent influx of trading activity.  Volume has been consistently above 1 million since the 19th, at least double previous year daily averages.  Today volume is at a staggering 6 million, according to scottrade.  I don't think I've ever seen this stock maintain such consistently high trading volume.

At any rate, I'm curious as to what the community thinks, and as to whether or not anyone has been receiving any pump-and-dump style emails about it.  

Depending, it may be a good idea to sell off and take the gains before it trends back down again, if the fundamentals end up too weak to support the hype.