Axxess Pharma Inc (OTCMKTS:AXXE) Inches Up Again
It’s been a little over a month since Axxess Pharma Inc (OTCMKTS:AXXE) came up with some good news. On March 16, the company announced that it has received an FDA approval for the sale of some TapouT-branded products which, the management team said, will allow AXXE to distribute them both in the US and internationally.
The effects on the ticker were quite profound. In a matter of just two sessions, AXXE managed to run from just over $0.06 per share all the way to more than $0.16. It also registered some impressive volumes which showed that investors were truly excited about the news. And with good reason. The management team said in March 16’s press release that thanks to the FDA approval, they are hoping for revenues of around $2.5 million over the next twelve months.
Despite the blue-sky projections, however, AXXE‘s run didn’t last. On the very next day after hitting $0.16, the stock lost about 30% of its value and after a few more corrections, it found itself back under the $0.10 barrier.
At the end of last month, AXXE filed the 2014 report, and the statement didn’t really help with the stock performance. That’s probably because it contains the following figures:
- cash: $8,621
- current assets: $241,696
- current liabilities: $4,281,210
- yearly revenues: $76,797
- yearly net loss: $4,070,734
In the weeks following the report, AXXE‘s management team tried to breathe a new lease of life into the stock with a couple of press releases. A shareholder update with all the recent achievements was published on April 15, a new partnership was announced a day later, and last week, the company said that it has signed a manufacturing and marketing agreement with a Chinese manufacturer called 8E6Tong Private Company Ltd. The revenues from the agreement should start coming in during the third quarter and for the first year, they should amount to at least $525 thousand.
Neither of these things managed to wake the stock up, but where the management team failed, the promoters succeeded. The latest wave of emails started flooding investors’ inboxes after Monday’s closing bell and it came courtesy of Super Stock Tips and their affiliated newsletters who pocketed $11 thousand. As a result, AXXE experienced a rather wild and interesting session yesterday.
The ticker opened the day with a small gap down at $0.071, but it then started climbing and about an hour later, it hit an intraday high of almost $0.09 per share. Eventually, it settled down and it closed the session with a price of $0.085 (16% in the green) and a dollar volume of about $133 thousand.
This is still a far cry from the value reached five weeks ago, but it must be said that after Tuesday’s closing bell, Penny Picks as well as some of the other newsletters operated by Stellar Media Group LLC (who received $25 thousand) sent out a few more alerts which means that we might see some more movement today. Whether it will be in the right direction or not is for time to tell.
But can AXXE perform in the long run?
Well, as we have mentioned numerous times on these pages, AXXE has been promoted quite extensively in the past. One of the first campaigns took place in July 2013 and if you check out the historical records, you’ll see that back then, the stock was hovering around the $0.90 per share mark. We already told you where it is now.
