Marcus Anderson

Marc has a degree in economics and a MSc. in Finance. Marc worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.
Biostage Inc. (NASDAQ:BSTG)

Biostage Inc. (NASDAQ:BSTG) Delisted As Financial Woes Deepen

Biostage Inc. (NASDAQ:BSTG)

Biostage Inc. (NASDAQ:BSTG) shares fell 52.4% after the NASDAQ Stock Market LLC said it will delist the stock for failing to meet the minimum requirements needed for continued listing.  Following delisting, the stock is to move to the OTCQB Marketplace, a transition that appears to have rattled investors.

Biostage Delisting

Delisting from the NASDAQ does not come as a surprise as Biostage has struggled to rise above $1 a share for the entire year. The stock has shed more than 80% in market value in 2017 and continues to trade in a strong downtrend.

Biostage first received warning of its failure to meet listing requirements late last year when the NASDAQ Market first took note of the company’s stockholding equity when it dropped below the required $2.5 million level. Things have gotten worse ever since, the stock having slumped from the $0.90 to current lows of $0.10 a share.

The NASDAQ Hearings Panel accepted the company’s request for continued listing on the exchange, subject to a number of conditions. However, failure of the company to meet some of the conditions over the past 180 days left the exchange with no other option than to proceed with the delisting.

Capital Woes

Delisting from NASDAQ is not the only problem that Biostage Inc. (NASDAQ:BSTG) is grappling with. The biotechnology company is facing significant capital issues as its financial obligations continue to exceed cash in hand.  Financial woes have been exacerbated by Pecos LLC’s decision to exercise rights it owns under a Securities Purchase agreement agreed in August.

Biostage Inc. (NASDAQ:BSTG) entered into a Securities Purchase Agreement with Pecos LLC pursuant to which the company was to purchase preferred stock and warrants. The transaction could have generated $3 million for the embattled biotechnology company, an amount that could have helped offset some of the financial challenges the biotechnology company is facing.

“The Company believes that it is not, and was not, in breach of the Purchase Agreement, and that Pecos’ notice was unjustified and without any legal merit or factual basis, and was delivered as a result of Pecos being either unwilling or unable to deliver the Purchase Price,” Biostage in a statement.

In its defense, Pecos LLC has accused Biostage Inc. (NASDAQ:BSTG) of a breach of its obligations pursuant to the agreement. Reports indicate that the firm was pushing for additional conditions that were not included in the first Purchase Agreement.  One of the conditions called for the appointment of Saverio La Francesca as the co-Chief Executive Officer.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

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About the author: Marc has a degree in economics and a MSc. in Finance. Over his 20-year career, Marc has worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.

Streamline Health Solutions Inc. (NASDAQ:STRM) Expands Relationship

Streamline Health Solutions Inc. (NASDAQ:STRM)

Shares of Streamline Health Solutions Inc. (NASDAQ:STRM) gained 75.82% after the provider of integrated solutions announced the sale of its cloud-based technology, eValuator. According to the Chief Executive Officer, David Sides, the sale builds on a strong relationship with a west-coast based audit service client that began in 2016.

eValuator Performance

Streamline Health Solutions Inc. (NASDAQ:STRM) is currently trading at all-time highs following the 75% gain. The stock is up by more than 80% for the year.

Streamline Health Solutions Inc. (NASDAQ:STRM)

EValuator is designed to help improve healthcare provider’s financial performance, by moving mid-to late revenue cycle interventions upstream. It also optimizes coding accuracy for every patient encounter, prior to submission. Improvement in coding accuracy allows providers to reduce revenue leakage, mitigate overbill risk and reduce denials and days in A/R

“It’s great to work with innovative healthcare providers that are truly committed to the health of the communities they serve and constantly looking for ways to improve overall financial performance as it funds their mission. With eValuator, our code auditing technology can help them further improve their financial performance by reviewing all coded patient records before they are billed,” said Mr. Sides.

Q2 Financial Results

Separately, Streamline Health Solutions Inc. (NASDAQ:STRM) reported revenues of $5.9 million for the three months ended July 31, 2017, representing a 20% decrease from $7.4 million reported in Q2 2016. Revenue for the first six months of the year was down 9% compared to the corresponding period last year.

Net loss for the quarter stood at (-$1.1) million compared to a net loss of (-$0.7) million reported last year. Net loss for the first six months of the year widened to (-$3.1) million compared to (-$2.2) million reported last year.

The sale of eValuator follows the sale of auditing services to four new clients during the second quarter. While the new contracts are small in terms of initial revenue contribution, Streamline Health Solutions Inc. (NASDAQ:STRM) should be able to grow its business ties with the clients.

“Our pipeline for our new Streamline Health eValuator™ remains robust. We closed a new client after the second quarter ended which we believe will be one of many throughout the second half of our fiscal year,” said Mr. Sides.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $STRM and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Marc has a degree in economics and a MSc. in Finance. Over his 20-year career, Marc has worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.

Real Goods Solar, Inc. (NASDAQ:RGSE)

Real Goods Solar, Inc. (NASDAQ:RGSE) Gets Boost from Dow Chemical

Real Goods Solar, Inc. (NASDAQ:RGSE)

Real Goods Solar, Inc. (NASDAQ:RGSE) stock is up almost 300% as the market enters the last half of the trading day. RGSE shares hit resistance around $3 in mid-day trading but have since been testing the $3.20 handle. Traders jumped on news from Real Goods Solar, Inc. (NASDAQ:RGSE) that they have signed a licensing deal with Dow Chemical (NYSE:DOW) for their Powerhouse solar shingles. Volumes have been immense. Should the trend continue throughout the day, RGSE shares will trade over 450 times their normal daily average of just over 142,000 – as of this writing, over 32.7 million shares have traded.

Real Goods Solar, Inc. (NASDAQ:RGSE)

DOW Chemical’s Involvement

In 2008, DOW Chemical started an R&D effort to produce shingles that could serve as a solar panel and be directly integrated into a roof. DOW’s first efforts were installed in over 1,000 locations in 18 states. Then, in 2015, DOW switched to a lower cost solar technology which, they believed, would be more commercially viable. The new technology also had the benefit of being more efficient.

DOW Chemical has patented the new technology and it is this technology that is being licensed by Real Goods Solar, Inc. (NASDAQ:RGSE). Real Goods Solar, Inc. (NASDAQ:RGSE) has agreed to absorb all commercial aspects of the deal including supply chain management, marketing, sales, installation and warranty. It is believed that sales will commence in the first half of 2018.

RGSE Stock

Real Goods Solar, Inc. (NASDAQ:RGSE) shares, adjusted for dilution, have been battered over the past two years. In 2016 they were trading over $100 and spent much of 2016 with their shares valued at twice those levels. However, for the past few months the solar energy based company has struggled to keep its share value above $1 – typically the threshold for being listed on the NASDAQ Market.

The past year has seen RGSE stock hit a high of over $86, and a low of $0.60. Performance has, accordingly, been weak as the past year shareholders have seen, prior to today, RGSE stock lose over 98% of its value. Sales growth was impressive from 2012 through 2014 as the figure rose from $44 million to $70.8 million. Unfortunately, the company posted a disappointing $17.4 million for 2016.

As the market cap for Real Goods Solar, Inc. (NASDAQ:RGSE) is under $20 million, no firm yet follows the company and no share ratings are publicly available. But with this deal, that situation could change when revenues start hitting.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $RGSE and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Marc has a degree in economics and a MSc. in Finance. Over his 20-year career, Marc has worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.

Aethlon Medical, Inc. (NASDAQ:AEMD) Offering Spooks Investors

Aethlon Medical, Inc. (NASDAQ:AEMD)

Aethlon Medical, Inc. (NASDAQ:AEMD) fell 37.7% after announcing the pricing of a public offering of 5.5 million units. Each unit comprises of one share of common stock and a warrant for the purchase of one share of common stock. The therapeutic technology company expects the offering to generate gross proceeds of $6 million.

AEMD Stock Performance

Aethlon Medical, Inc. (NASDAQ:AEMD)

The company intends to use net proceeds from the offering to finance clinical development of its product candidates as well as for working capital and other general corporate purposes. Investors reacted angrily to the public offering, sending the stock lower in the market.

Aethlon Medical, Inc. (NASDAQ:AEMD) has already broken a key support level after plunging to multi-year lows of $0.96 a share. The stock has underperformed the overall industry this year after losing more than 70% in market value.

Investors’ confidence in the stock has turned sour ever since Aethlon Medical, Inc. (NASDAQ:AEMD) reported a second-quarter net loss of (-$1.8) million. Operating expenses in the quarter came in at $1.16 million compared to $1.14 million reported last year. The company attributed the increase to an increase in payroll and other related expenses.

A move to raise more money through the public offering does not come as a surprise as the company exited the second quarter with cash and cash equivalent of $327,000.

Hemopurifier EPA Designation

Separately, The U.S. Food and Drug Administration (FDA) has granted the therapeutic technology company an Expedited Access Pathway for the development of Hemopurifier, for the treatment for life-threatening viruses.

The agency normally grants the designation to products that demonstrate the potential to address unmet medical needs, especially in life-threatening conditions. The designation is designed to reduce the time and cost needed for the regulatory approval of a device or drug

Hemopurifier is designed to capture a broad spectrum of viruses that are highly glycosylated including strains of influenza viruses, Mosquito-borne viruses, and hemorrhagic viruses.

“We are honored to have our Hemopurifier® designated to the Expedited Access Pathway and additionally are pleased that FDA has also allowed our proposed “indication for use,” which provides the possibility of treating a wide range of life-threatening viruses versus a single disease condition,” said Jim Joyce, Chairman and CEO of Aethlon Medical.

In addition, the National Cancer Institute has granted Aethlon Medical, Inc. (NASDAQ:AEMD) a contract award worth $229,250. Dubbed ‘Device Strategy for Selective Isolation of Oncosomes and Non-Malignant Exosomes’ the contract calls for two subcontractors to work under the therapeutic technology company.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $AEMD and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Marc has a degree in economics and a MSc. in Finance. Over his 20-year career, Marc has worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.

Aehr Test Systems (NASDAQ:AEHR)

Aehr Test Systems (NASDAQ:AEHR) Receives $2.7 Million Purchase Order

Aehr Test Systems (NASDAQ:AEHR)

Shares of Aehr Test Systems (NASDAQ:AEHR) gained 11% after the worldwide supplier of semiconductor test and burn equipment announced a $2.7 million follow-on order. The purchase order is for the supply of the company’s OX-XP system, multiple DiePak® Carriers. In addition to the $2.7 million order, Aehr Test System has reported a 31% increase in Q1 revenue.

AEHR Stock Performance

Investors reacted to the news by pushing the stock to $3.52, which happens to be a key resistance level, in a falling trend line. Should Aehr Test Systems (NASDAQ:AEHR) rise above the $3.60, it could make a push to $4, which happens to be another key resistance level.

While Aehr Test Systems (NASDAQ:AEHR) is up by more than 10% for the year, it is still down by more than 30% from its April highs of $6 a share. The stock has been trading in a downtrend in recent months after struggling to rise above the $5 a share mark.

Aehr Test Systems (NASDAQ:AEHR)

The $2.7 million order should strengthen investor confidence on the stock as it continues to bounce back from multi-year lows.

The contract validates FOX –XP system unique capability of delivering thousands of test resources that has made it appropriate for volume test/burn in production.

“We are excited to receive these additional follow-on orders from this large multinational customer for their production test/burn-in requirements. The new orders build on an existing device test/burn-in implementation at this customer now moving into volume production, which continues to expand our production presence for multiple generations of devices,” said CEO Gayn Erickson.

Aehr Q1 Earnings

The $2.7 million FOX-XP orders follow reports that Aehr Test Systems (NASDAQ:AEHR) generated net sales of $7 million for the first quarter of 2017, up from $5.3 million reported the previous year. Non-GAAP net income came in at $226,000 or $0.01 a share compared to a net loss of (-$436,000) for the corresponding period last year.

During the quarter, the company received a $900,000 order for the supply of additional testing capability and power handling capacity to test and burn-in new silicon photonics. Late last month the company announced a volume production order worth more than $3 million

Taking into consideration the $2.7 million order, Aehr Test Systems (NASDAQ:AEHR) entered the second quarter with a backlog of $18 million.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $AEHR and receive breaking news on other hot stocks by signing up for our free newsletter.

About the author: Marc has a degree in economics and a MSc. in Finance. Over his 20-year career, Marc has worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.

Massive Bounce for Zynerba Pharmaceuticals Inc (NASDAQ:ZYNE)

Zynerba Pharmaceuticals Inc (NASDAQ:ZYNE)

Zynerba Pharmaceuticals Inc (NASDAQ:ZYNE), a clinical-stage specialty pharmaceutical company, announced positive top line results from an open label exploratory Phase 2 Trial. ZYNE shares are up over 70% from yesterday’s close of $6.19 and have reached as high as $11.28 in early trading. Volume for the biotech firm’s shares is exceptionally heavy. Typically ZYNE share will trade almost 65,000 shares per day, however over 815,000 shares exchanged hands just thirty minutes into today’s trading session.

Zynerba Pharmaceuticals Inc (NASDAQ:ZYNE)

Industry Reaction

Steven Siegel, MD, PhD Professor and Chair, Psychiatry and Behavior Sciences, Keck School of Medicine of USC. “Fragile X is a challenging genetic autism spectrum disorder, with complex symptomatology that significantly impacts patients and their families. Many children with Fragile X and their families struggle with the lack of approved drugs to safely treat their symptoms. This study suggests that ZYN002 is ready for the next phase of development, and I believe that this drug holds great promise as a potential treatment for these very difficult-to-treat symptoms.”

ZYNE Stock

Zynerba Pharmaceuticals Inc (NASDAQ:ZYNE) stock has greatly underperformed both the indexes and industry this year. YTD, ZYNE stock was down over 60% and down over 66% for the quarter. What will be of note to traders is the action of the large number of shares held short – over 20% of the number of outstanding shares is represented by short sellers.

Roth Capital recently upgraded their ratings of ZYNE stock from a “Neutral” to a “Buy”. Six other investment firms downgraded Zynerba Pharmaceuticals Inc (NASDAQ:ZYNE) shares in 2017.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $ZYNE and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Marc has a degree in economics and a MSc. in Finance. Over his 20-year career, Marc has worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.

Immune Pharmaceuticals Inc. (NASDAQ:IMNP) Positive Phase 2 Trial

Immune Pharmaceuticals Inc. (NASDAQ:IMNP)

Immune Pharmaceuticals Inc. (NASDAQ:IMNP) shares jumped 16.67% after the company announced positive preliminary results from a Phase 2 trial of moderate to severe bullous pemphigoid. Clinical trial results indicate that the company’s candidate drug bertilimumab reduced total activity score of the condition by 85%.

Immune Pharmaceuticals Inc. (NASDAQ:IMNP)

IMNP Investor Reaction

Investors reacted to the news by pushing the stock to $2 a share before it dropped to end Wednesday’s trading session at $1.40 a share. The rally came at the backdrop of a strong selling pressure that has engulfed the stock for the better part of the year.

Immune Pharmaceuticals Inc. (NASDAQ:IMNP) stock has underperformed the overall industry after shedding more than 50% since January. The company has already received a notice from the NASDAQ Capital Markets warning of a potential delisting from the exchange.

NASDAQ Compliance Warning

According to the NASDAQ, the company is no longer in compliance with the minimum equity requirement after stockholder’s equity dropped below $2.5 million. Immune Pharmaceuticals has also been taken to task for not meeting compliance rules requiring a minimum market cap of $35 million and a net income of $500,000.

Immune Pharmaceuticals Inc. (NASDAQ:IMNP) has since been given until October 6, 2017, to submit a plan on how it plans to regain compliance. Failure means it could be delisted from the exchange.

Bertilimumab Prospects

Positive mid-stage clinical trial results for severe bullous pemphigoid appears to have shrugged off concerns about the company’s woes. Focus shifting to the company’s candidate drug for the condition bertilimumab could help strengthen the company’s sentiments on Wall Street.

“If bertilimumab can substantially reduce or perhaps even eliminate the need for systemic corticosteroids in the treatment of bullous pemphigoid and their significant toxicity in this elderly population, it will be a major step forward in the management of what is the most common blistering disease,” said Dr. Neil Korman.

According to Chief Executive Officer, Elliot Maza, the positive preliminary results validate Immune Pharmaceuticals Inc. (NASDAQ:IMNP) strategy of focusing human capital and financial resources on the candidate drug. The company plans to enroll 12 to 15 patients into a Phase 2 Open-label BP trial as it continues to develop the novel treatment.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $IMNP and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Marc has a degree in economics and a MSc. in Finance. Over his 20-year career, Marc has worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.

Genocea Biosciences Inc. (NASDAQ:GNCA) Slumps 76%

Genocea Biosciences Inc. (NASDAQ:GNCA)

Genocea Biosciences Inc. (NASDAQ:GNCA) shares slumped 76.5% after the biopharmaceutical company said it was shifting its drug development focus. The Cambridge, MA-based company is shifting its focus to immuno-oncology to focus on the development of neoantigen cancer vaccines. Pursuant to the corporate restructuring, the company has also announced plans to trim its workforce by 40%

GNCA Stock Implosion

News of the proposed changes did not go well. GNCA stock plummeted to multi-year lows. GNCA stock is currently trading at the lower end of a $1.23 – $1.99 trading range.

Genocea Biosciences Inc. (NASDAQ:GNCA)

Genocea Biosciences Inc. (NASDAQ:GNCA) management team is putting a brave face after feeling the wrath of Wall Street. According to the Chief Executive Officer, Chip Clark, the company remains well positioned to come up with neoantigen cancer vaccines which should spearhead the next phase of growth and generate shareholder value.

The change of focus means the company will no longer develop its genital herpes treatment GEN-003 which was in late-stage clinical trials. However, the company plans to initiate a Phase 1 clinical trial of GEN-009, in the first half of next year, for the treatment of a range of tumor types.

“With our research and development efforts now focused entirely on neoantigen cancer vaccines, we believe the power of ATLAS to identify the right vaccine antigens, combined with our vaccinology expertise, gives us the opportunity to create value for our shareholders,” said Mr. Clark.

Genocea Workforce Reduction

The proposed 40% workforce reduction should be complete by the end of the third quarter leaving the company with about 55 employees. The reduction is part of a cost-saving strategy in which Genocea Biosciences Inc. (NASDAQ:GNCA) expects an annualized savings of up to $65 million on personnel-related costs. The company is also estimating one-time severance and related costs of about $1.1 million.

The proposed restructuring comes after the biopharmaceutical company posted second-quarter earnings that fell short of Wall Street expectations. For the three months ended June 30, 2017, Genocea Biosciences Inc. (NASDAQ:GNCA) posted a net loss of (-$15.4) million or (-$0.54) cents a share. Analysts were expecting a net loss of (-$0.46) cents a share.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $GNCA and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Marc has a degree in economics and a MSc. in Finance. Over his 20-year career, Marc has worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.

Helios and Matheson Analytics

Helios and Matheson Analytics Inc (NASDAQ:HMNY) Still Booming!

Helios and Matheson Analytics Inc (NASDAQ:HMNY)

Helios and Matheson Analytics Inc (NASDAQ:HMNY) stock is up over 25% this morning on heavy volumes but without any accompanying news that could affect future earnings. HMYN stock closed Friday at $6.97 and gapped up to open at $7.72 before hitting an inter-day high of $9.60 – at the time of this writing, 11:17 AM CST, HMNY stock is trading around $9.00.

Helios and Matheson Analytics Inc (NASDAQ:HMNY)
One month HMNY stock price chart

On September 18, 2017 Stock News Union reported that Helios and Matheson Analytics Inc. (NASDAQ:HMNY) was a big mover after its latest acquisition, MoviePass Inc., announced it had surpassed 400,000 paying monthly subscribers over the last 30 days. The stock rallied 39.54% to end that week’s trading session at a high of $3.67 a share. At the time of the article, Mitch Lowe, co-founder of Netflix Inc. (NFLX), former president of RedBox, and current CEO of MoviePass said in a press release, “MoviePass is the ‘all-you-can-eat’ movie theater experience. Though expensive for the company in the short-term, it’s a significant benefit and more convenient for customers. With MoviePass, there’s no movie ticket prices to think about — going to the movies will become an everyday experience rather than an occasional treat.”

Clearly investors are in love with Helios and Matheson Analytics Inc (NASDAQ:HMNY). Year-to-date, HMNY shares are up over 111%, and up over 180% for the quarter. While trading well above their 52-week low of $2.20, they are still trailing their 52-week high of $13.15. HMNY shares have a Relative Strength Index (RSI) figure of over 87. Traders would agree that such an RSI level is a clear “overbought” signal for those that rely on such indicators.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $HMNY and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Marc has a degree in economics and a MSc. in Finance. Over his 20-year career, Marc has worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.

Tintri Inc. (NASDAQ:TNTR)

Tintri Inc. (NASDAQ:TNTR) Hit With Lawsuits After Q2 Revenue Miss

Tintri Inc. (NASDAQ:TNTR)

Shares of Tintri Inc. (NASDAQ:TNTR) fell 16.67% as investors reacted to disappointing second quarter earnings that failed to meet Wall Street expectations. Law firms have since lodged class action lawsuits, arguing that the company provided misleading statements in the run-up to its IPO.

Tintri Inc. (NASDAQ:TNTR)
One month TNTR stock price chart

Investors Reaction

Tintri Inc. (NASDAQ:TNTR)’S sentiments on the street have turned sour ever since it became a public company. Sellers appear to be in full control of the stock as it continues to trade at the lower end of a $2.90 – $3.61 trading range. The stock is currently trading in a downtrend as it continues to hit lower lows.

Given the strength of the selling pressure, the stock could register a new 52-week low after losing more than 40% of its IPO share value. One of the reasons the stock is receiving a lot negative news is its failure to meet second quarter guidance even as revenues grew by double digits.

Tintri Inc. (NASDAQ:TNTR) develops and markets an enterprise cloud platform that combines cloud management software and a range of all-flash storage systems. The platform is designed to provide cloud service providers as well as organizations, capabilities for managing data centers and public cloud services.

The enterprise cloud provider reported revenues of $34.9 million for the second quarter. While revenue was up by 27% year over year, it came in at the lower end of the company’s guidance, a performance seems to have spooked investors fuelling the sell-off wave.

Tintri Inc. Defense

A bid by the CEO, Ken Klein, to try and tout areas where the company performed extremely well in Q2 has done little to revitalize investor’s sentiments on the stock.

“We remain confident in our competitive position and in the strength of our value proposition. In the quarter, we received the largest order in the company’s history and added new enterprise logos. Additionally, we experienced continued momentum in our land-and-expand strategy with more purchases from current customers,” said Mr. Klein.

During the company’s second-quarter earnings conference call, the Chief Executive Officer attributed the lower than expected Q2 revenue to distraction, disruption, and sales attrition during and after the IPO.

Tintri Inc. (NASDAQ:TNTR) stocked plunged 31% to close at $4.55 in the wake of the CEO sentiments, something that law firms argue could not have happened had the company provided accurate statements.

Law firms led by the likes of Khang & Khang LLP and Rosen Law Firm have lodged investigations into whether the company provided misleading statements in the run-up to its public offering.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $TNTR and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Marc has a degree in economics and a MSc. in Finance. Over his 20-year career, Marc has worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.