MRV Communications, Inc. (PINK:MRVC) Keeps Moving Up Sequentially

MRV Communications, Inc. (PINK:MRVC) keeps moving up sequentially. Over the last two days, the stock has had small positive price changes, while yesterday its volume went over 900 thousand shares traded. That's a quite unusual value for MRV, which makes the shares overbought.

A few days ago, MRV Communications announced that the company and its wholly-owned subsidiary, Source Photonics, Inc., have entered into a Settlement and Cross License Agreement with Finisar Corporation. According to the agreement, "Source Photonics shall pay a license fee to Finisar in the amount of $14.5 million for a fully paid-up license through December 31, 2015, to be paid by September 30, 2010".

Along with this agreement, the Board of Directors of MRV approved a repurchase of the company's common stock for an amount of up to $10 million.

MRV Communications Inc, is a worldwide supplier of communications equipment and services to carriers, governments and enterprises. Over the last couple of months, the company has released some positive announcements on its business, though it didn't reflect much on the stock price.

Over the last months of 2009, MRV used to trade lower, however, this year the stock moved higher.

According to its financial report, the company has increased its revenue and gross profit and has generated a bit higher operating loss. MRV has as much assets as total liabilities and stockholders' equity  and its cash and cash equivalents have decreased as compared to the previous period.

Currently, the MRV stock still climbs up and relies on the company's new products to hold the up move.