NXT-ID Inc (NASDAQ:NXTD) On A Favorable Trajectory

NXT-ID Inc (NASDAQ:NXTD) has been on a downtrend all year with the exception of a few intraday spikes that have immediately retraced and resumed the down trend. The latest spike took place just a few days ago on June 29, 2017. The stock gapped up on the open from $1.66 to $1.93, and traded up to a closing high for the day of $2.87, with much higher than average volume. The next day it traded back down to $1.87, where the stock is trading now.

Whether or not the up-spike is that beginning of a reversal for NXTD stock remains to be seen. However, the sudden spike does come amid a potentially favorable announcement.Before the details, some background for those hearing about NXT-ID, Inc. for the first time. The Company is a security technology company providing security for finance, assets, and healthcare. Its innovative MobileBio solution mitigates risks associated with mobile computing, m-commerce, and smart OS-enabled devices. With extensive experience in biometric identity verification, security and privacy, encryption and data protection, payments, miniaturization and sensor technologies, the Company partners with industry leading companies to provide solutions for modern payment and the Internet of Things (“IoT”) applications. The Company’s wholly owned subsidiary, LogicMark, LLC, manufactures and distributes non-monitored and monitored personal emergency response systems (“PERS”) sold through the United States Department of Veterans Affairs (“VA”), healthcare durable medical equipment dealers and distributors and monitored security dealers and distributors.On June 8, 2017, NXT-ID, Inc announced that its Token Service Provider (TSP) solution was successfully integrated with the Visa Token Service. Fit Pay a wholly owned subsidiary of NXT-ID, Inc, is now qualified as a Visa TR-TSP partner through the Visa Ready Program. As a consequence, on June 28, 2017, the same day that NXTD recently started trading up, Fit Pay, Inc., a provider of payment, credential management, and authentication platform services, announced that it will be providing payment capabilities for Token, a biometric identity ring that streamlines the process of authentication.The majority of day-to-day credentials, including credit cards, house keys, passwords will be replaced by Token. The Company will leverage a proprietary continuous two-factor authentication method, via an ultra-compact fingerprint sensor in the base of the ring and an optical proximity sensor, to ensure no one but the user can ever access the protected credentials. Fit Pay's platform will provide the payment capabilities for the device, including full digital wallet functionality with the ability to make contactless payments with an existing credit card. Fit Pay will connect Token to its Trusted Payment Manager™ (TPM™) platform, which is integrated with the leading card networks, and power the digital wallet functionality within the application that supports the device. Michael Orlando, president of Fit Pay, Inc. and COO of NXT-ID commented:

"Innovative devices like Token are transforming the payment experience for consumers by combining secure authentication and a frictionless transaction into a sleek, fashionable form factor. Its launch helps push the adoption of contactless payments towards an inflection point."

In other news, NXT-ID, Inc announced on June 19, 2017, that it has now delivered approximately sixty thousand flye™ smart cards to WorldVentures™, a leading direct seller of global travel and leisure club memberships. The flye™ proprietary wireless smart card was created by NXT-ID for WorldVentures DreamTrips™ members. WorldVentures, following beta testing in the US, introduced the smart card to their members in a 'flye First' global promotion, calling it the world's most cutting-edge technology that provides convenience and unprecedented security.

• On the financial front, the company has recently released its quarterly financial reports for the period ending March 31, 2017. Highlights of the quarterly report included:
• Revenue for Q1 2017 was $6,681,297 as compared to revenue of $42,302 in Q1 2016.
• Gross profit for Q1 2017 was $3,509,290 as compared to a gross loss of $(32,853) in Q1 2016.
• Operating expenses were $2,442,388 in Q1 2017 as compared to $2,294,430 in Q1 2016.
• Operating income for Q1 2017 was $1,066,902 as compared to an operating loss of $(2,327,283) in Q1 2016.

Current market capitalization stands at $22.05 million, on 11.79 million shares outstanding as of June 12, 2017. Gino Pereira, Chief Executive Officer of NXT-ID said:

"This quarter is a milestone for the Company with significant revenue growth due to LogicMark's sales in the personal emergency response (PERS) market and significant shipments of the Flye smart card to World Ventures Holdings ("WVH"), a related party, in anticipation of their roll-out to their global membership. In addition, the Company had operating income of $1,066,902 which resulted primarily from the strong gross profit margin earned on both the LogicMark sales and the Flye smart card sales to World Ventures."

The company’s financials are on a favorable trajectory. All a result from strategically sound acquisitions and expanded technology products. This may be the turning point for NXT-ID Inc. Be sure to check out our prior coverage on NXTD. We will be updating our subscribers as soon as we know more. For the latest updates on NXTD, sign up below!Image courtesy of Joe Marino via FlickrDisclosure: We have no position in NXTD and have not been compensated for this article.