On Thursday’s trading session, Relmada Therapeutics Inc (OTCMKTS:RLMD) went from declining to crashing. The stock price plunged more than 12% to a close at $2.70 per share. The volume cooled off a bit, down to 333,213 shares traded. The company is clinical-stage Pharma entity working on innovative forms of currently available treatment, focusing mainly on pain medications.
The product pipeline
Relmada has several products in the pipeline and are in various phases of testing, with the most advanced product in Phase 2. In its last financial report, the company reported $31.4 million in cash and $4.3 million as the loss from operations. The financial indicate that the company has ample liquidity to support its ongoing research and development plans. Relmada is the outcome of publicly traded Camp Nine, Inc. that executed a reverse merger with the company. Following a name as well as ticker change, the surviving company is now known as Relmada, trading under symbol RLMD.
Unfortunately, even though Relmada has trappings of normal OTC Pharma operations about it, its latest movement on the chart give grounds for concern. In last few trading sessions, RLMD stock price suddenly witnessed trading in high volumes far above its average volume, consistently reporting volume of more than 200,000 shares per day. In the past six months, Relmada Therapeutics Inc (OTCMKTS:RLMD) never once crossed even 100,000 shares in a single trading session.
The recent decline seems to be the pullback that a stock witness after a sharp jump in prices due to pump paper mailer. The surge in volume in last few trading sessions is due to the pump paper mailer which is in circulation. The mailer is formatted as a newspaper and the disclaimer at the bottom states that a firm named Gramercy Strategic Partners LLC paid $964,000 to advertise RLMD stock. The investors should take caution before considering any investment at this moment.