The author rebuts bullish HERB posts by arguing the company has a weak balance sheet and minimal cash.
Unpriced research observations (excluded from Calls and Returns):
HERB — AVOID The author argues HERB is financially distressed because accounts payable of $6.2M exceed current assets of $4.5M and cash is only $600K while the company posts a negative net loss. The balance sheet excluding intangibles and goodwill owes more in payables than total assets, suggesting the company may struggle to pay bills and is not a sleeper worth buying. resolved_asset_type_mismatch
This company has $6.2M in accounts payable, while they only have $4.5M in current assets. Only $600k in cash.