Infosonic corporation (NASDAQ:IFON) is rallying investors to its new cellphone business! New customers received shipments in India and China.
This business may work after all!
The problem is, i don’t know if it will and the business is still burning cash. Until I see profitability, I had a plan on NNWC value for this company. My target price is now reached (1$) and the risk/reward ratio is now too high for me.
I’ll keep track of it, but my target value is acheived with comfortable profit. I prefer avoiding the risks of being dequoted from NASDAQ (May decision from NASDAQ authorities) or see the cash burn in creating a new business in an extremely competitive market.
I’ll keep an eye on IFON for further development.
Disclosure: None, Position is closed with profit around 23%.