Altigen Communications Inc. (OTCMKTS:ATGN) Stock Takes a Hit: Slumps 15% In a Week

Altigen Communications Inc. (OTCMKTS:ATGN) is down 15% in a week. The Microsoft Cloud Solutions provider has announced its Q4 2021 and FY2021 ending September 30, 2021, financial results.

Market Stats

On Tuesday, ATGN stock gained 1.15% to $1.76 with more than 21k, compared to its average volume of 21k shares. The stock has moved within a range of $1.6900 – 1.8100 after opening trading at $1.70.

Earnings Recap

The company reported net revenues of $2.8 million, a drop from $3 million reported a year ago. In addition, cloud service revenue was $2 million relative to $2.1 million in Q4 2020. Altigen reported a 71.4% gross margin during the quarter compared to 77.2% last year. GAAP net loss was $1.2 million or $0.05 per share. The company’s GAAP net loss and loss per diluted share, which was affected negatively by the non-cash tax-connected expenses of $1.3M and $0.5M, respectively, associated to operating net loss.

For fiscal 2021 the company’s net revenue was $11 million relative with $11.8 million a year ago. In addition, the company generated $7.6 million from cloud services compared to $7.6 million in fiscal 2020. As a result, GAAP loss and loss per diluted share were $0.5M and $0.02, respectively. Cash and equivalents were $6.8M at the end of the quarter ending September 30. So in the coming weeks, ATGN is worth watching.

Traders Corner

ATGN stock is trading below the 20-Day and 50-Day Moving averages of $1.90 and $2 respectively. Key pivot supports are 1.5767, 1.6333, 1.6967 and resistances are 1.8167, 1.8733, 1.9367.