Yesterday, LQMT fell down by 12.28% and closed the session at $0.70 for a share. Trading volume was above the average, but still much smaller than that on Wednesday. It seems like it is again speculation on the company’s plans that makes the stock break up from time to time and get more volatile. Now the new resistance should be at $0.84 for a share and LQMT got successfully pushed up from the bottom since the beginning of this year.
The inclusion in the “Mid Day Update” of a stock promoter on Wednesday was probably more a consequence of the booming volume, however, not the reason for it. It looks like it is again the rumors about Apple’s plans to use in its products LQMT’s amorphous metal alloy called Liquidmetal what is behind the speculative surge of the stock, as a post on investorshub.com message board suggest. Liquidmetal Technologies strategy to keep silent on that issue has proven successful so far, or it may just have nothing to say as it is unknown if Apple has any plans whatsoever.
Of particular importance for investors is the amount of license fees that LQMT could get from Apple, though this is also a matter that can only be speculated upon. The new rumors from this week is that Apple will not use Liquidmetal’s technology for the manufacturing of iPhone, but instead for the March’s MacBook Pro refresh.
It is true that in the three months ended last September Liquidmetal Technologies increased its revenues by $13.1 million to $17.3 million thanks to the licensing and manufacturing of Liquidmetal alloys. Though, a danger for investors hides in LQMT large debts, which grew much stronger in that last quarter and are mostly convertible into shares of common stock.
