While trading volumes have increased in the last few sessions, the stock of Lithium Exploration Group Inc. (OTC:LEXG
, LEXG message board
) continues the free fall that started in the middle of September. Yesterday was no exception. The interesting part is that this Tuesday was a session of vivid trading activity with no catalyst to fuel the hype, while last week when there was a major one the trading volume was more than 4 times less.
So, $0.7 per share - this is the closing price yesterday when almost 200k share exchanged for the day. Another slight decrease in the share price. Shorters also had a busy day as 71k shares exchanged hands as a result of short-trading activity. Yet, as mentioned, no news, no promotions, no SEC filings. Nothing in place to focus additional attention to LEXG.
As mentioned, there was an important piece of information last week, one that all parties interested in Lithium Exploration Group should take a look at. Last Monday, the 10-K came out. The annual statement with an end-date June 30th. Among other figures it included the following:
- $1 million in cash;
- $1.6 million in total assets;
- $2.2 million in total liabilities;
- $25.4 million in accumulated deficit;
- $0 in revenue;
- $25.3 million in net loss;
Looking at the figures above, it is not exactly surprising that a serious decline in the share price took place. A decline that actually goes back to the beginning of the year when huge trading volumes brought up the price to above $10 per share. Ever since then, a steady decrease determines most sessions.
Now that the first quarter of the next fiscal year is over, however, it is time for another balance sheet to be released. If figures from the 10-Q bring better results, this could reverse the negative trend on the stock market. If not, LEXG would remain a stock with much uncertainty going along when investing in it.