Portlogic Systems Inc. (OTCMKTS:PGSY) Soars Even Higher
Portlogic Systems Inc. (OTCMKTS:PGSY) was launched 26.49% up the charts by a paid pump just minutes after the beginning of yesterday’s trading session and managed to maintain its gains all the way to its end. But how long can that last?
It’s really hard to give a precise answer to that question, but let’s just say that the prospects look bad. Really, really bad. The fact that the promotional outfit InvestorsAlley is being compensated with $10 thousand per week, up to a total of a whooping $200 thousand, in order to pump PGSY speaks loudly and clearly enough in and of itself.
Further due diligence on PGSY only confirms any suspicions investors may have had about the company’s dubious nature. Its financials look nothing short of mediocre:
- Cash and cash equivalents – $1.5 thousand
- Current assets – $63 thousand
- Current liabilities – $1.1 million
- Revenue – $123 thousand
- Net loss – $40 thousand
And if you think that that was bad enough, just wait until you take a look at the company’s dilution history:
- As of January 15, 2015 PGSY had 206,5 MILLION shares of common stock outstanding
- As of May 31, 2015, PGSY had 276 THOUSAND shares of common stock issued and outstanding.
- As of September 15, 2015, PGSY had 33.5 MILLION shares of common stock outstanding
Toxic funding has done horrendous tings to PGSY investor value in the past. Just four months ago, 1,000,000 shares of PGSY common stock were issued to a company named Fenwood Capital at a rate of $0.02 per share. It would be safe to assume that most of those 33.2 million shares that the company currently has outstanding came into existence as a result of similarly toxic conversions and issuance.
And the worst part is that since the company doesn’t seem to be too keen on reporting, there’s no way to know how much more PGSY stock may find its way on the market at any given point in time. The company’s 225 million shares authorized are not really a prohibitive cap and that, too, should be taken into consideration. Because at this point the skull and crossbones warning sign stamped on the company’s OTC Markets profile seems well earned.
When all is said and done, PGSY looks like it could go bad at any time. And when it does, the results could be disastrous for anyone still holding on to its shares.