The share price of Indo Global Exchange(s) PteLtd (OTCMKTS:IGEX) crashed more than 60% to close at $0.00940 in last trading session. The stock is very thinly traded and fetches no interest of investors. However, this time drop came at a massive volume of 29.36 million compared to its average volume of 869,778.
Indo Global witnessed a strong upward run in last week. The company announced that it had been selected as investment manager for a massive $50 million fund. The share price slumped almost 5% after the news but resumed strong upward momentum from next trading session. Over the week, it managed to post gains of more than 240%in value and volume was out of the ordinary. The shares of Indo Global closed Friday’s trading session with almost 32% gains, up from the previous day close at $0.025 with 8.7 million shares exchanged hands.
The financial performance
The latest report from Indo Global isn’t as encouraging as the news flowing from the company. For the quarter ended October 31, 2014, Indo Global posted zero cash. Yes, it is shocking but the company reported zero cash in the last report. The current assets were just $1,487 and total liabilities stood at $443,000. The revenue came at $8,682, and net loss was $81,525. The dismal financial performance doesn’t support investment in the company.
The future ahead
Despite all the encouraging press releases that have been released by Indo Global in the past week, it is evident that this week isn’t exactly starting at a good note for the company stock and its shareholders. The stock halted last week run and declined more than 60%, with the traded share numbers already higher than Friday’s trading session. It seems investors are trying to leave the sinking boat this week. In any case, the company remains a risky investment alternative that should be approached with due diligence.