I have a theory. This stock was recently on the Investor Business Daily (IBD) radar screen right in the middle of its latest 50% run up. Some momentum and day traders took positions for a little ride up.
This is a low float stock so a few thousand shares can move the stock multiple % up or down. So when we got near $28 someone either took a big short position or more likely a bunch of people decided to take some profits before earnings comes out next week. This moved the stock down a few % and that triggered some stop loss selling which made it tumble all the way back down to $23 which is about the price we were at before the IBDers jumped on the wagon. Any comments? Just a theory.
Bump in the road. Very nice quarter. Wish they guided the new conduit company for next quarter. Maybe something will be in the 10-Q. The joint venture sounds like it is doing great.
This stock is a long term hold stock. With the low multiple and the increased revenues year over year along with the joint venture and the conduit company, the future looks bright. Don't pay too much attention to short term moves, look at fundamentals and as long as revenues are growing strong, stick with this little gem.