A giant Inverted Cup and Handle can be observed for TXMD on weekly chart. Starting around in Q3 2011, until Q3 2021, that's a giant most pattern I've ever observed! And unfortunately it's bearish!
Anyway, all the stakes I have in this company are from the profits that I earned from the same stock! And I'd still continue to keep that stake in it! I'd rather say, it'd be great to have a chance to buy ton loads of this stock at way bottom, if it happens!
Anyway, especially these times are proving to be critical for lots of Penny and Small cap stocks, while some of the large caps are flying unbelievably high! Would we see some money moving from there to here or will this Penny and Small Cap sector continue to suffer for a while? I wish it proves the chart pattern wrong and stands it's analysts rating of 5$ average target!
Chart does not reflect 50:1 split in May of 2021. Burning cash every earnings report with high margin needs to be explained better to buy this one.
Bhall22
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Great call! Curious what your thoughts are at these levels and the changes made within the company?
aniHotmail
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@Bhall22, I'm focusing on learning about valuations these days, and unfortunately this company isn't on my radar anymore. Also, there are plenty of cheap opportunities in the market. For me to buy TXMD again, they have to make quite a few consistent strong earnings with positive eps, and counter the cup and handle and hold it for a while. But if you know about some recent changes made in the company, can you please share your insights? Perhaps, also post a link here, that'd make it easy to go there anytime. Thanks!
aniHotmail
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@Bhall22, also remember that they've been under the water 1$ - NASDAQ's min requirement since very long time, and are regularly receiving letters from NASDAQ. If the reverse split happens, again it's a great shorting target. If it rather goes to OTC, I can't imagine what's going to happen then. That's why I'm out, and I'd be patient for it to counter current pattern in play!
Bhall22
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@aniHotmail, All valid points. TXMD has had recent leadership changes that could play a vital role in the companies future growth. Today, they announced the closing of the Vitacare deal with GoodRx worth $150 million. I agree with being patient and waiting for your time to buy. Anything focusing on improving the health for women is a positive in my eyes.
aniHotmail
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@Bhall22, That sounds amazing, I'll study it further then, and let you know as I find more. Thanks for sharing!
Bhall22
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@aniHotmail, You're welcome! The deal was done rather quickly for a $150 million and right before tax day. I need to study it a little further as well. Looking forward to what you find out and your thoughts.