That Marketing Solution Inc (OTCMKTS:TSTS) Crumbles To Dust

Last Thursday the newsletter Wolf of Penny Stocks decided to start touting the stock of That Marketing Solution Inc (OTCMKTS:TSTS). Of course they didn’t do it for free disclosing a $50 thousand compensation for a single day of marketing services. For as long as we have been covering pumped stocks we have always warned you that it is extremely dangerous to believe the words of any of the numerous pump outfits and what happened with TSTS is exactly the reason why.

On Thursday, the day The Wolf of Penny Stocks issued its alert for the stock, TSTS got demolished. The company finished the trading day with a loss of more than 45% at $0.049. On Friday the situation got even worse and this time the ticker got cut exactly in half – a loss of 50% and a close at $0.0245. So, if you bought any shares at Thursday’s opening price of $0.09 you would now be facing losses of over 72%.

The pumper did issue an email apologizing for the disaster and that a new pick is coming soon. Is there a chance that if the stock is left to move on its own it could recover at least some of the ground it lost? After such a rapid depreciation a bounce is indeed possible but even without the pumpers TSTS remains extremely dangerous.

The last PR published by TSTS is now close to three months old while the latest quarterly report revealed that at the end of May 31 the company had:

• $3238 cash
• $74,079 total current assets
• $622 thousand total current liabilities
• ZERO revenues
• $386 thousand net loss

The more recent filings submitted by TSTS also raise some serious concerns. An 8-K form filed on October 14 showed that the terms of one of the convertible notes sold by the company back in March have been amended and now after October 20 its owners can turn it into shares at the lower of $0.13 or a 50% discount from the lowest bid price during the 10 days preceding the notice of conversion. Another 8-K form, this time filed on October 21, revealed that TSTS has sold a convertible promissory note with a conversion price equal to the lower of $0.10 or 60% of the lowest trade price during the 25 days preceding the conversion to one of the most infamous toxic funders – JMJ Financial.

In short, TSTS have been silent for months now, their last reported financials are simply abysmal, and they have outstanding convertible debt that can be turned into shares at a massive discount to the market price. It should be obvious that TSTS is an extremely dangerous choice that demands extensive due diligence.

In early trading today the stock initially surged upwards by more than 40% but quickly reversed its direction currently sitting a little over 2% in the red at $0.0239.

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