Noble Roman’s, Inc. (OTCMKTS:NROM) Takes A Step Back
Yesterday Noble Roman’s, Inc. (OTCMKTS:NROM) registered its first red session since its big announcement, and it was a bad one. But is its surge well and truly over?
One thing is certain – at least this time around, investors weren’t jumping all over NROM for nothing. However, truth be told, a 50% jump in market value might have been a bit of an overreaction to the news that the company has opened a restaurant in a Wal-mart in South California.
It should definitely be noted that said news caused such an uproar that NROM‘s market cap was pushed all the way up to $14 million – and that might just be a bit too high for a company whose latest financial report looked like this:
- Cash – $194 thousand
- Total current assets – $4.2 million
- Total current liabilities – $1.4 million
- Restaurant revenue – $42 thousand
- Net income – $347 thousand
Impressively enough, unlike many other OTC Markets penny stock companies, NROM is actually managing to break even, in spite of having very little in terms of cash – which is rather commendable.
Still, investors should also note that the company is not without its faults. For instance, one year ago, it issued a warrant that allowed its holder to purchase 300 thousand shares of NROM at a rate of $0.2 per share.
So, to answer the question that we asked at the beginning of this article – given all the factors pushing the ticker every which way, one can’t really be absolutely sure whether or not NROM could continue its surge or crash even harder.
Is what we witnessed yesterday a healthy pullback or the result of past shortcomings coming back to haunt investor value? Only time will tell.
