history is a large negative. this company has continually gotten to the brink of being a consistently profitable company and then has returned to negative earnings. WS has not let them forget this. i think the company will need to show 2 if not 3 positive quarters before the price can resume a steady climb above three. if they have two quarters where they handedly beat estimates or get in the $1.5-2.0MM range in earnings - it will be a different story. If they continue to limp along at 300-600K/quarter - it will be very difficult. Any big contract announcements that are accretive early in the $6-8MM (single contract - not multiple awards) will also provide quick traction on the stock price.
in the meantime, there are plenty of trading opportunities.
this should be the first quarter since the merger where there are no charges (had been running $750K/quarter I think) so that will provide a large boost to bottom line.
no negative from us Encorium is a research organization that takes care of data management and handles trials for the health care industry. Here's a positive: ENCO gets paid no matter what the results of the trial!