ZOM is interesting since through out the pandemic, people wanted to find ways to make money at home. That's why we had stories from Hertz, DOGE, GME, AMC, and more, but some of these investors found r/PennyStocks. I could list alot of hot names like NNDM, IDEX, XSPA, and more, but we are here to talk about ZOM yet its good to know what kind of investors are in/attractive to a stock like ZOM. Overall I'm a mid term bear, but you could be neutral.
News: Now I haven't invested a single penny, yet I like seeing a stock that had an mc over 2billion dollars just to come back to pennystock land of the dead
-3 insiders sale publish on Apr 13.
-Apr 15: ZOM releases a Investor news on their website stating their distributor failed to help them gain initial sales, so in return they are going to go with a direct sales approach. Also in the letter they couldn't state when they will be profitable. This is a red flag on multiparts. First: they push their own problems on a distributor and not their product. There still hasn't been any demand from the stock price if their product was successful. Second: Changing gears on how to market their device, since launch and haven't tweeted/remain inactive on social media like twitter since Jan 4th is very concerning on if they are still trying to build this company. Third: Profitability. Again we don't know the demand and we don't know if this new marketing strategy will work. This means the company will continue its cash burn and sale shares or dilute share holders until profitability.
-Earnings are coming up, but it should be clear they will miss
Other News:
-ZOM releases their product early causing the swing traders to be off guard and start the "sale the news"
-Twitter inactive since Jan 4
-Whole market (besides crypto) has been crashing since the start of this year
TA: I know the news section was scary and some things are opinionated, but theres questions that need to be answered
-Downtrend line since March 26, but sale off started on March 16. Leans Bearish
-Resistance is at 1.00130, 1.4166, and then 2.0075. If the downtrend line holds up .9947 is resistance at open. Leans bearish
-EMA continues down with 50 at roughly 1.06. 128 1.36, and 1.49 at the 200. Massive moves are needed, so unlikely to see it hitting there anytime soon. Would need sideways movement or a bounce back.
-Support hits .8367, then a massive drop too 0.4413 since between was a gap up. After that its a drop too 0.2802 another unknownzone, but it lighter note could be a buying opportunity 0.2802-04413. This area would be massive pain since if you bought at ath you would be down over 70% and at 0.2802 its at 89% which is prime for a bounce back. Buying from .5-.28 should only be gamble money.
-MACD leans bearish
-RSI is way oversold with resistance at 51.91
-VPVR levels mean shit atm, but during the rally the last big one I see is at 0.488, so a quick trade from .5 buy in could bounce back to .8-$1 on a trading perspective.
Final thoughts
Now this stock has had major bearish news and the question is will the earnings help or cause more pain. The answer isn't clear cut, cause as an investor or a speculator we don't know the sales and the quick change in direction on sales cause me to believe in the short term and mid bearish perspective. Now if earnings come out and sales are better than suspected then theres no problems, but watch out if the next days after it continues too sale off.
News: Now I haven't invested a single penny, yet I like seeing a stock that had an mc over 2billion dollars just to come back to pennystock land of the dead
-3 insiders sale publish on Apr 13.
-Apr 15: ZOM releases a Investor news on their website stating their distributor failed to help them gain initial sales, so in return they are going to go with a direct sales approach. Also in the letter they couldn't state when they will be profitable. This is a red flag on multiparts. First: they push their own problems on a distributor and not their product. There still hasn't been any demand from the stock price if their product was successful. Second: Changing gears on how to market their device, since launch and haven't tweeted/remain inactive on social media like twitter since Jan 4th is very concerning on if they are still trying to build this company. Third: Profitability. Again we don't know the demand and we don't know if this new marketing strategy will work. This means the company will continue its cash burn and sale shares or dilute share holders until profitability.
-Earnings are coming up, but it should be clear they will miss
Other News:
-ZOM releases their product early causing the swing traders to be off guard and start the "sale the news"
-Twitter inactive since Jan 4
-Whole market (besides crypto) has been crashing since the start of this year
TA: I know the news section was scary and some things are opinionated, but theres questions that need to be answered
-Downtrend line since March 26, but sale off started on March 16. Leans Bearish
-Resistance is at 1.00130, 1.4166, and then 2.0075. If the downtrend line holds up .9947 is resistance at open. Leans bearish
-EMA continues down with 50 at roughly 1.06. 128 1.36, and 1.49 at the 200. Massive moves are needed, so unlikely to see it hitting there anytime soon. Would need sideways movement or a bounce back.
-Support hits .8367, then a massive drop too 0.4413 since between was a gap up. After that its a drop too 0.2802 another unknownzone, but it lighter note could be a buying opportunity 0.2802-04413. This area would be massive pain since if you bought at ath you would be down over 70% and at 0.2802 its at 89% which is prime for a bounce back. Buying from .5-.28 should only be gamble money.
-MACD leans bearish
-RSI is way oversold with resistance at 51.91
-VPVR levels mean shit atm, but during the rally the last big one I see is at 0.488, so a quick trade from .5 buy in could bounce back to .8-$1 on a trading perspective.
Final thoughts
Now this stock has had major bearish news and the question is will the earnings help or cause more pain. The answer isn't clear cut, cause as an investor or a speculator we don't know the sales and the quick change in direction on sales cause me to believe in the short term and mid bearish perspective. Now if earnings come out and sales are better than suspected then theres no problems, but watch out if the next days after it continues too sale off.
