SPYR Inc (OTCMKTS:SPYR) Moves Further up on News and Promotions
SPYR Inc (OTCMKTS:SPYR) first popped up on investors’ radars at the beginning of the year. Back then, the company was known as Eat At Joe’s Ltd and its revenues were coming from a couple of restaurants. The stock was traded under the JOES symbol and it was hovering around $0.20 per share. Things are a little bit different at the moment.
As you can see, the company now has a new name and the stock has a new ticker symbol. The eating establishments are still operational, but at the end of February, SPYR acquired a company called Franklin Networks Inc. and it branched out into the digital publishing business. Some people were a bit skeptical about the new subsidiary at first because according to Tennessee’s Secretary of State’s website, Franklin was established just seven months ago. Nevertheless, SPYR is trying hard to convince everybody that the daughter company is really going to bring value to the shareholders.
On April 16, a press release informed us that SPYR‘s first ever mobile game has been completed and predicted that the app will be available for download before the end of the quarter. Yesterday, however, in a rather surprising move, the management team said that Plucky is already available on Google Play.
So, the business seems to be going forward and the stock is definitely following suit. It was doing well enough under the JOES ticker, but when the SPYR symbol was approved, it really picked up the pace. Yesterday, it added a modest 2.6%, but it also hit a 52-week high of $0.85 per share. It logged a dollar volume of around $208 thousand and it closed the session at $0.78 per share which means that the year-to-date gains sit at 357%.
There’s some more good news. The 2014 10-K came out at the end of last month and it showed that SPYR‘s financial situation is not that bad. Here’s a summary of the most important figures:
- cash: $7 million
- current assets: $13.1 million
- current liabilities: $342 thousand
- yearly revenues: $1.4 million
- yearly operating loss: $4.2 million
Indeed, the operating expenses still exceed the revenues (which have grown by about 10% on a year-over-year basis, by the way), but hopefully, the new digital publishing subsidiary will help turn the tables around. It should also be noted that last year, SPYR eliminated of quite a lot of debt with the issuance of preferred shares.
Clearly, investors are excited about the results and the news coming from the company headquarters. They are not the only ones. Ticker Research issued a report on SPYR and said that “due to exceptional performance in the last two quarters and positive outlook moving forward”, they are placing a twelve-month price target of $1.40 per share on the stock. Here’s where a tiny little problem emerges, though.
Did Ticker Research really give their price target because of the financial results? Or did they do it because a third party called Cream Consulting paid them $2 thousand to write the report?
Only they can give you a definitive answer. You should probably bear in mind, however, that Ticker Research isn’t the only outfit touting SPYR at the moment. Over the last three weeks, we have received about thirty emails from various promotional newsletters. Some of them were paid for by the company itself, but the major part of the campaign was funded by third parties. According to our database, the total amount spent on the pump hovers above $85 thousand.
The more experienced among you probably know that this is a bit of a worry because, generally speaking, when someone is spending money on inflating a penny stock, things usually go pear-shaped. Make sure you bear this in mind while making your final investment decision.
