Is Municipal Mortgage & Equity, LLC (OTCMKTS:MMAB) Going to Break
The stock of Municipal Mortgage & Equity, LLC (OTCMKTS:MMAB) has been doing good in the past 6 months registering a growth in its price of around 250%, but the last 3 days of trading were dreadful, as all of the trading sessions for MMAB ended in the red.
The drops that MMAB‘s stock experienced lately aren’t that big in percentage but they are constant and by now their stock’s price has fallen a total of 22% and continues to go down in today’s session. Yesterday they opened promising with a price of $1.38 per share, but that was the maximum that they could get for their stock. The price quickly started to descend and they closed at $1.24.
Today they opened not so far from yesterday’s close at $1.23, but as all of the previous sessions that was the high of the day. There is no way of knowing where it will go from now, but it seems that they will continue to slide down the charts even more as they have already dropped 19% in todays trading and are currently nested at $1.00.
MMAB were previously listed in the NYSE, but in 2008 they were delisted and their price dropped from $15 to $2 in just six months. For the moment, we can say that they are doing good, considering the fact that the ticker was jumping around the $0.40 mark and we might say that they are making a comeback. Most recent rade sessions however marked with above average volumes and a stady downfall of their stock price start to raise the alarm for investors.
You probably guessed that already that they have pretty decent financials for a company listed in the OTC Markets. For those of you who haven’t followed our coverage of MMAB we will take a quick moment to revise the numbers of prime interest from their latest financial report covering the first quarter of this year.
- cash: $57 million
- current assets: $1.8 billion
- current liabilities: $1 billion
- quarterly revenue: $23 million
- quarterly net loss: $2 million
As you can see they have pretty decent revenue and a good amount of cash on hand, which combined with assets of over $1 billion is a good sign. Their liabilities, however, seems to be weighing down and no one is quite sure if they are going to make it in the long run considering they have $1 billion liabilities that have to be paid in the next 12 months.
The facts indicate that even though MMAB have above average financials for an OTC stock they are a risky investment choice. Combined with the recent movement of their stock they don’t seem to prove that wrong, so be sure to do your due diligence and weigh out all the risks before investing in them.
On the other side of the charts is one Montalvo Spirits Inc (OTCBB:TQLA) who are going steady in today’s trading, but registered a good uplifting movement in the past 2 days combined with a decent volume. They are also traded above the 1 dollar mark at $1.040, but as we all know the session is still in its early hours and things might change until the close of this weeks market.
Another big comapny in the OTC Markets that has a working business is First Mariner Bancorp (OTCBB:FMAR), who after 2 days of closing in the red are finally starting to go up with a current price of $2.58 per share.
