No, RXMD is the total opposite. Gerber was growing its debt while reporting a profit, meanwhile their company itself wasn't growing its revenues.
Even though RXMD isn't showing a profit on their balance sheet, look at what they've done: All debts paid off quickly; no revolving debts, gained an asset that cost more on paper than it is worth, and gave up some revenue as part of that deal (which they reported as an expense for tax purposes.)
In reality, this is just a loss on paper. Their revenues are higher than ever, and they sacrificed their income to gain a new source of revenue. Q3's 10Q should show even higher revenues. I'm not going to predict their net profit/loss is because it isn't necessarily a good idea to report an income of you can get away with not reporting one. (If I were them, I'd do whatever financial trickery is necessary to minimize the tax burden this year. As it is, they can report a net loss and thus little to no tax burden, meanwhile they are in fact making gains.)
Competent investors can see this. A company that is aggressively reinvesting its earnings isn't expected to post an income, especially if there are strong signals that they really are growing (which there are.) Hence the price is increasing, and may continue to do so (or at the very least, hold its position in the 7s) till about November 15th, barring some external financial event not specific to RXMD.
RXMD's apparent financial strategy is not only a commonly used one, but they're executing it well. While I can't audit their statements (duh), what I'm seeing here so far tells me that the management is doing a good job.
