Liquidmetal Technologies, Inc. (OTCBB:LQMT) Spikes On Rumurs
If you take a look at the past performance of Liquidmetal Technologies, Inc. (OTCBB:LQMT)’s stock you will see that it is quite prone to making sudden surges followed by longer periods of correcting. Still the impressive climb made during yesterday’s session stands out not only because LQMT added nearly 50% to their value but also because there is no apparent reason for it.
In mid-July last year the company made a similar rise on an even bigger scale thanks to its patent agreement with Apple Inc. (NASDAQ:AAPL). Back then rumors were hinting heavily that the amorphous alloy liquidmetal will be used in the making of the iPhone 5. It turned out that this could not have been further from the truth but LQMT have for the most part been able to sustain the gain in share price.
It is entirely possible that the same story is going on once again but this time concerning the features of the iPhone 6. A couple of articles on the web are even explicitly saying that liquidmetal will be profusely used and even though such claims cannot be verified at all at the moment investors went into a buying frenzy and close to 25 million shares were exchanged on the market. This number was 16 times greater than the previous session. As a result LQMT broke through the 25 cents per share mark and finished the day at $0.254.
It is important to note though that even if the alloy really gets used LQMT will not gain anything from it as the agreement grants Apple perpetual rights on it as long as they use it in the field of consumer electronics . On its own the company may find it hard to support these prices as they are still far away from profitability. For the quarter ending September 30 they announced the following financial results:
• $3 million cash
• $4 million total current assets
• $947 thousand total current liabilities
• $456 thousand revenue
• $6.7 million net loss
• $4 million total current assets
• $947 thousand total current liabilities
• $456 thousand revenue
• $6.7 million net loss
Thanks to the purchase agreement they signed in November LQMT can sell shares up to $20 million for the next 3 years. Although the deal is certainly beneficial for the company assuring the continued expansion of their operations investors should not ignore the amount of dilution that could take place. LQMT already increased their authorized shares from 500 million to 700 million last year.
Recently the company has added new manufacturer and sale representatives that may help them reach more potential customers. Coupled with the projects they are currently working on for example the canard created for Lockheed Martin it certainly puts the 
company ahead from most pennystocks. Still doing your due diligence should never be neglected especially when dealing with stocks that are moving on hype.
company ahead from most pennystocks. Still doing your due diligence should never be neglected especially when dealing with stocks that are moving on hype. And as we are talking about hype yesterday the marijuana industry-wide surge continued with even greater force. Creative Edge Nutrition Inc (OTCMKTS:FITX) doubled in price after skyrocketing by 204% to end the day at $0.012. GreenGro Technologies, Inc. (OTCMKTS:GRNH) are still gathering momentum and rushed upwards by 182% passing through half a dollar per share and stopping at $0.52 at the end of the day.
