PositiveID Corp. (OTCMKTS:PSID) Takes A Step Back
PositiveID Corp. (OTCMKTS:PSID) got knocked down 12.12% in yesterday’s session, once more falling to $0.0116 before it could halt its descent.
As can be seen on the charts, the session was a turbulent one for PSID, with it struggling to maintain its chart position and mostly failing by the time the final bell rang. Interestingly enough, the news that PSID has added “international healthcare and business development executive” Benedikt von Braunmühl to its Board of Advisors failed to push the ticker upward.
The news that PSID will be presenting at the Marcum MicroCap Conference, which is taking place today and tomorrow at the Grand Hyatt New York, did not impress investors either. Nothing could halt PSID‘s “healthy pullback”. Or at least that’s one of the possible reasons for the ticker’s crash yesterday.
It is equally if not even more likely that what we saw then could be the result of the company’s past stock-related shenanigans coming back to haunt investor value. The possibility of that is not exactly remote because, as we have mentioned before, PSID has a lot of toxic debt to its name. Most of its notes convert at discounts such as “62.5% of the lowest VWAP during the 15 Trading Days immediately prior to the applicable amortization date”, or even as low as “55% of the lowest VWAP during the thirty (30) Trading Days immediately prior to the applicable Conversion Date”.
While PSID definitely has an edge over other companies in the branch, details such the fact that its shares outstanding have increased 225% YoY reveal that committing to its stock a risky endeavor nonetheless. Naturally, it is up to each individual investor to decide whether or not the risk is worth the potential rewards.
As usual, we advise opportunistic traders and dedicated investors alike to do some serious due diligence and be extra careful when dealing with volatile penny stock tickers such as PSID.
