Tessera Defense and Homeland Security (HLSQ)


Market Price (10/17/2026): $0.224 | Market Cap: $-Sector: Information Technology | Industry: IT Consulting & Other Services

Tessera Defense and Homeland Security (HLSQ)


Market Price (10/17/2026): $0.224
Market Cap: $-
Sector: Information Technology
Industry: IT Consulting & Other Services

Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.

0

Weak multi-year price returns
2Y Excs Rtn is -117%, 3Y Excs Rtn is -161%

Penny stock
Mkt Price is 0.2

High stock price volatility
Vol 12M is 137%

0 Weak multi-year price returns
2Y Excs Rtn is -117%, 3Y Excs Rtn is -161%
1 Penny stock
Mkt Price is 0.2
2 High stock price volatility
Vol 12M is 137%

Valuation & Metrics

Price Chart

Why The Stock Moved

Qualitative Assessment

AI Analysis | Feedback

Updated on 10/14/2026

Tessera Defense and Homeland Security (HLSQ) stock has lost about 80% since it went public on 9/11/2026 because of the following key factors:

1. Extreme Speculative Volatility and Post-Rebrand Price Collapse. Tessera Defense and Homeland Security (HLSQ) experienced a period of intense speculative trading immediately following its rebrand and ticker change on September 11, 2026. The stock surged from below $0.20 to an intraday high near $1.94, subsequently fading to close around $1.21-$1.22 in the initial days of trading under the new symbol. This sharp ascent was followed by aggressive selling pressure, resulting in a decline to approximately $0.528 per share by September 27, 2026, representing a significant portion of the observed loss.

2. Weak Financial Fundamentals and Significant Cash Burn. The company's underlying financial health prior to and immediately following its rebrand showed considerable weakness. For the fiscal Q2 2026 (ended June 30, 2026), Tessera reported only $332,000 in revenue against $5.62 million in total expenses, leading to a net loss of approximately $3.77 million. The company's cash position was critically low at $347,000, and its current ratio stood at 0.2, indicating that its near-term obligations far exceeded its liquid assets. These figures underscore an unsustainable operational model and contributed to investor apprehension.

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Updated on 10/14/2026

Tessera Defense and Homeland Security (HLSQ) stock has lost about 80% since it went public on 9/11/2026 because of the following key factors:

1. Extreme Speculative Volatility and Post-Rebrand Price Collapse. Tessera Defense and Homeland Security (HLSQ) experienced a period of intense speculative trading immediately following its rebrand and ticker change on September 11, 2026. The stock surged from below $0.20 to an intraday high near $1.94, subsequently fading to close around $1.21-$1.22 in the initial days of trading under the new symbol. This sharp ascent was followed by aggressive selling pressure, resulting in a decline to approximately $0.528 per share by September 27, 2026, representing a significant portion of the observed loss.

2. Weak Financial Fundamentals and Significant Cash Burn. The company's underlying financial health prior to and immediately following its rebrand showed considerable weakness. For the fiscal Q2 2026 (ended June 30, 2026), Tessera reported only $332,000 in revenue against $5.62 million in total expenses, leading to a net loss of approximately $3.77 million. The company's cash position was critically low at $347,000, and its current ratio stood at 0.2, indicating that its near-term obligations far exceeded its liquid assets. These figures underscore an unsustainable operational model and contributed to investor apprehension.

3. Shareholder Dilution from At-the-Market Offerings and Proposed Stock Plan Expansion. Tessera engaged in significant equity financing activities. The company raised over $4 million through an at-the-market (ATM) program at an average price of approximately $2.20 per share (split-adjusted) in the three months preceding the ticker change. Post-rebrand, by October 12, 2026, Tessera further raised more than $6 million in net proceeds via its ATM program at an average net price of about $1.11 per share, after adjusting for the one-for-ten reverse stock split effected on September 9, 2026. Additionally, the company proposed a stock plan expansion that could dilute existing stockholders, representing approximately 58.9% of the outstanding common shares on the October 5, 2026, record date. This ongoing and potential dilution at declining share prices exerted downward pressure on the stock value.

4. Unproven Business Model Post-Transformation. Tessera Defense and Homeland Security rebranded from a clinical-stage microbiome company (BiomX Inc.) to an integrated physical security and defense platform provider. While the company announced strategic moves such as amending an investment agreement to increase its stake in M.E.A. Testing Systems Ltd. to 15% and securing an option to acquire 51% of RT LTA Systems, these initiatives had not yet translated into substantial, profitable revenue streams in the short period since the rebrand. The lack of an established financial track record for its new business model, coupled with existing operational losses, likely contributed to investor uncertainty regarding future growth and profitability.

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Stock Movement Drivers

Fundamental Drivers

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Market Drivers

6/30/2026 to 10/16/2026
ReturnCorrelation
HLSQ  
Market (SPY)2.2%41.9%
Sector (XLK)-3.7%24.6%

Fundamental Drivers

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Market Drivers

3/31/2026 to 10/16/2026
ReturnCorrelation
HLSQ  
Market (SPY)17.7%41.9%
Sector (XLK)38.2%24.6%

Fundamental Drivers

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Market Drivers

9/30/2025 to 10/16/2026
ReturnCorrelation
HLSQ  
Market (SPY)15.5%41.9%
Sector (XLK)30.7%24.6%

Fundamental Drivers

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Market Drivers

9/30/2023 to 10/16/2026
ReturnCorrelation
HLSQ  
Market (SPY)84.7%41.9%
Sector (XLK)127.8%24.6%

Return vs. Risk

Price Returns Compared

 202120222023202420252026Total [1]
Returns
HLSQ Return------80%-80%
Peers Return1%1%20%26%70%-15%121%
S&P 500 Return27%-19%24%23%16%14%108%

Monthly Win Rates [3]
HLSQ Win Rate-----0% 
Peers Win Rate55%48%57%68%70%40% 
S&P 500 Win Rate75%42%67%75%67%50% 

Max Drawdowns [4]
HLSQ Max Drawdown------ 
Peers Max Drawdown-23%-29%-23%-21%-23%-42% 
S&P 500 Max Drawdown-5%-25%-10%-8%-19%-9% 


[1] Cumulative total returns since the beginning of 2021
[2] Peers: LHX, RTX, LDOS, CACI, KTOS.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 10/16/2026 (YTD)

How Low Can It Go

HLSQ has limited trading history. Below is the Information Technology sector ETF (XLK) in its place.

EventXLKS&P 500
2025 US Tariff Shock
  % Loss-25.7%-18.8%
  % Gain to Breakeven34.5%23.1%
  Time to Breakeven65 days79 days
2024 Yen Carry Trade Unwind
  % Loss-17.0%-7.8%
  % Gain to Breakeven20.4%8.5%
  Time to Breakeven92 days18 days
Summer-Fall 2023 Five Percent Yield Shock
  % Loss-10.0%-9.5%
  % Gain to Breakeven11.2%10.5%
  Time to Breakeven15 days24 days
2022 Inflation Shock & Fed Tightening
  % Loss-33.1%-24.5%
  % Gain to Breakeven49.5%32.4%
  Time to Breakeven246 days427 days
2020 COVID-19 Crash
  % Loss-31.2%-33.7%
  % Gain to Breakeven45.2%50.9%
  Time to Breakeven78 days140 days
Q4 2018 Fed Policy Error / Growth Scare
  % Loss-23.8%-19.2%
  % Gain to Breakeven31.2%23.8%
  Time to Breakeven100 days105 days

Compare to LHX, RTX, LDOS, CACI, KTOS

In The Past

State Street Technology Select Sector SPDR ETF's stock fell -25.7% during the 2025 US Tariff Shock. Such a loss loss requires a 34.5% gain to breakeven.

Preserve Wealth

Limiting losses and compounding gains is essential to preserving wealth.

Asset Allocation

Actively managed asset allocation strategies protect wealth. Learn more.

HLSQ has limited trading history. Below is the Information Technology sector ETF (XLK) in its place.

EventXLKS&P 500
2025 US Tariff Shock
  % Loss-25.7%-18.8%
  % Gain to Breakeven34.5%23.1%
  Time to Breakeven65 days79 days
2022 Inflation Shock & Fed Tightening
  % Loss-33.1%-24.5%
  % Gain to Breakeven49.5%32.4%
  Time to Breakeven246 days427 days
2020 COVID-19 Crash
  % Loss-31.2%-33.7%
  % Gain to Breakeven45.2%50.9%
  Time to Breakeven78 days140 days
Q4 2018 Fed Policy Error / Growth Scare
  % Loss-23.8%-19.2%
  % Gain to Breakeven31.2%23.8%
  Time to Breakeven100 days105 days
2008-2009 Global Financial Crisis
  % Loss-51.5%-53.4%
  % Gain to Breakeven106.2%114.4%
  Time to Breakeven797 days1085 days

Compare to LHX, RTX, LDOS, CACI, KTOS

In The Past

State Street Technology Select Sector SPDR ETF's stock fell -25.7% during the 2025 US Tariff Shock. Such a loss loss requires a 34.5% gain to breakeven.

Preserve Wealth

Limiting losses and compounding gains is essential to preserving wealth.

Asset Allocation

Actively managed asset allocation strategies protect wealth. Learn more.

About Tessera Defense and Homeland Security (HLSQ)

Tessera Defense and Homeland Security (HLSQ) is a clinical-stage microbiome company specializing in the development of therapeutic products. The company leverages natural and engineered phage technologies, which are viruses that specifically target and kill harmful bacteria. HLSQ's efforts are aimed at addressing a wide range of medical conditions, including bacterial infections affecting skin appearance, chronic inflammatory diseases, and certain types of cancer.

HLSQ's product pipeline features several investigational therapies. BX004 is a phage therapy undergoing Phase 1b/2a clinical trials for cystic fibrosis patients suffering from chronic Pseudomonas aeruginosa respiratory infections. Another candidate, BX005, is a topical phage cocktail in Phase 1/2 study, designed to target Staphylococcus aureus bacteria associated with atopic dermatitis. The company is also developing BX003, an orally administered phage cocktail in Phase 1b/2a, which aims to target specific gut bacteria implicated in inflammatory bowel diseases (IBD) and primary sclerosing cholangitis (PSC). Additionally, HLSQ has a colorectal cancer program that utilizes engineered phage delivered intravenously to target Fusobacterium nucleatum bacteria residing within tumor microenvironments.

The primary markets for Tessera Defense and Homeland Security (HLSQ) include patients with chronic bacterial infections such as cystic fibrosis, inflammatory bowel diseases, and primary sclerosing cholangitis. The company also targets individuals with bacterial-related skin conditions like atopic dermatitis and those with colorectal cancer, providing innovative phage-based solutions to address significant unmet medical needs in these therapeutic areas.

AI Analysis | Feedback

1. Like a specialized biotech company (e.g., Moderna), but they engineer natural viruses (phages) to precisely kill specific harmful bacteria.

2. Imagine an antibiotic company, but their 'medicine' is natural viruses that specifically hunt and destroy only the harmful bacteria.

AI Analysis | Feedback

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AI Analysis | Feedback

BiomX Inc. (symbol: HLSQ) is a clinical-stage microbiome company focused on developing phage therapies. As per the provided background, the company is primarily engaged in research, development, and clinical trials for its pipeline products, including BX004 for cystic fibrosis, BX005 for atopic dermatitis, BX003 for inflammatory bowel diseases and primary sclerosing cholangitis, and a program for colorectal cancer.

Given its clinical-stage status, BiomX Inc. does not currently have major commercial customers in the traditional sense of selling its products to individuals or other companies. Its activities are centered on advancing its therapies through the regulatory approval process rather than commercial sales.

AI Analysis | Feedback

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AI Analysis | Feedback

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AI Analysis | Feedback

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AI Analysis | Feedback

Tessera Defense and Homeland Security (HLSQ), formerly known as BiomX Inc. (PHGE), has recently rebranded and shifted its focus from a clinical-stage microbiome company to a physical security technology platform. The company's common stock began trading under the symbol HLSQ on the NYSE American on September 11, 2026.

Tessera Defense and Homeland Security's main products and services now encompass integrated security solutions for defense, security, and critical infrastructure. These include counter-drone systems, AI-enabled command-and-control, perimeter security, wide-area surveillance, video analytics, and aerial firefighting. The company's platform integrates cameras, sensors, detection technologies, and artificial intelligence to detect threats and coordinate real-time responses.

The addressable markets for Tessera Defense and Homeland Security's main products and services, with market sizes projected for 2030, are global and include:

  • Critical Infrastructure Protection: up to $197.3 billion.
  • Emergency Response: up to $3.3 billion.
  • The company also addresses other high-growth markets such as counter-UAS, perimeter security, AI command-and-control, and video analytics.

Tessera's technologies are actively deployed in various regions, including the U.S., Mexico, Israel, UAE, and European security programs.

AI Analysis | Feedback

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AI Analysis | Feedback

<h3>Capital Allocation Decisions for Tessera Defense and Homeland Security (HLSQ)</h3> <h4>Share Issuance</h4> <ul> <li>The company implemented a one-for-ten reverse stock split on September 9, 2026, reducing outstanding common stock and authorized shares significantly.</li> <li>As part of its acquisition strategy, BiomX issued 1,300,000 shares of common stock as partial consideration for the acquisition of Zorronet.</li> <li>Stockholders approved an amendment to the 2026 Equity Incentive Plan on June 26, 2026, increasing reserved shares by 5,460,000 to a total of 6,850,000.</li> </ul> <h4>Inbound Investments</h4> <ul> <li>The company plans to seek additional capital through equity, debt, or grants to support its operations, although there is substantial doubt about its ability to continue as a going concern.</li> <li>The NYSE American accepted the company's plan to regain compliance with listing standards, providing a compliance period through September 25, 2027.</li> </ul> <h4>Outbound Investments</h4> <ul> <li>In April 2026, the company acquired 100% of Zorronet, an AI-powered security company, and a 60% stake in DFSL, which specializes in LADAR-based detection.</li> <li>The acquisition of Zorronet involved issuing 1,300,000 shares of common stock and a $1,250,000 non-convertible promissory note.</li> <li>In August 2026, BiomX Inc. agreed to acquire a 10% stake in MEA Motomova India Private Limited/M.E.A. Testing Systems Ltd. for $0.29 million.</li> </ul> <h4>Capital Expenditures</h4> <ul> <li>The company's strategy involves acquiring specialized companies to develop a portfolio addressing emerging security gaps rather than traditional capital expenditures.</li> <li>Cash needs are expected to increase as revenues from the newly acquired DFSL and Zorronet begin in Q2 2026 and operations ramp up.</li> <li>The newly formed X Security subsidiary is funded for its 2026 operations.</li> </ul&

Recent Active Movers

Peer Comparisons

Peers to compare with:

Financials

HLSQLHXRTXLDOSCACIKTOSMedian
NameTessera .L3Harris.RTX Leidos CACI Int.Kratos D. 
Mkt Price0.22247.97193.79124.80614.0040.18159.29
Mkt Cap-46.2261.815.713.67.615.7
Rev LTM-22,93293,50017,6349,5681,52217,634
Op Inc LTM-2,31310,4852,080920232,080
FCF LTM-2,80810,9852,163780-1292,163
FCF 3Y Avg-2,1527,2081,645565-621,645
CFO LTM-3,29214,2062,300887-402,300
CFO 3Y Avg-2,59410,3851,800644121,800

Growth & Margins

HLSQLHXRTXLDOSCACIKTOSMedian
NameTessera .L3Harris.RTX Leidos CACI Int.Kratos D. 
Rev Chg LTM-7.3%11.8%3.4%10.9%25.5%10.9%
Rev Chg 3Y Avg-8.6%10.0%5.9%12.6%16.6%10.0%
Rev Chg Q-8.4%14.5%7.2%17.6%30.5%14.5%
QoQ Delta Rev Chg LTM-2.0%3.5%1.8%4.4%7.6%3.5%
Op Inc Chg LTM-4.5%26.0%2.9%20.4%13.2%13.2%
Op Inc Chg 3Y Avg-9.9%56.7%21.9%17.5%109.1%21.9%
Op Mgn LTM-10.1%11.2%11.8%9.6%1.5%10.1%
Op Mgn 3Y Avg-9.9%8.3%11.2%9.0%2.3%9.0%
QoQ Delta Op Mgn LTM-0.2%0.3%-0.4%0.3%-0.4%0.2%
CFO/Rev LTM-14.4%15.2%13.0%9.3%-2.6%13.0%
CFO/Rev 3Y Avg-11.9%12.5%10.6%7.4%1.4%10.6%
FCF/Rev LTM-12.2%11.7%12.3%8.2%-8.5%11.7%
FCF/Rev 3Y Avg-9.8%8.6%9.7%6.5%-4.4%8.6%

Valuation

HLSQLHXRTXLDOSCACIKTOSMedian
NameTessera .L3Harris.RTX Leidos CACI Int.Kratos D. 
Mkt Cap-46.2261.815.713.67.615.7
P/S-2.02.80.91.45.02.0
P/Op Inc-20.025.07.614.8326.620.0
P/EBIT-16.422.47.814.8193.816.4
P/E-24.833.811.425.3245.225.3
P/CFO-14.018.46.815.3-191.414.0
Total Yield-6.0%4.4%10.1%3.9%0.4%4.4%
Dividend Yield-2.0%1.4%1.4%0.0%0.0%1.4%
FCF Yield 3Y Avg-4.4%3.9%10.2%4.7%-0.7%4.4%
D/E-0.20.10.40.40.00.2
Net D/E-0.20.10.40.4-0.20.2

Returns

HLSQLHXRTXLDOSCACIKTOSMedian
NameTessera .L3Harris.RTX Leidos CACI Int.Kratos D. 
1M Rtn-68.9%-1.1%-1.5%-3.5%-2.7%-15.6%-3.1%
3M Rtn-82.4%-11.6%0.5%17.6%33.0%-12.7%-5.6%
6M Rtn-82.4%-28.6%-0.6%-19.0%16.5%-43.4%-23.8%
12M Rtn-82.4%-11.3%25.2%-31.5%18.5%-54.7%-21.4%
3Y Rtn-82.4%47.3%178.4%35.2%79.6%128.3%63.5%
1M Excs Rtn-69.3%-3.2%-2.1%-6.9%-5.5%-17.9%-6.2%
3M Excs Rtn-87.3%-16.1%-4.9%12.1%31.2%-17.4%-10.5%
6M Excs Rtn-91.9%-38.1%-10.2%-28.6%6.9%-52.9%-33.4%
12M Excs Rtn-99.4%-30.0%8.2%-49.4%1.7%-72.6%-39.7%
3Y Excs Rtn-160.9%-29.6%102.3%-43.4%2.8%58.0%-13.4%

Comparison Analyses

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Segment Financials

Operating Income by Segment
$ Mil2024
Clinical stage product discovery company developing products using both natural and engineered-45
Total-45


Assets by Segment
$ Mil20242023202220212020
Clinical stage product discovery company developing products using both natural and engineered4325467870
Total4325467870


Price Behavior

Price Behavior
Market Price$0.22 
First Trading Date03/13/2019 
Distance from 52W High-82.4% 
   50 Days200 Days
DMA Price  
DMA Trend  
Distance from DMA  
 3M1YR
Volatility136.9%136.9%
Downside Capture  
Upside Capture  
Correlation (S&P 500)  
HLSQ Betas & Captures as of 9/30/2026

 1M2M3M6M1Y3Y
Beta-0.91-0.610.733.31-0.09-0.27
Up Beta9.600.58-2.28-7.08-2.753.38
Down Beta-4.22-10.52-3.48-1.48-8.32-5.86
Up Capture-59%-26%-17%-6%-2%-0%
Bmk +ve Days6162766132424
Stock +ve Days222222
Down Capture1083%718%448%256%132%76%
Bmk -ve Days16263760120328
Stock -ve Days101010101010

[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
Annualized
Return
Annualized
Volatility
Sharpe
Ratio
Correlation
with HLSQ
HLSQ-82.5%136.9%-11.68-
Sector ETF (XLK)29.7%26.4%0.9524.6%
Equity (SPY)15.8%12.7%0.8641.9%
Gold (GLD)-1.4%29.4%-0.0524.1%
Commodities (DBC)50.4%20.7%1.86-13.8%
Real Estate (VNQ)4.8%13.7%0.0915.8%
Bitcoin (BTCUSD)-25.9%43.6%-0.5734.0%

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Based On 5-Year Data
Annualized
Return
Annualized
Volatility
Sharpe
Ratio
Correlation
with HLSQ
HLSQ-29.4%136.9%-11.68-
Sector ETF (XLK)20.2%26.0%0.6924.6%
Equity (SPY)13.2%17.1%0.5941.9%
Gold (GLD)18.4%18.9%0.7924.1%
Commodities (DBC)9.6%19.5%0.37-13.8%
Real Estate (VNQ)1.6%18.8%-0.0215.8%
Bitcoin (BTCUSD)8.8%51.8%0.3534.0%

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Based On 10-Year Data
Annualized
Return
Annualized
Volatility
Sharpe
Ratio
Correlation
with HLSQ
HLSQ-16.0%136.9%-11.68-
Sector ETF (XLK)23.9%25.0%0.8624.6%
Equity (SPY)15.2%17.9%0.7241.9%
Gold (GLD)12.3%16.4%0.6124.1%
Commodities (DBC)8.1%18.1%0.36-13.8%
Real Estate (VNQ)5.2%20.7%0.2115.8%
Bitcoin (BTCUSD)63.2%66.2%1.0334.0%

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Short Interest

Short Interest: As Of Date9302026
Short Interest: Shares Quantity0.1 Mil
Short Interest: % Change Since 915202674.9%
Average Daily Volume1.2 Mil
Days-to-Cover Short Interest1

SEC Filings

Expand for More
Report DateFiling DateFiling
12/31/202403/25/202510-K
09/30/202411/14/202410-Q
06/30/202408/14/202410-Q
03/31/202405/20/202410-Q
12/31/202304/04/202410-K
09/30/202311/14/202310-Q
06/30/202308/09/202310-Q
03/31/202305/15/202310-Q
12/31/202203/29/202310-K
09/30/202211/09/202210-Q
06/30/202208/10/202210-Q
03/31/202205/11/202210-Q
12/31/202103/30/202210-K
09/30/202111/15/202110-Q
06/30/202108/16/202110-Q
03/31/202105/24/202110-Q
Collapse to Preview
Report DateFiling DateFiling
12/31/202403/25/202510-K
09/30/202411/14/202410-Q
06/30/202408/14/202410-Q
03/31/202405/20/202410-Q
12/31/202304/04/202410-K
09/30/202311/14/202310-Q
06/30/202308/09/202310-Q
03/31/202305/15/202310-Q
12/31/202203/29/202310-K
09/30/202211/09/202210-Q
06/30/202208/10/202210-Q
03/31/202205/11/202210-Q
12/31/202103/30/202210-K
09/30/202111/15/202110-Q
06/30/202108/16/202110-Q
03/31/202105/24/202110-Q
12/31/202003/31/202110-K
09/30/202011/12/202010-Q
06/30/202008/13/202010-Q
03/31/202005/14/202010-Q
12/31/201903/26/202010-K
09/30/201910/16/201910-Q
06/30/201908/21/201910-K
03/31/201905/10/201910-Q
12/31/201802/06/201910-Q
09/30/201812/14/2018424B4
Core Cache Last Updated: 10/16/2026