{"id":6762,"date":"2015-09-04T13:12:56","date_gmt":"2015-09-04T13:12:56","guid":{"rendered":"\/?p=6762"},"modified":"2015-09-04T13:39:52","modified_gmt":"2015-09-04T13:39:52","slug":"adaptive-medias-inc-otcmktsadtm-wants-to-get-back-to-its-former-glory","status":"publish","type":"post","link":"\/articles\/adaptive-medias-inc-otcmktsadtm-wants-to-get-back-to-its-former-glory\/","title":{"rendered":"Adaptive Medias Inc (OTCMKTS:ADTM) Wants to Get Back to Its Former Glory"},"content":{"rendered":"\n

Back in January, Adaptive Medias Inc (OTCMKTS:ADTM<\/a>) experienced its first major crash of the year when in a Jared Fogle-like scandal, its now-former CEO, Quayed Shareef got arrested and charged with sex offenses towards children.<\/p>\n

These sort of incidents, as Subway and ADTM<\/a><\/strong> know all too well, are often referred to as PR nightmares, and it’s fair to say that investors aren’t particularly fond of them. When the news of Mr. Shareef’s arrest hit the wire, ADTM<\/a><\/strong> dropped from $2.80 all the way to just $1.50, and it did all this in a matter of a single session. <\/p>\n

The management team’s reaction to the scandal wasn’t exactly lightning fast, but they eventually terminated Mr. Shareef from his positions, and they managed to restore some of the lost faith. In fact, ADTM<\/a> <\/strong>recovered surprisingly well. Less than a month after losing its CEO, the ticker returned to over $2.50 and, for a while at least, it looked like there was nothing to knock it off those prices.<\/p>\n

In May, however, it suddenly started dropping at a rather rapid rate. Before anybody could understand what’s going on, ADTM<\/a><\/strong> plummeted to less than $1 per share and it continued sliding until it finally found bottom at a little less than $0.20 a couple of weeks ago.<\/p>\n

Despite the absolutely horrid performance, there are still people who are willing to trust their money with the stock. Yesterday, ADTM<\/a><\/strong> announced that they expect to log about $1.3 million in quarterly revenues at the end of this month (which will represent a significant sequential growth), and the ticker shot up to a close of $0.43 per share, a 43% gain on Tuesday’s value. Another press release informed us about a new contract with a media agency called LatinOn Group and it also contributed to the surge.<\/p>\n

The announcements do sound good, but they might not be enough to support the ticker in the long run. If ADTM<\/a><\/strong> is to stay calm at these levels and if it is to get back out of Sub-dollar land, the company will need to do something about the future financial statements because the one recorded at the end of Q2 doesn’t look too good:<\/p>\n