The stock price of HIGH PERFORMANCE (OTCMKTS:TBEV) recorded strong gains earlier in the week, but unfortunately failed to maintain its high market cap gains. On Tuesday, the stock declined more than 7% and extended the losses in last trading session. In early morning trade on Thursday, the stock is up 17% trading close to $0.00270, indicating that it is done with the technical pullback.

The performance

Keeping aside the stock performance on the chart, there is nothing substantial that company has in its name. The quarterly financial report for the three-month period competed April 30, 2015 revealed that in the name of total assets what company owns is just $308,000 in cash. However, the current liabilities amount to as much as $4.1 million. The net loss in quarter stood at $282,000 and revenue was zero. This horrendous numbers are enough to scare an investor performing due diligence before investing in OTC stocks.

The buzz

The stock of High Performance is one of the much hyped stocks of the week. Mr. McBride released boastful and obviously unrealistic statement that company is about to revolutionize the entire industry. How he intends to achieve that and complete with the mega firms like Monster Beverage Corporation (NASDAQ:MNST), PepsiCo, Inc. (NYSE:PEP) and The Coca-Cola Co (NYSE:KO) remains unclear.

The extended problems

The problem of High Performance doesn’t end at quarterly numbers and extends to its share structure that definitely deserves attention. A quick glance at report states that the company completed a one-for-ten reverse stock split at the end of February, reducing the outstanding shares count of almost 212 million.

However, as of June 18, 2015 the number has once again jumped to 2.2 billion. More than 80% of these shares were issued against conversion of toxic debt. Also, the company has increased its authorized shares count to five billion from 2.5 billion, which suggests more dilution can be recorded in near future.

Scott Coper

Scott Coper

Coper graduated from the University of Chicagi with majors in political science and journalism.