Bioelectronics Corp (OTCMKTS:BIEL) Surges Out Of Nowhere

[[tagnumber 0]][[tagnumber 1]]After some decent performance in the first half of October that pushed Bioelectronics Corp (OTCMKTS:BIEL) above the $0.002 mark in a matter of just two sessions we saw the ticker lose ground and obliterate nearly all the gains that the ticker had made in a very short period of time.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]After that we saw [[tagnumber 6]]BIEL[[tagnumber 7]] hover around the $0.001 per share mark throughout the second half of last month and through the first half of this month. The company did issue several press releases, but they failed to do anything for the company stock. Looking at the numbers contained in the latest financial filing of [[tagnumber 6]]BIEL[[tagnumber 7]] we are not very surprised.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 13]] [[tagnumber 14]]cash: $29 thousand[[tagnumber 15]] [[tagnumber 14]]current assets: $668 thousand[[tagnumber 15]] [[tagnumber 14]]current liabilities: $5.46 million[[tagnumber 15]] [[tagnumber 14]]quarterly revenues: $675 thousand[[tagnumber 15]] [[tagnumber 14]]quarterly net loss: $732 thousand[[tagnumber 15]] [[tagnumber 24]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]While we can’t go past the fact that the company is one of the few OTC pharmaceutical entities that has gone through the lengthy and expensive process of getting an approval from the FDA and the revenues that it has been generating are growing, we can’t ignore the fact that the other numbers contained in the report are quite terrible.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]Apart from the really small amount of cash on hand and the significant net loss we see that a fair share of the current liabilities of the company are in the form of payable notes to related parties. And while the conversion price of the notes is determined on a case–by–case basis we did get information that it is around 50% of the market price.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]Furthermore, as we have stated in our previous article, the number of authorized shares that is listed on the OTC markets website is out of date. A quick check with Maryland’s Secretary of State shows that it has grown from 8 billion to 11 billion in the past months, which leaves room for a lot of dilution.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]That, however, didn’t stop [[tagnumber 6]]BIEL[[tagnumber 7]] from surging 27.27% in yesterday’s session and closing with a price of $0.0014. We saw a total of 130 million shares change their owners and generate $152 thousand in daily dollar volume. Still, the company seems like it is ready to drop below the $0.001 per share mark pretty soon as it is standing 21.43% in the red as of the writing of this article.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]In any case, you should be sure to do your due diligence and weigh out the risks before putting any money on the line.[[tagnumber 2]]