Is SK3 Group, Inc. (OTCMKTS:SKTO) About to Crash
After the incredibly good end of the past week for the stock of SK3 Group, Inc. (OTCMKTS:SKTO), this one started off rather promising as well. The company recorded a big jump in value again and the total percentile gain for the past 3 sessions that SKTO recorded amounts to a whopping 286%.
Yesterday we saw quite some action in the trading of SKTO‘s stock, while the ticker gained a hefty 44.44% in value, despite the dumping fiasco that took place in the beginning of the session. By the end of the day a total of 46 million shares had switched hands and helped generate a dollar volume of an estimated $613 thousand.
It seems, however, that the massive gains that were recorded in such a small amount of time, combined with the huge amount of dumped stock are calling for a correction.
Today’s session didn’t start so well for SKTO‘s stock and even though trading is a bit quieter than yesterday, looking at the intraday chart we see a very unpromising picture. The stock is swaying in both ways, currently being traded 9% cheaper than yesterday’s close at $0.013 after it went as low as $0.011 per share.
It is all for the time to say if this will be the first red session since SKTO started gathering momentum in an upward direction. If you have been keeping an eye on the company you would know that they recorded pretty decent financials most recently and the direction of their price might switch courses by the end of the day.
- cash: $0
- net receivables: $18 million
- current liabilities: $893 thousand
- revenues: $13.4 million
- net income: $12.8 million
Judging by these numbers we can say that business is booming and SKTO‘s financial statement looks very good, despite the $0 they have on hand. What is troubling is the fact that even as we see less trades in the last minutes the price doesn’t recover.
In any case be sure to do a lot of due diligence and weigh out the risks, especially when dealing with medical marijuana companies.
One of the most stable stocks in the medical cannabis business is that of Medical Marijuana, Inc. (OTCMKTS:MJNA), who are still hovering around $0.15 per share. On the other hand, Hemp, Inc. (OTCMKTS:HEMP) is still sliding in a downward direction, currently priced at $0.017.
