The Stock Hunter Hunts Down VG Life Sciences Inc (PINK:VGLS)
A ten-thousand-dollar promotion pushed the stock of VG Life Sciences Inc (PINK:VGLS) up 46% yesterday, which is why we could safely deem its potential already exhausted. For pump jobs do not last long as seen from the loads of examples we have provided so far.
Closing trade at $0.54, VG Life soared almost 46% on a volume of 442 thousand, seven times higher than the average daily trading volume of the stock. To a certain extent, this surge could be attributed to the dozen promo emails which started flooding our database as soon as Monday’s session came to a close.
As it seems, VGLS has caught the attention of promoters such as Stock Hunter and Hero Stocks mainly because of its relatively low float, as well as its recently hit low of $0.19. What these promoters have not included in their emails, however, are a couple of facts that could hardly raise investors’ enthusiasm about this stock, namely:
- VGLS‘s dreadful six-month chart performance;
- VGLS‘s name change which occurred less than two months ago;
- the huge 1-for-600 reverse stock split executed in late-November.
Needless to say, the company’s attempts to buck the negative trend by both changing its name and carrying out a reverse split have turned into a dismal failure. In this respect, a paid promotion seems like the last possible measure to at least artificially boost VGLS‘s market value. The good news is that such a boost is a fact. The bad news, on the other hand, is that such a jump could only occur for a short while as all the interested guys behind the pump will certainly ride the promo wave until they dump their shares and saturate the market.
In case you have already bought a stake in VGLS expecting a further appreciation, getting out could only be a reasonable move at this stage. Otherwise, you risk experiencing the fate of all penny stocks previously touted by The Stock Hunter. Should you have chosen not to give this pump a chance, you would certainly be better off putting your money into a company that does not need artificial pumping to climb up the charts.