Friendable Inc. (OTCMKTS:FDBL) Takes Another Step Up
Friendable Inc. (OTCMKTS:FDBL) managed to claw its way another 10.53% up the charts on Friday – but how long can it keep this up?
Bibeypost reported a 95.17% drop in short sales in June, which pretty much means that it wasn’t shorter activity that pushed the ticker down for most of that month. So why hasn’t FDBL been able to make an upward run longer than three days, in spite of all the celebrity endorsement it has received?
Well, that’s the thing with the OTC Markets – exposure and PR can only create hype which manifests in explosive bursts that push a ticker so far up the charts. Unfortunately, said volatility can’t really support the ticker in question in the long run, and ultimately it is up to its achievements to date to keep it afloat.
And, suffice it to say that although FDBL may talk big, its documented achievements are not that many, or that impressive, at all:
- Cash – $19 thousand
- Total current assets – $300 thousand
- Current Liabilities – $2.5 million
- Quarterly Revenues – $11 thousand
- Quarterly Net loss – $1.2 MILLION
Those numbers hardly paint an encouraging picture – and it only gets worse once you start reading into the company’s filings more carefully.
Perceptive investors would have already noticed that FDBL is burdened with a lot of debt. That’s not exactly unusual on the OTC Markets pinksheets tier, but unfortunately, most of this particular company’s convertible notes come with discounts as awful as “50% of the lowest closing bid price (subject to a $0.004 ceiling price) for the common stock during the twenty (20) consecutive trading days immediately preceding the conversion date”.
So, at the end of the day, we have a couple of explanations as to why FDBL hasn’t been doing so well. Can it do better in the sessions to come? Only time will tell, but one thing is certain – investors should be very careful when dealing with FDBL in the near future, because underestimating its shortcomings could prove disastrous.
