NEW YORK (TheStreet) -- Shares of Gevo (GEVO) were gaining 7.7% to $5.04 on heavy trading volume Wednesday after the chemical products and bio-fuels company reported a smaller than expected loss for the first quarter.
Gevo reported a loss of 88 cents a share for the first quarter, above analysts' estimates of a loss of $1.20 a share for the quarter. The company reported earnings of $5.9 million for the first quarter, compared to analysts' estimates of $6.1 million.
"We continue to receive strong interest in licensing our isobutanol technology both domestically and internationally," CEO Dr. Patrik Gruber said. "We are making good progress in solidifying our relationship with Praj, which we expect will be very important in accelerating our licensing and development efforts."
About 5.1 million shares of Gevo were traded by 9:49 a.m. Wednesday, above the company's average trading volume of about 1.8 million shares a day.
TheStreet Ratings team rates GEVO INC as a Sell with a ratings score of E+. TheStreet Ratings Team has this to say about their recommendation:
"We rate GEVO INC (GEVO) a SELL. This is based on some significant below-par investment measures, which should drive this stock to significantly underperform the majority of stocks that we rate. The company's weaknesses can be seen in multiple areas, such as its poor profit margins and generally disappointing historical performance in the stock itself."
You can view the full analysis from the report here: GEVO Ratings Report