Stay away from the actions of Evolva!

At the beginning of the year, I bought Evolva shares for 120,000 francs at a price of 0.33 francs. But I need money now for the purchase of my own home in January 2019. Since the course has fallen, I do not know what to do. What do you think of the title? Will the news expected finally give a boost to the title? J. G.

Everything is possible at Evolva: the stock can recover significantly in good news, but it can also fall even more if the company does not meet expectations.

From the highs of more than 1.86 francs in 2015, Evolva 's stock price has practically dropped only about 25 cents.

Evolva is what is called a penny stock, that is, a stock that has a very low value and that is quoted below a franc. In my opinion, it is pure speculative stocks with large price fluctuations, which should be left to investors.

It is quite possible that the price of the Evolva stock is getting back down, as the management has announced good news for the current year: the nutritional supplement producer and the l 39; High-grade stevia sweetener that comes from stevia The plant has made significant progress this year.

Management expects license revenues to be generated for the first time in 2018 with Ever Sweet stevia sweetener, although these will still be low. After all, it would be an important milestone after years of hope.

In any case, Evolva's partner, Cargill, started commercial production of Ever Sweet, according to the company. This partnership with food and commodity giant Cargill is critical to the future global marketing of stevia-based sweetener.

For the current year, Evolva has also promised significant growth in product sales. If this growth is really confirmed in the weeks and months to come, it will probably help Evolva's course to recover. But you have no guarantee for that.

The fact is, Evolva is likely to be in the red again this year. Already last year, the company wrote a loss that was even slightly higher than many had expected. Last year, Evolva made a loss of 39 million francs, after a loss of 35.8 million francs last year. After all, the loss is expected this year, according to the company data decline slightly.

It would also be good news, which could give a boost to the price – if the positive news really comes. In the past, investors have had to accept setbacks repeatedly, which is reflected in the price of the stock.

Since Evolva is exposed to strong fluctuations, the stock is popular with very short-term speculators. However, you must be aware that you are taking very high risks with this share. If positive expectations are not met and the high hopes in the Stevia sweetener can not or only too little be implemented commercially, it is entirely possible that you lose even more money.

Under no circumstances should large sums of money be invested in such actions, especially since there is therefore a huge risk of lumps.

I do not know if the good news expected with Evolva is coming anyway and the course is recovering. Since you write me that you need the money locked in the shares by January 2019 at the latest for the purchase of the house, you can consider if you want to go out gradually.

On the one hand you should cover yourself against other losses, on the other hand you do not want to miss a possible recovery. If you sell in installments, you have a good chance of not selling everything at the worst time.

If it was still going up, you are at least partially present. But if it drops even more, you have limited additional losses.

In general, however, I advise private investors not to invest in Evolva shares: the risks here are very high. Speculative securities are only suitable for people who can bear a total loss.