Ekso Bionics Holdings, Inc. (OTCBB:EKSO) Is Still Unstable

Ekso Bionics Holdings, Inc. (OTCBB:EKSO) looked like it had stabilized after its slide to $1.5 at the end of November, until yesterday’s trading session took the ticker 6.49% in the red again.

Anyone who’s done due diligence on EKSO knows that it is not just your regular OTC Markets medical company. For one, it is actually making revenues, and although sales are yet to make it profitable, it is clear that the company is far from idle. It seems to have a good management team and board of directors, and is improving it all the time. The addition of Mr. Stanley Stern as an independent director of the firm was certainly welcome news for many investors.

Its financial situation isn’t all that bad either. EKSO‘s latest financial report announced that it had a bit less than $12 million in total current assets, $7 million of which were in the form of cash on hand.

One thing is certain – the company may not be profitable yet, but it has enough cash to last for a long while, allowing it to develop until it is.

But EKSO’s lack of profits isn’t really its biggest problem. Dilution is. Why?

22.8 million warrants have been exercised in November 2014 at a price of $1 a piece. Although that does mean that the company has acquired another $22.8 million worth of funding, a simple number crunch shows that this is a dilution of more than 25% on that occasion alone.

Said dilution has been a cause for concern, but obviously investors don’t think things are bad enough for the ticker to be headed down for good – EKSO is already 4.86% up in early trading today.