Should you hold on to your Ampio Pharmaceuticals position?

AMPE
 Stock
  

USD 0.06  0.01  14.29%   

Ampio Pharmaceuticals Enterprise Value is projected to increase significantly based on the last few years of reporting. The past year's Enterprise Value was at 98.79 Million. The current year Invested Capital is expected to grow to about 436.2 K, whereas Average Assets are forecasted to decline to about 26.2 M. While some of us are becoming more passionate about healthcare space, it makes sense to digest Ampio Pharmaceuticals in greater detail. We will analyze why Ampio Pharmaceuticals investors may still consider a stake in the business. This post is to show some fundamental factors affecting Ampio Pharmaceuticals' products and services. I will also exhibit how it may impact the investing outlook for Ampio Pharmaceuticals in September.
Published over a month ago
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About 22.0% of Ampio Pharmaceuticals shares are held by institutions such as insurance companies. Insiders ownership of Ampio Pharmaceuticals refers to the amount of Ampio Pharmaceuticals equity owned by Ampio officers, directors, relatives of the leadership team, or anyone who has access to private information before it's made available to the public. Check out our latest analysis of Ampio, including its current ownership diagnostics.

Watch out for price decline

Please consider monitoring Ampio Pharmaceuticals on a daily basis if you are holding a position in it. Ampio Pharmaceuticals is trading at a penny-stock level, and the possibility of delisting is much higher compared to other stocks. However, just because the stock is trading under one dollar, does not mean it will be marked for deletion. Most exchanges require public instruments, such as Ampio Pharmaceuticals stock to be traded above the $1 level to remain listed. If Ampio Pharmaceuticals stock price falls below $1 for 30 consecutive trading days, the exchange can delist it. Once the company reaches this point, they will be sent an initial price violation notice directly from an exchange.

How important is Ampio Pharmaceuticals's Liquidity

Ampio Pharmaceuticals financial leverage refers to using borrowed capital as a funding source to finance Ampio Pharmaceuticals ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Ampio Pharmaceuticals financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Please check the breakdown between Ampio Pharmaceuticals's total debt and its cash.

How does Ampio utilize its cash?

To perform a cash flow analysis of Ampio Pharmaceuticals, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Ampio Pharmaceuticals is receiving and how much cash it distributes out in a given period. The Ampio Pharmaceuticals cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities.

Going after Ampio Financials

Ampio Pharmaceuticals holds a total of two hundred twenty-seven million one hundred thirty thousand outstanding shares. Ampio Pharmaceuticals shows 7.64 percent if its outstanding shares held by insiders and 7.64 percent owned by other corporate entities . Please note that no matter how much assets the company secures, if the real value of the firm is less than the current market value, you may not be able to make money on it.
 2010 2012 2021 2022 (projected)
Revenues USD18.75 K50 K57.5 K53.18 K
Revenues18.75 K50 K57.5 K53.18 K

Ownership Breakdown

Retail Investors
70.69%
Insiders
7.64%
Institutions
21.67%
Retail Investors70.69
Insiders7.64
Institutions21.67

High level of complacency for Ampio Pharmaceuticals after the latest price dip

Treynor Ratio just dropped to -0.74, may indicate upcoming price decrease. Ampio Pharmaceuticals is displaying above-average volatility over the selected time horizon. Investors should scrutinize Ampio Pharmaceuticals independently to ensure intended market timing strategies are aligned with expectations about Ampio Pharmaceuticals volatility. Ampio Pharmaceuticals is a potential penny stock. Although Ampio Pharmaceuticals may be in fact a good instrument to invest, many penny stocks are speculative in nature and are subject to artificial price hype. Please make sure you totally understand the upside potential and downside risk of investing in Ampio Pharmaceuticals. We encourage investors to look for the signals such us email spams, message board hypes, claims of breakthroughs, volume upswings, sudden news releases, promotions that are not reported, or demotions released before SEC filings. Please also check biographies and work history of current and past company officers before investing in high volatility instruments, penny stocks, or equities with microcap classification. You can indeed make money on Ampio instrument if you perfectly time your entry and exit. However, remember that penny stocks that have been the subject of an artificial hype usually unable to maintain its increased share price for more than just a few days. The price of a promoted high volatility instrument will almost always revert back. The only way to increase shareholder value is through legitimate performance backed up by solid fundamentals.

Our Takeaway on Ampio Pharmaceuticals Investment

Although other entities in the biotechnology industry are either recovering or due for a correction, Ampio Pharmaceuticals may not be performing as strong as the other in terms of long-term growth potentials. All things considered, as of the 7th of August 2022, our research shows that Ampio Pharmaceuticals is a rather abnormally volatile investment opportunity with a very low chance of financial distress in the next two years. From a slightly different view, the entity currently appears to be undervalued. However, our concluding 90 days buy-or-sell advice on the firm is Strong Sell.

Editorial Staff

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Ellen Johnson do not own shares of Ampio Pharmaceuticals. Please refer to our Terms of Use for any information regarding our disclosure principles.

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