Hot Shot Stocks Pump PTA HOLDINGS INC (PINK:PTAH)’s Tires
If we are asked to write a summary of Hot Shot Stocks’ email from Friday, we would probably write: “Honk if you love PTA HOLDINGS INC (PINK:PTAH)”. If we have to elaborate further, we would simply paraphrase: “Honk if you love companies that nobody has ever heard of and that disclose no information about themselves whatsoever”.
Finding information on the Internet about PTAH is anything but easy. They are listed on the Pink tier on the OTC Markets and although they have filed a relatively recent financial report, things are still shrouded in mystery. Their website isn’t much of a source either.
Let’s start with the basics. PTAH is a company that, according to the descriptions has its core interest in the automotive industry. They say that they have developed a revolutionary engine lubrication product that is supposed to help with performance and fuel efficiency of cars, trucks and buses alike. This is not enough for a company like PTAH however, so they have also acquired a limited liability company called Kingsley Logistics Group, which should be operating in the field of transportation and shipping of all sorts of products to all sorts of destination across the US. PTAH also say that they intend to acquire one more company that deals with transportation – Norford LLC.
The diligent bunch that we are, we fired up the search engines and started looking for those companies. It is there that we hit a dead end. Yes, both companies have their own websites: Kingley have used a widely popular free website building tool to make 1 (one) web page with a total 4 sentences written on it (yes, we counted them), whereas, Norford’s webmaster seems to be four-year-old. Apart from being aesthetically challenged, their official websites also don’t give us much information. Neither of them contain any business address or any other way to contact them.
Although it’s probably not the most important thing in the world, every self-respecting company should have a respectable-looking website if they want to appear credible in the eyes of both investors and customers. It is clear that this is a problem for Norford and Kingsley, and that’s not good news for PTAH, since these subsidiaries are expected to play a key role in finally turning PTAH into a profitable company. Up until now, PTAH have been working at a loss. Here are the most important financials according to their latest quarterly statement:
- cash: $582
- total assets: $462 thousand
- total liabilities: $367 thousand
- revenue: $78 thousand
- net loss: $39 thousand
If you look more closely into the report you will see that they have also defaulted on two notes dated 2009 and 2010 and although PTAH believe that they will work out a satisfactory solution, we have yet to see it.
A satisfactory solution was not what the company CEO, Leonard J. Lewensohn, got when he was convicted of intentionally or recklessly misinterpreting financial information as can be seen from the judicial report right here. We know that the court case, took place almost 15 years ago, but if we were thinking of investing in PTAH, we would definitely keep it in mind.
Let’s not forget Hot Shot Stocks – another factor that makes us believe that PHAT won’t be setting the charts on fire any time soon. Just like PTAH, Growlife Inc (OTC:PHOT) were promoted by Hot Shot Stocks back in November and it’s pretty clear that they didn’t exactly live up to the expectations.
