Quantum International Corp. (OTCMKTS:QUAN) Attempts Recovery
The past few days saw a whipsaw movement for Quantum International Corp. (OTCMKTS:QUAN), as the stock reached 29 cents on Monday, adding 18%. The buying volumes were tentative, just a tenth of what investors sought at the end of May.
What is even stranger is that QUAN rises of its own accord, and so far failed to attract the interest of investors. The company, however, smartly attracts interest by linking its name with the iPad. QUAN promised to produce side gadgets for the most wanted tablet. When this will happen is still unknown, but the connection with Apple has boosted the positions of many penny stocks.
The company is capped now at $11 million, and here is how this matches up to the fundamental data:
- Cash: $13 thousand
- Current assets: $13 thousand
- Current liabilities: $1.4 million
- Zero revenue since reentering the development stage
- Quarterly net loss: $281 thousand
For such small resources, the business description of QUAN is quite ambitious, starting with consumer electronics, aiming at achieving lifestyle-enhancing robotics and other curious and ingenious helping electronics. But we can safely assume QUAN is after the cash cow business of supplying side additions to existing devices.
But so far, the innovative iPad cases are still in development. Also in development is an idea to pre-load the iPad with professional documents for specialists such as medical personnel, firemen and other emergency professions.
It’s also a wonder why QUAN is not already promoted, since its current director Robert Federowicz was involved with two other companies, First Titan Corp (OTCBB:FTTN) and OBJ Enterprises, Inc. the former Obscene Jeans Corp. (OTCBB:OBJE). Those two were heavily promoted before they reached extremely depressed stock levels. The company’s current legal counsel, Kathleen Delaney, is also known for involvement with penny stock promotions. Another red flag for QUAN are the numerous name changes, four former names and tickers since 2007.
If pumpers take up QUAN, we may see a more dynamic development, but at 29 cents, this pink sheet has a long way to fall. It is best to stay away unless you can afford the losses when QUAN follows the fate of other tickers that spiked and crashed on paid promotions.