The value of Zoo Entertainment Inc (PINK:ZOOG) stock dwindled after ZOOG broke the support at $1.2.
In the course of four trading sessions, ZOOG stock went down from $1.2 to $0.65, which is an overall decline of 45%.
Of all the four bearish sessions yesterday’s was the worst one. On a volume of 404 thousand shares, ZOOG slipped down by 25%.
The amount of short volume for the day was 36 thousand shares according to the data published on the official FINRA website. In other words, short transactions were 9% of the whole trading activity.
On Monday, the company published its last 10-Q report which indicated:
- a working capital deficit of $5.6 million
- $78 million in accumulated deficit
- $4 million net loss for the quarter and $19 million for the nine months ended Sept. 30.
There was a positive cash flow from operating activities of $7.7 million. However, it was generated mainly by account receivable and due from factor and inventory.
Apparently, the quarterly financial results has seeded the decline of the stock. What will concern investors most now is how long the devaluation will last, especially now that a new 52-week low has just been hit.
