These 3 Stocks Aren’t as Wobbly as They Appear: Millennial Media, Inc. (MM), Mitek Systems, Inc. (MITK)

A pictures worth a thousand words
After watching all those commercials on TV about taking a picture of your check and making a deposit into your bank account via your smartphone, I thought Mitek Systems, Inc. (NASDAQ:MITK)would be a better performer. After all, it’s one of the leading players in the space and has some of the biggest banks as its customers, but results haven’t lived up to expectations and the stock languishes at just a third of its 52-week high.

Considering there was no company-specific news to account for yesterday’s plunge, it probably helps explain why the stock rebounded about 8% in early-morning trading. That and the news that it had been granted a new patent related to paying a bill. Using Mitek’s technology, customers can take a picture of their bill, have the relevant information create a mobile payment transaction, and then click “pay” to send off the money to the biller. As Mitek notes, it “eliminates the need for manual data entry, a checkbook or even a computer.”

I’ll admit to easily being wowed by gee-whiz technology like this, but I find it hard to understand why Mitek doesn’t trade higher than it does.

The article These 3 Stocks Aren’t as Wobbly as They Appear originally appeared on Fool.com and is written by Rich Duprey.

Fool contributor Rich Duprey has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned.

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