Titan Pharmaceuticals, Inc. (OTCBB:TTNP) Changes Direction
The hype generated by Titan Pharmaceuticals, Inc. (OTCBB:TTNP)’s seemingly optimistic press releases was short-lived and the company managed to register only 2 sessions in the green. In fact the stock moved exactly as we suggested in our article from yesterday and the correction came sooner than expected.
We can’t say that there was any big dumping of stock that could be responsible for the drop yesterday, as the ticker traded below its average volume of 862 thousand. The press releases that kept coming, also didn’t mange to stop the stock from dropping in price.
In the end of the day TTNP closed the session with a 11.49% loss in value, going from $0.949 to $0.84. The total amount of shares that switched hands was estimated at 592 thousand and generated $512 thousand in dollar volume.
Just before the start of today’s session TTNP issued a press release which contained some of the numbers from their latest quarterly report that is yet to be filed with the SEC.
- cash: $9 million
- total current assets: $13.8 million
- current liabilities: $12 million
- quarterly revenue: $2.1 million
- net loss: $1.1 million
If you have been following TTNP you would immediately see that they have 8 times less in net loss, compared to the same period last year, which is a good sign. The disturbing part from the report, however, is the fact that they have lowered their cash reserves by as much as 50% compared to the $18.1 million they had on hand for the comparable period in 2012.
They hope to make up for this with the $5 million financing from Braeburn Pharmaceuticals Sprl, which we mentioned in our previous article and for which the company issued 6.25 million shares of its common stock at a value of $0.80 per share.
After today’s market opened the company stock is still sliding down and by now has reached below $0.80, currently being traded at $0.785 per share. Nonetheless, the agreement is finalized and the appropriate filing is available in the SEC database.
Judging by this we might see a paid promotional campaign very soon. This is the exact reason for which we would advise you to do a lot of due diligence and weigh out the risks if you think of investing in TTNP.
Alkaline Waater Company, Inc. (OTCBB:WTER) on the other hand registered its first session in the green for a while yesterday with a 19% gain in price. Infinity, Inc. (OTCMKTS:IFNY) were not so fortunate and their stock dropped a whopping 53% in value.
