Investor group cautions over Cardinal Resources
Cardinal Resources’ (OCTMKTS:CDNL) apparent bright future may be “further down the road” than some investors currently anticipate, according to a note by Broad Street Alerts, an online investor community.
The OTC Market quoted company, which is developing water treatment systems, is a regular among the top ‘most talked about’ small cap rankings, across a variety of internet forums and social media, and is up massively in the month of November (to as high as 5.2 cents from 0.4 cents).
Broad Street, in a note today, highlighted that Cardinal recently raised authorizations for issuing new equity - from 300mln new shares to 1bn - and said that could indicate shares could soon be sold to finance the company’s development.
The investor group does, however, acknowledge that Cardinal has commercial contracts in excess of US$30mln.
“Providing clean water will be a lucrative worldwide market,” the Broad Street note said. “We think CDNL may have a positive future but that future could be further down the road than some investors anticipate.”
The volatile OTC share was down just over 36% on Tuesday.
Icahn builds stake in ‘undervalued’ Xerox
Well followed, and frequently outspoken activist investor Carl Icahn stirred up some volatility in the trading of Xerox (NYSE:XRX) shares.
It comes as Icahn, with his latest targeted investment, has taken a 7.1% stake in the office machinery group. The stock market notification after-hours on Monday sent the stock sharply higher, though the price retreated today.
Icahn says he intends to discuss operational changes and strategic alternatives with the company’s management team, which has presided over a 23% share price fall in 2015.
Tuesday's small cap risers
Wellness Center USA (OTCQB: WCUI) jumped 9.4% to US$0.142 after the hybrid healthcare company the Psoria-Shield's (PSI) flagship Psoria-Light product to treat skin problems has been shipped to markets in Boston, Philadelphia, Houston, Minnesota, and North Carolina.
Catasys (OTCQB:CATS) gained 2.9% to US$0.360 after the provider of proprietary big-data based analytics to health plans signed a national agreement with Humana Behavioral Health to combine the company's substance abuse care management with Humana's clinical programs.
First Mining Finance (OTCMKTS:FFMGF) rose 1.8% to US$0.283. The mineral bank which finances mining operations in Mexico and the U.S. agreed to acquire Goldrush Resources (CVE:GOD), a miner focused on West Africa.
Fallers
Pulse Beverage (OTCQX:PLSB) fell 4% to US$0.0972. The emerging beverage company said it has secured distribution of all Natural Cabana products through Mahaska Bottling Company, a major beverage brand bottler/distributor based in Iowa.
Graphene 3D Lab (OTCMKTS:GPHBF) dropped 2.6% to US$0.268, reversing an earlier gain. The New York-based company unveiled what it described as a ‘revolutionary’ new commercial graphene foam product.
Imprimis Pharmaceuticals (NASDAQ: IMMY) slipped 1.4% to US$6.34. NVISION Eye Centers, one of the largest providers of LASIK and cataract surgery, struck a deal with the pharma firm to provide patients with Dropless Therapy following cataract surgery.
ADRs of Avita Medical (OTCMKTS:AVMXY) slid 3.4% to US$1.42 even as the regenerative medicine company entered into agreements with specialist wound-care distributors in France and the U.K.