Kaloyan Gadzhev

MacroSolve, Inc. (PINK:MCVE) Hits a New Low on Promotions

by Kaloyan Gadzhev November 24, 2011
06MCVE_chart.pngMacroSolve, Inc. (PINK:MCVE, MCVE message board) hasn't been performing well on the stock market lately. In the last two sessions MCVE has recorded two new 52-week lows, despite being promoted, or exactly because of it.

At the closing bell a MCVE share was worth $0.058, 14.71% less than yesterday. The volume of 334 thousand is slightly above the average.

A number of promotional newsletters disclosed a $5 thousand compensation for covering MCVE. The company hasn't had a solid financial performance, either, so the promoters focus on the potential gains from the lawsuits MCVE filed against some big companies.

While it's true that favorable outcomes of the lawsuits could result in financial gains for MCVE, it's not certain they will win in court, and even if they do, a better performance on their part would be much more valuable.

In theory, MCVE should be able to perform much better business-wise, but it seems the company is not quite there yet, and losing money is not something a business can afford to do for too long before investors give up on it.

4MCVE_logo.pngAt any rate, now MCVE is in trouble. The recent announcements about the Small Cap Conference, and the launch of the Corporate Profile mobile app. didn't do much more than bring the price of MCVE stock down. It will be interesting to see if MCVE can manage to get out of this slump.

Comments 13

1. Guest
December 29, 2011, 08:38PM

Quotes ytd losses at the end of Q3 were 1.5 million

2. luca.connor
December 23, 2011, 05:45AM

Quotes BTW, do you know Mr. Parr? Nice, $5 million market cap and 5 directors.

3. luca.connor
December 23, 2011, 05:44AM

Quotes Yeah, correct. IMO, only management cuts may not be enough for MCVE. At the end of September the company reported a loss from operations, exceeding $1/2 million.

4. Guest
December 21, 2011, 11:20AM

Quotes The counter suits are going to really distract the company and cost a lot of additional money that the company doesn't have to begin with.

I would expect to see some serious management cuts at Macrosolve (Mr. Parr, you might want to polish up that resume. 2012 is not going to be pretty.

5. luca.connor
December 12, 2011, 07:11AM

Quotes In addition, this year may be named the year of filed suits for MCVE. The company filed suit against AT&T Inc., AT&T Mobility LLC, SalesForce.com, Inc., Dell Inc dba Dell Services, Groupon, Living Social, Inc., Citigroup Inc, Whoop, Inc.........

6. luca.connor
December 12, 2011, 06:57AM

Quotes I am glad to see that you share my opinion that MCVE may not be the "investment" which is paying out.

7. Guest
December 10, 2011, 05:14AM

Quotes I was told by one of our engineers yesterday that "ArticeOne Partnership" have now blown the Marcrosolve Patent out of the water.

Seems the mistake they made was in suing the the little (one man) App developers, who got together in their thousands and hunted down the "Prior Art" that's done for Macrosolve.

If they'd stuck with hitting the "big boys" no one would have given a hoot.

8. anth.luke
December 07, 2011, 08:58AM

Quotes Yeah, maybe you are right. In the article are mentioned lawsuits. Do you have some info about this?

9. Guest
December 06, 2011, 01:59PM

Quotes Good question Luca. Wish I had an answer, but based on the continuing decline of the price of this stock, it doesn't look like the "investment" is paying out.

10. luca.connor
November 29, 2011, 06:29AM

Quotes Thanks this was helpful. Still, what stands behind the numbers was my question. the patent for ReForm XT is an asset and all cost associated with it. So, they invested in directors' salaries or.... in what?

11. Guest
November 28, 2011, 04:38PM

Quotes The "Long Term Investments" are the costs associated with the development of ReFormXT and the other "canned" products. FASB requires that you depreciate the "investment" or offset revenue with the development expense, rather than expense those costs as you would in other environments.

Macrosolve doesn't have enough cash to make "investments".

12. luca.connor
November 28, 2011, 06:34AM

Quotes Agree, financials look poor. Do you know what are the announced by MCVE long term investments?

13. Guest
November 25, 2011, 03:10PM

Quotes Revenues from any settlements will provide a one time "shot in the arm" for Macrosolve financials. Recurring revenues are what is needed here and one cannot count on Macrosolve to produce. ReFormXT is a very poor application development tool IMHO (based on 30 years of experience). The UI is clunky and the idea of having to redo reporting every time a user needs a material change to the app is astounding, but in a bad way.

IMHO Macrosolve's custom app development involves poor estimating of scope, cost over-runs and very bad customer service. Not the hallmarks of a successful company.

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