Two Interesting Things on LeoNovus Inc (TSXV:LTV) Stock

Leonovus Stock Analysis

We are always in search of new opportunities. The crypto and blockchain stock related stories that need to be heard. Today we took up LeoNovus Inc., listed on TSX Venture Exchange under the ticker symbol LTV (TSXV:LTV). This story simply showcases a few of out findings and inferences. It would really great if you could comment your views in the comment section.

We started looking at LeoNovus Stock, because the long time software storage company moved to implement blockchain technology into its product last year. While researching this stock, we found two interesting things – Insider Buying Transactions and Stock Pattern

Insider Buying in LeoNovus

Below text is copied from Investopedia. It’s an example.  

How Insider Buying Can Influence Investment Activity

If an insider increases their stake in a company, the act may be taken as a sign of confidence in anticipated growth. The insider may believe that the strategies put into action by the executive leadership will result in greater market presence, increased profit or other opportunities for the business. For example, if a company wins a new contract with a client, it may be a stepping stone for more contracts to follow. This could prompt insiders to buy up shares in the company based on a belief that the executive leadership has put the business on an advanced growth trajectory.

For LeoNovus, insider buying is a positive sign. However, if you check other details then things become not that interesting. Total number of shares acquired is 275,500 which is very small fraction of outstanding number of shares.

Stock Chart Pattern of LeoNovus

Below is the Stock pattern of LeoNovus. It is the chart from IPO to till date. A cycle of down and up for last seven years.

Practically since last 7 years the stock has gone nowhere. The Company has yet to pay any dividends. The spike in 2017 that can be seen on the chart is very likely from the announcement of Leonovus Inc move to implement blockchain technology at the height of the last cryptocurrency run-up in price. Can this eventually change? Absolutely. New partnerships are forged and customers acquired all the time. Perhaps a deep-dive into the company’s core product offering could shine some light into the company’s future profitability and potential.

Revenue and Cost Front

As we look at revenue and operational costs for Leonovus Inc (TSXV:LTV). We discovered the following 3 factors, as noted below –

  • No Revenues since the beginning.
  • Loss from Operations is continuously varying.
  • Weighted Average Outstanding Shares are consistently increasing.

Below is an excerpt on how the Leonovus Inc. (TSXV:LTV) treats Expenses –

This article noted two interesting findings in this article and invite you to share your knowledge or understanding of this stock in the comments section below.