Friendable Inc (OTCMKTS:FDBL) Down But Not Out

Friendable Inc (OTCMKTS:FDBL) was one of the most exciting microcap runners earlier this year. Shares turned into a multi-bagger overnight after the app was featured in Jennifer Lopez’s new music video for her hit song “Ain’t Your Mama.” However, after hitting highs north of $.03, shares have since settled back down and have been trading under the penny mark. Investors are now asking if FDBL has still got what it takes to turn into a runner again?Friendable describes itself as "the mobile-social network focused on the future, rather than sharing the past. It is all about having location specific and nearby opportunities to connect with others. The Friendable brand represents a "friends first" approach and takes all the pressure off its users, making it simple to create new connections, create meet up style events, or simply tell others what you are "Friendable" for. Based upon shared interests and locations, users can engage with what makes sense for them. Increased user interactions will allow Friendable to offer advertising and sponsorship opportunities to local venues/businesses and begin to generate revenue by providing these venues with location specific opportunities to reach potential customers when it matters most. As of April 2016, Friendable has exceeded one million total downloads since the company's inception and launch of the app."The latest news from the company is that the Friendable App was the number 1 paid App on iOS for all of Australia. CEO Robert Rositano Jr said:

"These numbers tell us that the marketing initiatives we have deployed to increase brand recognition and to add users are working. Our rising ranking in Australia appears to be the result of our recent RedFoo celebrity marketing campaign. RedFoo is a top ranked celebrity in Australia and was a judge on "X Factor Australia" in 2015. With Friendable continuing to gain traction in markets such as Australia, coupled with the technology and app improvements we continue to implement, Friendable is positioned well to move into additional worldwide market opportunities. Our plan of growth includes the generation of revenue through the addition of advertising in both the iOS and Android versions of the app. We anticipate these advertising integrations to commence in September 2016."

For the month of July, the company posted total downloads of 31,520, with 15,035 originating from Apple's iOS devices or the App Store, and 16,485 originating from Android or the Google Play Store. However, these numbers were down from June. For June, Friendable posted total downloads of 52,272 with 21,349 originating from Apple's iOS devices or the App Store, representing a 32.66% increase over May and 30,923 coming from Android or the Google PlayStore, a 43.71% jump over May. June's download numbers represented a total blended increase of 38.98% over May's download numbers.In June, Friendable appeared in the Fifth Harmony music video "All In My Head" (Flex) featuring Fetty Wap. CEO Robert Rositano Jr said:

"The video went number 1 on iTunes its first day, already has 18 million YouTube views and we believe that's just the beginning. A big benefit of Friendable being featured in these videos is their long shelf life. Fifth Harmony averages about 700 million views per video on YouTube so potential users will be watching these videos for a long time to come. We are on a mission to build our brand and grow our user base and we believe our celebrity artist marketing program is performing as we expected it would."

Currently trading with a market cap of $3.98 million, FDBL looks to have turned the corner and is on the comeback trail. However, the company still needs to boost its financials. In the latest quarter, FDBL reported just $7k in revenues, a net loss of $1.6m, $114k in cash, $494k in total assets, and $3.2m in total liabilities, of which $1.499m is classified as short term and long term debt.We will continue to watch FDBL closely. The stock looks to have bottomed. If shares can take out the $.01 resistance level, momentum players will get back into the stock. For the latest updates on FDBL, sign up below!Disclosure: We have no position in FDBL and have not been compensated for this article.