Pennystock ENMD Breakout Breakdown

Was the break out of penny stock ENMD a justified swing to the upside or just short term short covering. ENMD's financial statement suggests the latter. The company invested a great deal in R&D while SG&A nearly doubled. ENMD has to get their spending under control. One bright spot was the companies improved gross profit. However, their gross profit was engulfed by their expenses. I believe it will be a while before we see a profit out of ENMD.