nailed 300 million shares. Quite an impressive move, considering the fact that just a day before NUBL was flying down and its average volume totals about 16 million shares traded. The question is, what has caused this unusual change?The only reasonable explanation on the high trade appears to be the latest news by Numobile. The company started the new year with a series of positive year-end reviews and outlook presentations, including a review of the recent acquisition of Kruze Technologies, LTD in Kenya. According to the announcement, Kruze Technologies is the first of two acquisitions that have been planned to establish a foothold for NuMobile in Africa. The company also projects a $20 million revenue objective for this year.
Numobile was featured in three on-demand webcasts in December and intends to release two more presentations on Jan 6 and Jan 14 to discuss the plans for 2011 and to review its foundation-building operational performance in 2010.[BANNER]
After all these news, NUBL got the up move at last and succeeded to provoke investors’ interest. However, the future of the stock price cannot be predicted as revenues are yet only projections.
NuMobile, Inc. is building a global mobile computing technology portfolio of security and software solutions for the smartphone and mobile computing market. Last summer, the company used to trade significantly higher, however, since then the stock price has moved down. According to its quarterly report, as of 30 September, 2010 the liabilities of NUBL were more than 50% higher than its total assets and the accumulated deficit exceeded $11 million.
Compared to 2009, the revenues of Numobile have got higher, though if we consider the stockholders’ deficit plus all the losses and liabilities the company’s cash will not be enough to cover them. As a result, there’s a big concern about the company’s ability to continue operation.
The financial report of Numobile states that the management believes the company can continue to raise equity or debt financing to support its operations or find an acquisition candidate to complete a merger, however, this could cause additional dilution to the shareholders.
