ARTH Arch Therapeutics otc stock Story

ARTH -  USA Stock  

USD 0.1  0.001  1.05%

While some baby boomers are getting worried about healthcare space, it is reasonable to concentrate on ARCH THERAPEUTICS INC against economic and market trends. As we have suggested previously, ARCH THERAPEUTICS is beginning its drop as stockholders shift to be more bearish due to the increased sector volatility. The returns on investing in ARCH THERAPEUTICS and the market returns of the last few months appear not related. Fragile basic indicators of the company may also hint to signs of long-run losses for ARCH THERAPEUTICS stockholders. ARCH THERAPEUTICS INC is scheduled to announce its earnings today. The next earnings report is expected on the 4th of February 2021.
Published over six months ago
View all stories for Arch Therapeutics | View All Stories
Is ARCH THERAPEUTICS (OTC:ARTH) outlook still optimistic?
This firm's average rating is Buy from 3 analysts. Do analysts base this consensus on technical analyses? We know that typical technical analysis utilizes price momentum, patterns, and trends looking at historical prices. It aims to identify signals based on ARCH THERAPEUTICS market sentiment investors' perception of the future value of ARCH THERAPEUTICS. Let us look at a few aspects of ARCH THERAPEUTICS technical analysis.
Using predictive technical analysis, we will analyze different prices and returns patterns and diagnose historical swings to determine the real value of Arch Therapeutics. In general, we focus on analyzing Arch Therapeutics stock price patterns and their correlations with different microeconomic environment and drivers. We also apply predictive analytics to build Arch Therapeutics's daily price indicators and compare them against related drivers such as momentum indicators and various other types of predictive indicators. Using this methodology combined with a more conventional technical analysis and fundamental analysis, we attempt to find the most accurate representation of Arch Therapeutics's intrinsic value. In addition to deriving basic predictive indicators for Arch Therapeutics, we also check how macroeconomic factors affect Arch Therapeutics price patterns. Please read more on our technical analysis page or use our predictive modules below to complement your research.
Sophisticated investors, who have witnessed many market ups and downs, frequently view the market will even out over time. This tendency of Arch Therapeutics' price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy. Please use the tools below to analyze the current value of Arch Therapeutics in the context of predictive analytics.
Please note, it is not enough to conduct a financial or market analysis of a single entity such as Arch Therapeutics. Your research has to be compared to or analyzed against Arch Therapeutics' peers to derive any actionable benefits. When done correctly, Arch Therapeutics' competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy towards taking a position in Arch Therapeutics.

Watch out for price decline

Please consider monitoring Arch Therapeutics on a daily basis if you are holding a position in it. Arch Therapeutics is trading at a penny-stock level, and the possibility of delisting is much higher compared to other equities. However, just because the otc stock is trading under one dollar, does not mean it will be marked for deletion. Most exchanges require public instruments, such as Arch Therapeutics stock to be traded above the $1 level to remain listed. If Arch Therapeutics 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 does ARTH Arch Therapeutics Stands against Peers?

Analyzing Arch Therapeutics competition or peers my help you to expand the diversification possibilities of your existing portfolios and to get a better perspective on locking in new positions. Try to analyze the advantages of investing in traded instruments related to Arch Therapeutics across multiple sectors and thematic ideas. A good competitive analysis can cover a lot of different areas. But what areas to choose depends on who you are. The more exhaustive you are in your analysis, the more effective your competitive analysis will be.
Check out Arch Therapeutics Competition Details

How ARTH Arch Therapeutics utilizes its cash?

To perform a cash flow analysis of Arch Therapeutics, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Arch Therapeutics is receiving and how much cash it distributes out in a given period. The Arch Therapeutics cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities.
Arch Therapeutics Net Cash Flow from Operations is most likely to decrease significantly in the upcoming years. The last year's value of Net Cash Flow from Operations was reported at (4.54 Million)

Arch Therapeutics exotic insider transaction detected

Legal trades by Arch Therapeutics insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:
Arch Therapeutics insider trading alert for general transaction of stock option (right to buy) by Abrams Michael S, CFO and Treasurer, on 10th of May 2021. This event was filed by Arch Therapeutics Inc with SEC on 2021-05-10. Initial filing of beneficial ownership - SEC Form 3 [view details]   
Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

Detailed Perspective On Arch Therapeutics

The company has a beta of 0.2052. Let's try to break down what ARCH THERAPEUTICS's beta means in this case. As returns on the market increase, ARCH THERAPEUTICS returns are expected to increase less than the market. However, during the bear market, the loss on holding ARCH THERAPEUTICS will be expected to be smaller as well. The beta indicator helps investors understand whether ARCH THERAPEUTICS moves in the same direction as the rest of the market, and how volatile (i.e., risky) it is compared to the market (i.e., selected benchmark). In other words, if ARCH THERAPEUTICS deviates very little from the market, it does not add much risk to the portfolio, but it also doesn't increase the expected returns. Net Loss for the year was (4.12 M) with profit before overhead, payroll, taxes, and interest of 0.

Will ARCH THERAPEUTICS continue to go bananas?

Current skewness is at 0.41. ARCH THERAPEUTICS INC exhibits very low volatility with skewness of 0.41 and kurtosis of 2.98. However, we advise investors to further study ARCH THERAPEUTICS INC technical indicators to make sure all market info is available and is reliable. ARCH THERAPEUTICS INC is a potential penny stock. Although ARCH THERAPEUTICS may be in fact a good instrument to invest, many penny otc 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 ARCH THERAPEUTICS INC. 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 this equity 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 ARCH THERAPEUTICS Investment

While few other entities in the biotechnology industry are either recovering or due for a correction, ARCH THERAPEUTICS may not be performing as strong as the other in terms of long-term growth potentials. To sum up, as of the 15th of November 2020, our research shows that ARCH THERAPEUTICS is a rather abnormally volatile investment opportunity with a average chance of distress in the next two years. From a slightly different view, the entity currently appears to be undervalued. However, our overall 30 days advice on the company is Strong Sell.

About Contributor

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 Raphi Shpitalnik do not own shares of Arch Therapeutics. Please refer to our Terms of Use for any information regarding our disclosure principles.

Would you like to provide feedback on the content of this article?

You can get in touch with us directly or send us a quick note via email to