Equities have risen sharply in trading today following the debate between U.S. Presidential candidates Hillary Clinton and Donald Trump. Market sentiment has also been lifted by some robust U.S. economic data.
On the economic front in the U.S., a report showed that consumer confidence was higher than anticipated in the month of September. The housing market data was also more or less in-line with the consensus forecast.
But the market is mainly focusing on the Presidential debate. The market has reacted positively to the fact that Clinton did well in the debate.
Although the Presidential debate has had a positive impact on investors’ confidence in the U.S., most global markets edged lower in trading today. At last check, the S&P TSX Index, the benchmark Canadian index, was down 0.25%.
Shares of Canada-based Cencotech Inc. (TSX-Venture:CTZ) though are bucking the trend in the Canadian market. Cencotech is engaged in the business development and production of currency inventory management and control systems. The company's product currency controller, CC-32, is a 32-bit, Java-based iteration of the Currency Controller.
CTZ shares are gaining momentum after the company announced results of operations for the first nine months and the third quarter of fiscal 2016, ended July 31. Revenue for the third quarter was $711,778 as compared to $452,487 for the same period last year. Net income before tax for the quarter was $444,128 ($0.02 per share) as compared to $261,210 ($0.01 per share) for the three months ended July 31, 2015.
Revenue for the first nine months of fiscal 2016 was $1,768,086 as compared to revenue in the same period last year of $1,251,681. The Company recorded net income before tax of $860,744 (0.03 per share) in the nine months ended July 31, 2016 as compared to $649,522 ($0.02 per share) in the same period last year.
K. Barry Sparks, President of Cencotech, said that as reported previously, the Company is continuing to make progress in moving new product sales opportunities forward, particularly with respect to its Cirreon (SaaS) and related software offerings.
Sparks further said that the company is pleased with the progress being made and particularly with the market’s adoption of the Company’s Cirreon offerings and remains optimistic for increasing sales and profitability growth going forward.
At last check, CTZ shares were trading 38.67% higher at $0.52 on volume of 125,000, almost triple the daily average volume of 46,342. Also, with today’s trade, shares broke above a key resistance level at $0.40, a potential catalyst for a larger bullish breakout.
