America Resources Exploration Inc (OTCMKTS:AREN) Is Free Falling
The lucky investors who managed to get out on time can now sit on the sidelines and watch the spectacular crash of America Resources Exploration Inc (OTCMKTS:AREN). The stock slid another 21% yesterday, plunging under a dime per share with ease and stopping at $0.084 by the closing bell.
AREN managed the impressive feat of crashing 86% within the span of seven consecutive red sessions. We have been covering the stock for a while, ever since it started getting pumped to high heaven in early August. We warned about the paid pumps compensated with thousands and thousands of dollars paid to various promoter outfits by third party Intraday Holdings Ltd.
And of course, in the end, things played out just like all paid pumps do – as the pump ran its course and started to fizzle, the stock crashed horribly, burning many who bought into the candied promises of the paid promoters.
AREN is currently stamped with the skull and crossbones “Buyer beware” symbol on OTC Markets. The company operates out of a virtual office and had the following numbers on its last reported balance sheet:
- $145 thousand in cash
- $63 thousand in current liabilities
- ZERO revenues since inception
- $16 thousand in quarterly net loss
Even though the pumpers called the drop to $0.20 per share a “discount” and a “buying opportunity”, the next few sessions managed to make even the most zealous promoters pack it in.
In all of our previous articles on AREN we have been repeatedly warning about the flaring red flags in past share issuances, financials and paid pumps put in circulation. There is a lesson learned with this little story, regardless of whether investors managed to avoid a nasty burn or had to learn the hard way.
