Why NQ Mobile (NQ) Stock Is Down Today

NEW YORK (TheStreet) -- NQ Mobile (NQ) was falling -22.9% to $5.21 Thursday after the company announced changes to its board of directors and provided an update on its 2013 annual audit.

The company's auditor PwC said that "it would need to perform additional procedures and expand the scope of its 2013 audit work," according to an NQ Mobile press release. NQ Mobile said it is considering PwC's request, and that it will provide further updates when available.

In the same release, NQ Mobile announced that two independent directors, Max Yao and Justin Chen, will join the board and the audit committee on July 6. Yao will serve as the chair of the audit committee, replacing current chair Ying Han. Han said she is stepping down for personal reasons that aren't related to her role at the company.

Must read: Warren Buffett's 25 Favorite Stocks

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

TheStreet Ratings team rates NQ MOBILE INC -ADR as a Sell with a ratings score of D+. TheStreet Ratings Team has this to say about their recommendation:

"We rate NQ MOBILE INC -ADR (NQ) a SELL. This is driven by a few notable weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity, generally disappointing historical performance in the stock itself and feeble growth in its earnings per share."

If you liked this article you might like

The Bears Continue to Be Frustrated

NQ Mobile Stock Soaring on Deal to Divest FL Business, Sell Showself Unit

Market Recon: Understand How Interest Rates Affect You, and You Will Survive

Futures Traders Await Confirmation of Breakout Formations in the Move Higher

Analysts' Actions -- Chipotle, Disney, Brinker, JPMorgan and More