Marilynjean Interactive Inc (OTCMKTS:MJMI) Climbs Further Up
After closing last Friday’s session flat at $1.08 yesterday the stock of Marilynjean Interactive Inc (OTCMKTS:MJMI) managed to add another 5.5% to its value. The gain was not particularly impressive but the fact that the ticker is currently trading at $1.14 per share definitely is. Furthermore, with this latest move up the chart the market cap of the company as displayed on OTCMarkets has surpassed $221 million.
Such valuation is not only overly-inflated it has absolutely no connection to the underlying fundamentals of the company. After going through three different business plans MJMI had the following financials as of June 30:
• $5,571 cash
• $7,833 total current assets
• $198 thousand total liabilities
• ZERO revenues
• $1676 net income
Yesterday the company did announce that they are in negotiations with a provider of Bitcoin-based remittance services but that is far from enough to justify the company’s market cap. Especially when you take into consideration that despite being rather long the press article contained little more them fluff. And as we said MJMI didn’t announce any concrete results simply stating that they have “entered into advanced discussions”.
Some of you might notice that the outstanding shares listed on the OTCMarkets profile of the company still include the 21 million free trading shares that were cancelled at the start of the month. The problem is that even if the O/S count has been reduced that still doesn’t mean that the current share price is justified.
Not to mention that it was not revealed if the canceled shares were part of the 42,385,500 units priced at $0.01 per unit that were issued in July 2012. While all the warrants that were associated with these unit expired without being exercised the common shares that were issued could devastate the stock if they find their way to the open market. Just ask yourselves – what would you do if you owned millions of shares that you bought at $0.01 each while at the moment you can sell them at over $1.1 ?
