Will Lifelogger Technologies Corp (OTCMKTS:LOGG) Stop Sinking ?
For the past two months the stock of Lifelogger Technologies Corp (OTCMKTS:LOGG) has been on a continuous donwtrend. Coming down from its June 16 high of $0.562 the green sessions registered by the ticker have been far and few between indeed. In fact, after closing nearly 4% in the red at $0.2115 yesterday LOGG is now sitting over 62% lower. Is there a chance for a reversal though?
After several considerable delays on August 12 LOGG finally announced that their video management cloud based storage system has entered the private beta phase of its development. During the 90 days of the private beta 7,224 Private Beta users will be able to test the product. The impact the announcement had on the performance of LOGG‘s stock was almost non-existent – on that day the company closed with a gain of 0.12%.
There is a perfectly good explanation why investors were reluctant to jump right in and that is the horrendous financial state of the company. And when we say horrendous we really mean it – the latest financial report showed that as of June 30 LOGG had:
• $33 thousand cash
• $38.4 thousand total current assets
• $100 thousand total liabilities
• ZERO revenues
• $322 thousand net loss
For the first half of 2015 LOGG have not generated a dime in revenues while the net loss has surpassed $600 thousand. The company is in a dire need of fresh funds – according to the quarterly they estimate to incur expenses of $1.14 million in the next twelve months if they continue to pursue their business plans. In July LOGG sold a $200 thousand promissory note but that amount is not nearly enough to improve the company’s balance sheet. Despite its depressing state and the massive losses in stock price LOGG still command an overly-inflated market cap of $17.5 million.
Investing in the company is extremely dangerous. The Lifelogger software platform still needs months of beta testing. As for the wearable POV camera not even an estimated time frame has been given. Without anything to get investors hyped up the stock could find itself at even lower price ranges.
