Can a Penny Stock like this ever Recover?
First off, please don't take anything I say seriously or as financial advice. As always, this is on an opinion based basis. That being said, thanks to @adamans for bringing this stock to my attention. $IDEX seems to at this point be trending towards a decent $1.05 target. Currently after the $0.47 close, it went already up by $0.09. However, I'm not sure if I would shorten it at $1.05 or keep a long. I'm not even sure I would get it, as I have other things I'm analyzing as well portfolio-wise. That being said, likely it is more of a long given the company has somewhat decent of a portfolio. The thing that surprises me however, is that they are still around. The fact is, the all time high of this stock was $338.35. That was literally in 2007. Now from an operational standpoint, and financial standpoint, this company looks like it ran into the ground the past decade. It looks like the bullish aspect of holding it, is on the technological potential. This is why I am confined to say if one was to get it, it would take some decision making at the $1.05 mark to see if it is worth a sale or hold. This is because of opportunity cost on time, and the past financial and operational history. Now looking at the founder's story here, it says this company was founded in 2017. This leads me to believe this was an older ticker for a previous stock that was desisted, or a previous digital company was asset stripped. However, if that is true, they still managed to go down from I believe is nearly $3.10 to $0.41, prior to retracing to its $0.56 price now. That is still a really downward pattern. (BTW, I gave them $3.10 as the entry, the all time high for 2017 was $5.92). The average stock price in 2017 was $2.2008, the average in 2018 was $2.7846, and the average in 2019 was $1.5313. Growth haven't been good to them. That being said, yes, the $1.05 target I'm predicting will have to be set soon if I am correct (and I am being generous). Then it is up to you if you want to take that speculative bet. The executive team has the ability likely to make this retrace to its 2017 price, and maybe garnish growth of the current companies under their portfolio. However, it will take alot of work in an uncertain market. It is up to them to leverage an effective growth strategy. If they want help, I don't mind playing a Marcus Lemonis. That being said, good luck guys!
Comment:
I decided to get some $IDEX at pre-market hours
I likely would be bullish after it reaches the $1.05 target. Still early to tell, but the infrastructure seems out there.