PCHM together with its Distributors are the sole source providers of the PharmChek® Sweat Patch used to detect drugs of abuse. For over 15 years, this device has been a successful and economical alternative to urine tests for cocaine, opiates, amphetamines, PCP and marijuana.
PCHM’s stock soared 133% in yesterday’s trading session reaching $0.07, its highest level since its deregistration in 2004.
Since its form 15 (deregistration) was filed in March of 2004, PCHM has not had any filings and has been self-liquidating its remaining assets. However, the sole remaining asset is the Sweat Patch Business which the company has not been able to sell.
In a letter to shareholders from the company’s website, the company provides financial information for its year ended 2013:
- Sales were $1,778,500, an improvement of 8% over 2012.
- Operating income was $130,792, up 132% over 2012’s level.
- Currently trading at P/E of 3.5 and below its Tangible book value of $0.22
It is unclear if the stock is being pumped, but with what looks to be only 5.8 million shares outstanding and improving financials, we will keep a close eye on potential third party promotional campaigns. We will try and take a closer look into the company’s capital structure for possible future dilution.