Dallas, Texas 10/14/2013 (Financialstrend) – Since June of 2013, the lead battery maker Exide Technologies (OTCMKTS:XIDEQ) the price of its stock has rocketed up by up to 183%. The rally was kicked off when a United States Judge overturned a “State Department of Toxic Substances Control” April decision to close down Exide’s manufacturing plant sighting risk to public health. In June, the Judge ruled that the firm can reopen its battery manufacturing plant in California.
Exide had filed for bankruptcy protection under Chapter 11 on June 10. At that time of seeking court protection from debtor action the battery maker had accumulated debt of $1.14 billion as against total assets of $1.89 billion. The price of the stock plummeted to record lows before making a steady albeit slow recovery on the browsers over the past four months.
As of close of business on October 11, the shares of Exide executed a smart rally, managing to post a 4.55% increase in share value over its previous day close. Stock ended October 11 at $0.34 per share up from its previous day close of $0.33. Through the day, close to 0.47 million shares of the stock changed hands indicating reviving investor interest on the stock. At current valuations, the stock is trading 90% below its 52 week high valuation of $3.75 and is up 209% from its 52 week low pricing of $0.11 it had plummeted to when the chapter 11 filings became public.
On September 23, the company filed updates with SEC on the revised targets that the bankruptcy court had approved based on which the executives of Exide will get paid performance bonuses. A cursory look at the revised targets indicates executives targeting higher production and earnings over the next 12 months. The 3Q results will be released in November 11 and share holders of the stock would be hoping the results would further help revive the fortunes of the company.