Elite Pharmaceuticals Inc (OTCMKTS:ELTP) Barely Holds Its Ground
tags: ELTP
After entering the year with a slide we saw Elite Pharmaceuticals Inc (OTCMKTS:ELTP) stabilize above the 30 cent per share mark and the ticker continued to move throughout the year, making small daily percentile movements.
This month, however, ELTP has become a bit more volatile and is swaying heavily in both directions. Meanwhile, the company market cap is still well above $200 million, with ELTP being one of the most stable OTC marketplace entities out there. A quick look at the annual report for the fiscal year ended March 31, 2016 reveals just why.
- cash: $11.5 million
- current assets: $16.7 million
- current liabilities: $4.65 million
- revenues: $12.5 million
- net loss: $683 thousand
Those numbers are pretty decent for a pennystock, but there are still some red flags surrounding ELTP. As we wrote in our previous article, there were a whole lot of shares issued under the current price of the company stock, even though it suffered crashing to its lowest price in about eight months of trading recently.
Since then it has managed to recover some of the losses that it incurred, but has been hesitating lately. The percentile movements at the end of last week were kept to a minimum and we saw ELTP close with a 0.94% gain in Friday, finishing the week with a price of $0.323, despite starting the session with a serious gap down.
Today we see the exactly opposite scenario. ELTP gapped up at $0.34, but is currently 0.62% in the red. In any case, you should be sure to do your due diligence and weigh out all the risks before putting any money on the line.
