MagneGas Corporation (NASDAQ: MNGA) is having an incredibly strong start to the trading session this morning, and for good reason. The company issued a press release early this morning, announcing that it has generated record sales. As you could imagine, the news caused excitement among investors, sending the stock screaming for the top. Today, we’ll talk about the news, what we’re seeing from the stock, and what we’ll be watching for with regard to MNGA ahead.
MNGA Heads For The Top On Record Sales
As mentioned above, MagneGas is having an overwhelmingly strong start to the trading session this morning after announcing news with regard to sales. In a press release issued early this morning, the company announced that it generated record sales in the amount of $505,000 for the combined full-month operations of ESSI, Green Arc Supply, and Complete Welding of San Diego.
In the release, MNGA said that the figure represents the highest industrial gas and welding supply sales that it has seen throughout its history. The company said that the record growth was primarily due to recent acquisitions that expanded the Company into California, Texas and Louisiana. The company also saw strong continued growth in Florida. In a statement, Ermanno Santilli, CEO at MNGA, had the following to offer:
We are excited to see the immediate positive impact of our recent acquisitions… We acquired Green Arc and Complete Welding for access to the leading industrial gas markets in the U.S., as well as their experienced and strong local sales teams that have delivered excellent sales results for those businesses. In addition, we recently announced aggressive expansion of the sales teams in Texas and California, and we have implemented a comprehensive product training program to educate our newly acquired customer base on the benefits of MagneGas2®, the world’s only renewable metal cutting fuel. We have had strong recent results in San Diego, where we presented MagneGas2® to four existing clients, and all four placed orders, switching from acetylene to MagneGas2®. We expect to replicate this success at scale as we drive training, customer support and marketing campaigns to further enhance our growth in these new markets.
What We’re Seeing From The Stock
One of the first lessons that we learn when we start to dabble in the market is that the news causes movement. In the case of MagneGas, recent acquisitions have led to an incredible increase in sales. So, it’s no surprise that investors are excited and the stock is soaring. Of course, our partners at Trade Ideas were the first to alert us to the gains. Currently (10:02), MNGA is trading at $1.13 per share after a gain of $0.19 per share or 20.62% thus far today.
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What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will continue to keep a close eye on MNGA. In particular, we’re excited to see how the company’s efforts towards increasing sales both for their core business and recently acquired businesses pans out. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!
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