next 9.09% to its price. Along with the price jump, the traded volume of PRWP also increased by approximately 328 thousand shares.The only reasonable explanation on the current high trade must be the news about the recent research report on Pro-Pharmaceuticals. According to researchandmarkets.com, PRWP was presented as a company profile for all your requirements on the treatment of cancer and fibrosis. Looks like the report immediately intrigued investors and the climb has begun.
Pro-Pharmaceuticals, Inc. is pioneering the use of non-toxic carbohydrates for the treatment of cancer and fibrosis. At the beginning of November the stock grabbed the up move again on positive announcements, though its price moved down shortly. It turns out that every time PRWP gets down, it’s been pumped up by some good news and the stock is up again. The question is how long will the current up move resist?[BANNER]
According to the company’s quarterly report, its total assets are just a bit higher than the liabilities, while its stockholders’ equity has been decreasing. Meanwhile, as a development-stage company Pro-Pharmaceuticals has generated no revenues, though it has incurred an operating loss.
In November, PRWP was notified by the Internal Revenue Service it has been awarded a total grant of $489 thousand under the Qualifying Therapeutic Discovery Project Program for DAVANAT® and the GR-Series of anti-fibrotic, cirrhosis compounds. However, the company has received only $255 thousand so far with the remainder expected to be received next year.
The company’s report from March contained an audit opinion expressing doubt about its ability to continue as a going concern “for a reasonable period of time”. Presently, the management of PRWP believes they have sufficient cash to fund operations into the third quarter of 2011. However, the team still claims that “In light of our current financial position and the uncertainty of raising sufficient capital to achieve our business plan, there is substantial doubt about our ability to continue as a going concern.”
