Martin Tsvetkov

Inside Information Likely to be Pushing NeoMedia Technologies, Inc. (OTC:NEOM) Up on the Charts

by Martin Tsvetkov March 15, 2012
5NEOM_chart.pngWhen we last covered NeoMedia Technologies, Inc. (OTC:NEOM), NEOM shares had just got a breath of fresh air following a prolonged downward trend. While the trend has more or less remained unchanged, NAOM stock is slowly trying to lift off.

Last week, NEOM cracked the MA(50) threshold after putting on a couple of fantastic market performances. Yesterday, NEOM scored high once again. Closing at $0.0137, NEOM shot up by 35.64%, scoring its highest close since Jan. 23. Approximately 32.6 million shares of common stock changed hands, up 167% from its daily average turnover.

As impressive as NEOM's yesterday run may seem, it stands a good chance of being improved today. While the new session is still into its initial phase, NEOM has already shifted close to 48 million shares and gained 14% in value. With no clear promotions going on, the company's chart run does not appear to be a direct result of a pump job. In this respect, the big volume so far could only be attributed to an insider's game.

A week ago, NeoMedia Technologies, Inc. launched updated versions of its NeoReader(R) barc-de-scanning software applications for mobile devices. The NeoReader(R) gives camera phones users the opportunity to scan both 2D and 1D code types in order to access specific web content.

5NEOM_logo.jpgIf you are willing to invest in NEOM stock, you should most of all be aware of the financing techniques the company has been using for quite a while now. For the last five years or so, the company has issued convertible preferred stock and as many as 28 convertible debentures secured by all of its assets. The fair value of these liabilities is wholly dependent upon the market value of the company's common stock, which is why they could either decrease (as in Q3 2011), or increase (as in Q2 2011), making NEOM shares a double-edged sword.

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