Traders who have invested their money in Legend International Holdings, Inc. (OTC:LGDI) might face significant challenges in their quest for profitable transactions in the near future. Of course, this statement is based on LGDI’s market performance for the last four months.
Unfortunately, yesterday’s session proved incapable of performing miracles. On the contrary, LGDI continued to dig deeped and deeper. Thus, it closed the session at $0.50 per share, losing 5.6% in value and continuing the tradition of setting a new negative 52-week record every day. The decline in price occurred on a moderate volume spike as approximately 191 thousand shares of LGDI stock changed hands. The latter is a four-week high and almost twice as high as the average daily trading volume.
Apart from the PRE 14A form, which was filed with the SEC on Jun 10, LGDI has issued no updates for more than two months now. In addition, third parties have shown no interest in pumping LGDI stock via promotional campaigns recently. The latest non-paid trade alert dates from Apr. 8, when LGDI shares went up 8%.
Nevertheless, LGDI is an OTCQB market player due to its sound financial discipline. On May 6, the company published its most recent quarterly report. According to the 10-Q form, LGDI’s unaudited balance sheet showed the following figures as of Mar 31, 2011:
- $18K in cash vs. $25K in the previous quarter;
- working capital surplus of $19 thousand vs. $28K for Q4 of 2010;
- zero sales revenue for the last two quarters;
- net loss of $6 thousand as compared to $114K incurred in Q4 of 2010.
Seen from a financial perspective, the numbers mentioned above will hardly buck the steady downward trend of LGDI stock. To make a breakthrough, the company will have to reach a corporate milestone with a strong and commercially viable idea.
