Following a prolonged period of downward movement, CMG Holdings, Inc. (PINK:CMGO) has started showing signs of reversing the trend.
Yesterday, CMGO put on one of its best market performances ever. Closing at $0.019 per share, CMGO not only went up a staggering 46%, but also set a new 12-week record. Due to increased investor interest, more than 1.7 million shares of common CMGO stock changed hands, which is twice as much as the daily average trading volume.
As a result, CMGO recorded its fifth positive session in a row, which paves the way for a clear trend reversal. Whether or not such a reversal will take place, however, will be fully dependent upon the company’s business development in the weeks and months to come.
Based in Miami, Florida, CMG Holdings, Inc. is a marketing communications company specializing in talent management, event management, as well as alternative advertising and social media marketing. To expand its business, the company seeks out potential acquisition candidates whose know-how assets could be utilized right away.
CMGO’s latest financial report covers Q3 of 2011. As of Sept. 30, the company’s financial condition is determined by:
- cash reserves of $250 thousand;
- current assets of $3.9 million, 83% of which in inventory;
- current liabilities of $7.73 million, bringing about a current ration of 0,5;
- quarterly revenue of $0.5 million, i.e 50% lower than the revenue accumulated in Q3 of 2010;
- net quarterly loss of $2.46 million vs. a net loss of $1.1 million a/o Sept. 30, 2010.
