Labor Smart Inc. (OTCMKTS:LTNC) Makes Another Wild Swing
Labor Smart Inc. (OTCMKTS:LTNC) made two impressive jumps at the end of last week on an increased dollar volume, and judging by the numbers, the ticker may see even more trade this week. Why?
Well, the company has made some pretty good announcements lately, and those have certainly attracted the investors’ attention. More than a few people are now excited about the conference call that is to be made today, and if said investors hear things they like in that call, it’s a reasonable bet that the ticker is going to see even more climbing in the days to come.
As we’ve said before, LTNC is by far not the worst company on the PTC Markets, if you judge it by its balance sheets:
- cash – $127 thousand
- current assets – $3.3 million
- current liabilities – $8.5 million
- quarterly revenues – $5.7 million
- quarterly net loss – $560 thousand
While these numbers are hardly impressive, they are not horrible either – especially by the standards of the OTC Markets. The situation is further improved by the prospect of a partnership between LTNC and TSGLE, which, as LTNC‘s CEO, Ryan Schadel pointed out, would do both companies good. With such a partnership under its belt, LTNC might even turn a profit this time around which would create some real investor value.
Unfortunately, even if it does, the situation still looks hopeless, because at this point in time, LTNC investor value has been buried so deep in toxic conversions of debt that it doesn’t look like it could ever be saved. And if you think that’s statement is a bit too extreme, just remember that during the first three quarters of 2015, LTNC issued almost 6.5 billion shares in order to satisfy about $667 thousand worth of debt. All of those were issued at an average rate of $0.0001 per share. Need we say more on the matter?
Long story short – let the buyer beware the toxic funding.
