Cherubim Interests Inc (OTCMKTS:CHIT) Explodes Up The Charts
Cherubim Interests Inc (OTCMKTS:CHIT) had been sitting at $0.05 in illiquid obscurity for a long long time, before a paid pump campaign targeting it backfired about a month ago. The ticker had fallen all the way down to $0.00226 since that time, before bouncing an astounding 262.83% yesterday.
Let’s just start off by saying this – every single thing about this screams “BUYER BEWARE!”. While there are appear to be no pump e-mails in our inboxes, it certainly looks like CHIT is currently being touted rather successfully. Why?
Because apart from a rather successful paid pump, there doesn’t exist a force on the OTC Markets that could push CHIT up the charts in the condition it is now. We covered CHIT last time it crashed, and its outlook was pretty grim. Nothing has really changed since that time – except perhaps promoters doing a better job this time around.
The company is yet to file a new financial report, and as we have mentioned before, the numbers the old one gave were simply dreadful:
- NO ASSETS
- current liabilities – $2.4 MILLION
- NO REVENUES
- Quarterly operating loss – $289 thousand
And unfortunately CHIT‘s share structure isn’t faring any better:
- As of July 9, 2014 CHIT had 31.1 MILLION shares outstanding.
- On July 16 CHIT performed a 1 for 15 reverse split.
- As of July 20, 2015 CHIT had 58.6 MILLION shares outstanding.
So let’s do a quick recap. Paid pumps? Check. Rampant dilution? Check. Depressing financials? Check. At this point it should be obvious why investors should be extremely wary of CHIT. It wouldn’t really be surprising to see the ticker plummet all the way to triple zeros before the week is out.
