For Madison Ave Media Inc.(PINK:KHZM) it makes no difference whether you look at the chart for last week, last month or last year. It shows a steady decline in the stock price, although there is an occasional reverse of the negative trend at some points. Unfortunately, it never lasts long. The good news this week is that such a catalyst for reversal is in place. What the impact would be on the stock market, however, is yet to be seen. 
The catalyst in question is not the one you’ll find in the media, nor in SEC filings. It is in the mailboxes of interested parties. Another promotion for Madison came out yesterday, starting with “There is a difference between being different and making a difference”. It does not include any payments made for the newsletter, but it does include a great deal of information about Madison. The question still applies – is the positive trend from the beginning of the week going to last?
On one hand, past promotions from January did not really affect the price as the negative trend back then continued. On the other hand, there has been lots of information coming out of the company in the past ten days, which could make up for a run on the stock market this week. Last Tuesday, a new program was launched. Its impact on the balance sheet is yet to be seen, but at least there is a reason for hope. After all, it has been a glorious free fall from $1.8 per share last July to closing at $0.12 yesterday.
Yet, all press releases and promotions aside, the true objective factors lying in the SEC filings still show controversial results, to say the least. For example, the 10-Q statement with a period ending Feb. 28th this year that came out last Tuesday shows how much the net loss has increased on an annual basis, together with mounting liabilities and deficit. What it also includes, is the Going Concern section, where the reader can get acquainted with the strategy through which the company intends to seek financing for its operations. As mentioned, it would be through private placement of common stock. [BANNER]
On the other hand, this is a new company which tries to make its way through tough times, where most enterprises cut their marketing budgets as much as they can. In terms, both traditional marketing companies and innovative ones like Madison suffer from this loss of clients. But, what is true when the company was founded is true now – crisis or no, the niche market that this company operates in would grow in a rapid manner. In terms, the net loss this year could be nothing compared to the revenues for the next one.
It is a matter of smart management decisions and clearly formulated strategies for penetrating market segments. Indeed, Madison has a proper experienced team in place. Whether it will become a leader in the industry, however, is up-to-date a question of high uncertainty.
