Darth Trader Gives a Shot at BroadLeaf Capital Partners, Inc. (PINK:BDLF)

What is the simplest way to make a profit? Well, the first thing that comes to our mind is buying low and selling high. This must have also been the basic though of the managers of BroadLeaf Capital Partners, Inc. (PINK:BDLF) when they sold a stake in a major property to balance the budget. Was it a smart move, though, and are all those promoters who have received a whopping $350 thousand to tout BDLF right to praise the company for that specific transaction?

While selling an asset at a profit does make sense, it is by no means recommended when the asset in question is your only major investment. Unfortunately, BDLF‘s managers have done just that. As a result of the transaction, the company closed the nine-month period ended Sept. 30, 2012 at a net profit of $920 thousand. By contrast, the company’s net result for the corresponding period in 2011 amounted to a loss of $43 thousand. Of course, the army of promoters led by Darth Trader have done their best to present the stark contrast between these two figures in the best possible light.

What they have deliberately remained silent about is the fact that BDLF‘s stake in the 120-unit Canyon Shadows apartment complex was actually the company’s sole tangible asset. Indeed, the transaction surely helped it go in the black. However, what are BDLF‘s managers going to sell next time around to close the budget gap?

Incorporated way back in 1984, the company has undergone numerous attempts of restructuring and business expansion. Twenty-eight years have since gone by. So where are the fruits today, if any? At least, they do not exist in a financial form as the company’s accumulated deficit (since inception) exceeds $14 million.

Even though BDLF did jump spectacularly at the start of the current pump on Jan. 8, its potential for something more than a few-hours’ wonder quickly vanished into thin air. Yesterday, BDLF shares were down 50%. So, are the odds in favour of or against a new rally today?

In case you are having trouble answering the latter question, we suggest that you take a closer look at Darth Trader’s promotional record here. As soon as you have studied how miserably other penny stocks performed following a pump job similar to this one, you will certainly enlighten yourselves as to the nature of paid advertising.