Coastal Integrated Services Inc. (OTCMKTS:COLV)’s Pump Fails
After re-surfacing from near-illiquid obscurity for a single day with a 106% climb, Coastal Integrated Services Inc. (OTCMKTS:COLV) dropped 24.24% in yesterday’s session – and it’s not hard to see why.
In spite of being compensated with just $25 thousand, PennyStockNewsletters and BeatPennyStocks did an excellent job touting COLV. The ticker managed a nice pump jump before inevitably heading down once more.
In elaboration of the previous statement – yes, COLV‘s crash was inevitable, because that’s what OTC Markets pumps do – and upon examination, COLV seems to be a textbook example of an OTC Markets pump-job.
All the ingredients are in place – we have a pump by a notorious promoter touting a mediocre OTC markets company. That COLV is exactly that can be ascertained by a quick glance at its financials:
- Cash & Total Current Assets – $1 thousand
- Total Current Liabilities – $306 thousand
- No revenues
- Net Loss – $452 thousand
Those numbers are atrocious, but when all is said and done, they are not even the worst red flag to be found in the company’s reports.
The fact that COLV has had to perform a 1 for 2500 reverse split to retain some liquidity speaks volumes in and of itself. The fact that the company had 352 MILLION shares mere months after doing so is also indicative of the way COLV does business. Additionally, the total of the company’s common stock outstanding has nearly quadrupled in the last two years, easily reaching 1.12 BILLION as of March 2016.
And it’s not really like the issuance is at an end – last time it reported, the company had more than 180 thousand worth of convertible notes.
So we have a paid pump, touting an idle company that’s in the habit of drowning investors in dilution. What more needs to be said on the matter?
