World Moto Inc. (OTCBB:FARE) Gathers Momentum
For the past three sessions the stock of World Moto Inc. (OTCBB:FARE) has been able to add more than 3 cents to its price and as of yesterday’s close is sitting just shy of 10 cents per share. With 3.1 million traded shares and a dollar value of $300 thousand the company seems to be attracting the attention of the market and once again placed among the top traded stocks.
FARE describe themselves as the global authority in the motorcycle taxi industry thanks to their Moto-Meter. The device is supposed to help increase the regulation of motorcycle taxis all across the world but the company has been unable to commercialize it because the patent for the product is still pending. FARE have filed for patents in 61 countries but for now they have been awarded a patent only in Nigeria.
Maybe that is why they have shifted their focus and have been rapidly developing the so-called Wheelies. As the name shows this technology allows for the wheels on any motorcycle or automobile to display static images or streaming media which can be used as a rather unique advertising method. This idea certainly sounds promising and the optimistic sentiment among investors can be easily seen in the positive chart movement of the stock.
FARE have filed a patent application with the United States Patent and Trademark Office but more importantly the management of the company expects to receive its first commercial order during the Digital Sign Expo 2013 held in Bangkok, Thailand. The event took place two weeks ago but for now we have no way of knowing if the company indeed received an offer. If they don’t start generating revenues investors should expect more dilution in the near future.
In January the company did a private placement of 3,7 million of their common stock and managed to boost its cash by $1 million but according to the latest financial report they have already burned through most of the funds. The other financial results for the quarter ending September 30 are:
- $413 thousand cash
- $434 thousand total current assets
- $17 thousand total current liabilities
- ZERO revenues for the past two years
- $277 thousand net loss
They are keeping the amount of debt at negligible levels but the number of outstanding shares is getting closer and closer to the 500 
million authorized. With all that in mind investors should decide on a course of action only after doing their own research and weighing all the risks associated with the stock.
Yesterday the $600 thousand pump for Nevada Gold Corp. (OTCBB:NVGC) managed to push the stock up again after the devastating Monday session when the company crashed by 36%. Currently NVGC is trading for $0.4 per share with more emails touts coming daily.
