LM Funding America (NASDAQ: LMFA) stock just experienced a roller coaster ride in price this week. The stock broke through the $12 per share in early this year, and now, it only has $5. So, is this stock worth buying now?

LM Funding is a technology-based specialty finance company that provides funding to Community Associations and helps cover their attorney fees. The company turns debt into instant cash with a unique business idea, freeing associations from the burden of collection and allowing them to continue to maintain their operations. 

The company's revenue was down by 48% in the first quarter of 2021 compared to the same period last year, and its operating loss also widened in the quarter. However, the company's cash position has increased to $17.8 million as of March 31, and continues to develop a digital asset technology strategy to unlock the potential of its business. So, its revenue may increase significantly in the next quarter.

For LMFA stock, investors should continue to watch, but it does not seem to be the best buying point now.

Disclaimer: The opinions expressed in this article are solely those of the featured analysts. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.