Advaxis, Inc. (OTC:ADXS) Erases a Week of Gains

The stock of pharmaceutical companies is extremely sensitive to forward-looking news and anything that takes a promising drug closer to market boosts their price. This time, however, Advaxis, Inc. (OTC:ADXS) fell more than 26% on high-volume selling. Trading at $0.05, the ticker is currently promoted and may see several spikes in the next few days. For now, ADXS only managed to erase a week of gains. ADXS1115.png

Advaxis went ahead for a week after announcing it would present at the sixth annual One Med Forum. Another press release added to the climb, when mentioned the stock in its preview, along with several other very active tickers. VSYS0115.png

Advaxis aims to develop a range of vaccines to aid the body’s resources against widespread types of cancer. As the development of new drugs is a long and costly process, the company is under significant financial strain:

  • $558,442 cash
  • $4.8 million total assets
  • $15.8 million total liabilities
  • $4.26 million net loss
  • $35.5 million loss since company’s inception

The debt-financed developer has nine different therapies in trial, but final approval and marketing may still be years ahead. The forward-looking statements for selling high-tech vaccines are only a best-case scenario for the company.

To the advantage of Advaxis, several of the best US-based research centers help with the development of vaccine-based treatments.

The past year was bad for the ADXS stock, with a stable downward trend, coming down from 18 cents to all-time lows of below one cent. The new attempt at a higher level started with a paid promotion by Quality Stocks, with a budget of $15,000. The pumper usually takes $35,000 on average to hype its picks and has a long past record for campaigns. The ADXS is touted as “pick of the week” so we may expect more attention and a few more good days for this ticker.

The picks of Quality Stocks offer some fast and furious day-trading thrills. A previous ticker pumped in a campaign for $15,000, moved significantly after it hit investors’ inbox at the beginning of December. Viscount Systems, Inc. (OTC:VSYS) jumped six times in a single day, but also had deep and fast losses of up to 50% in a day. For any promoted stock, it is best to set your own borders of acceptable risk and not rely too much on the promises for short-term and long-term gain.

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