Genspera Inc (OTCMKTS:GNSZ) Drops Further Down

[[tagnumber 0]][[tagnumber 1]]Genspera Inc (OTCMKTS:GNSZ) recorded an impressive performance in the final days of August and the beginning of this month and reached a 6–month high of $0.90 per share in the beginning of the past trading week.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]Unfortunately, as the volumes increased significantly we saw the ticker make a turn for the worst and it plunged for a new 52–week low of $0.52 by the final bell of Friday’s session. In fact, the company doesn’t have enough resources to sustain a high market cap. A quick look at the numbers in their report for the second quarter clearly shows that.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 9]] [[tagnumber 10]]cash: $121 thousand[[tagnumber 11]] [[tagnumber 10]]current assets: $202 thousand[[tagnumber 11]] [[tagnumber 10]]current liabilities: $3.13 million[[tagnumber 11]] [[tagnumber 10]]revenues: ZERO[[tagnumber 11]] [[tagnumber 10]]quarterly net loss: $1.53 million[[tagnumber 11]] [[tagnumber 20]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]As we have previously mentioned the company does have some positive results from a couple of cancer treatment products that are in Phase 2 trials. However, this is still too far from the commercialization of any of those products and the cash on hand is simply too small for [[tagnumber 24]]GNSZ[[tagnumber 25]] to continue operations as such.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]The company will most probably have to resort to toxic financing in order to continue its operations which would surely cause dilution. Earlier this year we saw [[tagnumber 24]]GNSZ[[tagnumber 25]] enter in a financing deal with quite the small discount, but future financing is still under question.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]This week also started rather badly and we saw [[tagnumber 24]]GNSZ[[tagnumber 25]] drop 9.62% in yesterday’s session to close at $0.47 with a total of 338 thousand traded shares that generated $165 thousand in daily dollar volume.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]The slower the trading gets, the more stable we see [[tagnumber 24]]GNSZ.[[tagnumber 25]] Today the ticker is 8.51% in just a few hours of trading and it might finally record a session in the green. That, however, doesn’t mean that you should skip on doing your due diligence and weigh out the risks before putting any money on the line.[[tagnumber 2]]