AJ Greentech Holdings Ltd. (OTCMKTS:AJGH) Surges on Pumps
In Monday’s session the stock of AJ Greentech Holdings, Inc. (OTCMKTS:AJGH) went through the roof on huge volume. The price went up 160% on over 7 million shares traded – more than the company shifted over the last three full months of trading. The primary reason for the sudden move is a volley of pump emails sent over the last two days.
Nine tout emails were sent out by a number of promoter outfits. The pumpers were compensated with an average of $15 thousand for their advertising efforts, paid out by XCP, Inc. The pumps were full of the usual promoter drivel, comparing AJGH to huge mega-corporations such as Tesla Motors. AJGH dropped a conveniently timed press release yesterday morning, before the opening bell. The combination of the PR and the weekend pump warmup led to the huge volume after multiple zero-trade days over the past months.
The announcement stated AJGH intends to manufacture an electric car, the e6 electric taxi. The operational parameters of the e6 listed in the PR are disturbingly close to those of a top-end Tesla Motors car. Excited investors are probably wondering how AJGH intends to go toe to toe with Elon Musk’s corporate giant. Here is what the company had to show on its books as of its last financial report:
- $320 thousand in cash a/o September 30, 2014
- $1.2 million in current liabilities
- $1.16 million in Q3 revenues
- $267 thousand in Q3 net income
How AJGH intends to produce high-performance electric cars with the $320,000 it has in the bank is not too clear. It’s also worth mentioning that the pumps quote the company’s amazing QoQ revenue growth of nearly 100%. However, the last report details that revenue was derived from “the consulting service, etc.” What that means is not too clear either.
The last time AJGH shifted millions of shares in a single day was back in July 2014. Sadly, this was once again caused by pump emails. The chart on the upper right shows how well AJGH fared after the promotion. Damn Good Penny Picks (DGPP) was one of the promoters that touted AJGH on Sunday. If the past performance of the promoter is any indication, AJGH may be in for a rough ride over the next few days. DGPP advertised EFactor Group Corp. (OTCMKTS:EFCT) on Nov 9. The stock went to crash 46% over the three sessions following the pump.
