Liquidmetal Technologies Inc (OTCMKTS:LQMT) Rises After Apple Inc. (NASDAQ:AAPL)’s Announcement

Apple Inc. (NASDAQ:AAPL), the most sought after smartphone manufacturing company in the world has decided to extend its exclusivity deal with Liquidmetal Technologies Inc (OTCMKTS:LQMT). As per the reports, Apple’s announcement led Liquidmetal to rise as high as 13.5% in the stock market.

Insights On The Matter:

Liquidmetal stated in a recent statement that Apple had extended its license for using IP developed or acquired by Liquidmetal on or after August 5, 2010. The license is limited to consumer electric products, only. Before this announcement, the license was supposed to last until February 5, 2015, but now it will end on February 5, 2016.

The detailed information regarding this extension of license was unveiled by the company a few days ago. As per the reports, the leading smartphone manufacturer has come up with a huge list of patent applications, participants, and patent products related to Liquidmetal Technologies. However, this deal has started a new debate in the market whether Apple Watch will make available alloy free or not. No reaction from the company has come out yet.

Road Ahead:

No matter how many arguments arise in the market, the one thing that has gone in Liquidmetal’s favor is its market value. As soon as it announced the extension of the deal, the price of its stocks went up 13.5%. As per the reports, over 13.8 million shares have traded far above its 3-month daily average level of 968K. As of now, the market cap of the company has touched $66.4 million mark, and there are strong chances of this level to increase further.

The senior management of the company is delighted to see this exponential growth and considers it an stepping stone for company’s future. The company has promised to keep its shareholders informed about future advancements as and when something new happens.

LQMT

Sometimes the eyes betray a technician by throwing illusions. The chart of Liquidmetal Technologies Inc (OTCMKTS:LQMT) invite a conclusion of the price moving in a contracting range for the last 2 years. The series of lower highs is very clear and can be connected nicely with a single trendline but the lower end of the range actually fails to show higher lows, one of the primary conditions for a contracting range. The lows are actually coming lower, establishing the downtrend quite firmly and that can drive the price much lower in the coming days too if $0.10 fails to hold.

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