On Friday the stock price of That Marketing Solution Inc (OTCBB:TSTS) posted its seventh consecutive session ending in the green. The share price added another 10% on Friday’s trading session to close the week at $0.46. It registered a new 52-week high of $0.469.

The momentum

Yesterday’s trading session was no different as the stock price gained more than 20% to close the day at $0.553. The gains came at a share volume of 1.97 million compared to average volume of 357,130. Despite the gains, the stock price displayed signs of hesitation as it is approaching some highly unstable price ranges. At the moment That Marketing has an overly-inflated market capitalization of $130 million, and therefore investors should be careful while investing in the stock.

The performance

The financial numbers as reflected in the latest quarterly report also calls for some caution. As per the report, That Marketing recorded cash of $771. The total current liabilities came at $228,000 and total current assets stood at $24,000. The revenue was zero with net loss of $62,000. The company announced its first production order of a micellized ingredient on February 23, 2015. As the company doesn’t have enough cash, it sold two convertible notes worth $275,000 to fund its operations.

The conversion

The ‘Notes’ can be converted into That Marketing shares at a conversion rate of $0.30. The company sold 26.8 million shares at a conversion rate of just $0.001 in 2013. The investment in the stocks gets even more risky when the ongoing paid pump is taken into account. The first pump mails started at the end of February. At the end of March, a new series of pump mails was introduced with more than 20 mails sent so far. The latest pumps were sent by the HSP group and they received $15,000 as compensation for promotion campaign.