Topic: How To Invest

Hi Pat. What are your thoughts on water stock H2O Innovation? Thanks.

Article Excerpt

A: H2O Innovation, $2.08, symbol HEO on the TSX Venture Exchange (Shares outstanding: 22.8 million; Market cap: $47.4 million; www.h2oinnovation.com), sells water-treatment systems that use membrane filtration technology. Its customers include municipal governments and companies in the energy and mining industries. Membrane filtration technology uses hollow-fibre membranes containing hundreds of billions of molecule-sized pores. While water molecules can pass through the barrier’s microscopic pores, the membrane physically blocks bacteria, parasites and viruses. That stops pathogens and contaminants from entering the clean water supply. Those blocked contaminants are left behind and get flushed from the system during a daily automatic cleaning cycle; the filtered water, on the other hand, moves on through the plumbing system. H2O has yet to release its 2016 second-quarter results, but in the three months ended March 31, 2016, its revenue rose 17.1%, to $14.2 million from $12.1 million a year earlier. The company…