ChromaDex Corp. (OTCMKTS:CDXC) Climbs on Investment News
ChromaDex Corp. (OTCMKTS:CDXC) is one of the rare pharmaceutical companies in the OTC market that actually have a product that is generating revenues. Still unable to operate at a profit, the company has decent financials, which provide some security.
The stock has been moving around the $1 mark for a while now and made a good jump in price yesterday, after a review touting CDXC on Seeking Alpha that sounded more like a company press release.
The stock started climbing as soon as the news that Dr. Phillip Frost had invested in the company and CDXC closed the session with a decent 11.88% gain in price at $1.13. The total amount of shares that switched hands came to 855 thousand and generated $942 thousand in dollar volume.
Still, knowing the company financials, the market cap of $120 million that CDXC has, seems a bit steep. Have a look at the numbers of prime interest from their latest quarterly report, covering the period ended September 30 and be the judge for yourself.
- cash: $1 million
- current assets: $4.6 million
- total assets: $7.7 million
- current liabilities: $4.1 million
- revenue: $2.7 million
- net loss: $1.25 million
As you can see CDXC has a decent amount of cash on hand, but the revenues have dropped by almost a quarter, compared to the same period last year. There are also quite a lot of people commenting on the company and it remains unclear if the person who wrote the review on Seeking Alpha has received some sort of compensation for it.
There is one more question. Did Dr. Frost really buy 15% of the company? There is no filing about that and no press release from the company itself. This is the thing that makes the whole deal with the review seem a bit fishy.
In any case, be sure to do your own due diligence and weigh out the risks for yourself. After all CDXC isn’t exactly one of the cheapest stocks out there.
Makism 3D Corp. (OTCBB:MDDD) had a decent session yesterday, after the big drop from Tuesday. The ticker climbed 14% in price on quite a lot of traded shares. However, most impressive was the performance of Vitamin Blue, Inc. (OTCBB:VTMB) who climbed a whopping 160% in value.
