Gores Metropoulos Inc. (GMHI) Vs. Lipocine Inc. (LPCN): Updated Outlook

Gores Metropoulos Inc. (NASDAQ: GMHI) shares are 7.36% up in the year-to-date (YTD) period and have moved -1.62% or -$0.18 lower in the latest trading session. However, stock’s trailing 12-month performance remains nearly +15.87% lower. Comparatively, the stock is -7.98% down YTD and 6.83% over the trailing 3-month period. If we look at the shorter duration, its week performance is 3.79% and 1.39% over the month.

Analyst Recommendations

0 recommend buying, with 0 rating it as an Overweight.

Lipocine Inc. (NASDAQ:LPCN), on the other hand, is trading around $1.65 with a market cap of $111.00M and analyst research firms have a negative stance on its shares. Analysts predict that the stock will reach $3.00 and spell out a more modest performance – a 45.0% return. Some analysts are even forecasting -$0.35 per share in earnings this year on a short term (1 year) basis.

Let us briefly look at the Lipocine Inc. (LPCN) financials, with a focus on its operating details as indicated in its earnings report for the last quarter.

Company balance sheet and cash flow

LPCN’s operating expenses over the recent quarter were at -$4.22 million. With this in place, we can see that the company’s diluted EPS declined -$0.13 on the year-over-year period, shrinking to -$0.14 as given in the last earnings report.

In terms of the balance sheet & cash flow as of (Sep 2020), the total assets figure advanced to $23.49 million from $20.99 million over the previous quarter. Short term investments amounted to $4.47 million while total current assets were at $23.46 million. The company’s free cash flow for the quarter was -$7.46 million.

Insider activity

Insiders have transacted a total of 1 times at Lipocine Inc. over the last 6 months, with insider purchases undertaken 1 times and accounting for 220,000 shares. Insider sales totaled 0 shares over the same period, with these deals completed in 0 transactions. Looking at these numbers, we realize that net purchases over that period are 1.0 shares. Insiders now hold a total of 2.41M shares after the latest sales, with 10.00% net shares purchased.

Major holders

Insiders own 1.10% of the company shares, while shares held by institutions stand at 6.60% with a share float percentage of 63.81M. Investors are also buoyed by the number of investors in a company, with Lipocine Inc. having a total of 34 institutions that hold shares in the company. The top two institutional holders are Vanguard Group, Inc. (The) with over 1.1 million shares worth more than $1.39 million. As of Jun 29, 2020, Vanguard Group, Inc. (The) held 1.68% of shares outstanding.

The other major institutional holder is Ameriprise Financial, Inc., with the investment firm holding over 0.79 million shares as of Jun 29, 2020. The firm’s total holdings are worth over $0.99 million and represent 1.20% of shares outstanding.