Laredo Resources Corp. (OTCMKTS:LRDR) Crashes Hard While Promoted
Laredo Resources Corp. (OTCMKTS:LRDR) usually isn’t one of the most traded stocks, but there is a lot of action lately. The paid promotions are finally paying off and we are witnessing huge amounts of shares flying around.
Even though the promotional campaign is having a good impact on investor interest and the volume of traded stock, the price is taking a blow. LRDR isn’t one of the safest stocks and can be viewed mainly as a speculative play, but yesterday’s drop was significant and we reckon that some people weren’t happy with it.
The loss that LRDR recorded yesterday was estimated at 47% and the ticker closed the session at $0.04 per share, while the volume was almost 10 times the average with a massive 4 million shares switching hands, which helped generate $215 in trade value.
It couldn’t be any other way, considering the huge promotion that started on October 26, because LRDR simply doesn’t have the financials to back up the claims from the pump emails.
- cash: $763
- total assets: $15 thousand
- current liabilities: $224 thousand
- total liabilities: $224 thousand
- revenue since inception: $0
- net loss: $100 thousand
Looking at these numbers we begin to wonder, who would spend over $100 thousand this month to promote the ticker? We reckon that it might be someone who has quite a lot of holdings to shed and will end up making a decent profit by fooling a lot of people.
When you add the fact that Mr. Robert Gardner is the CEO of LRDR it starts to look grim. We haven’t heard anything good from his past doings. What is even worse is that GeoNovus Minerals Corp. filed a suit against Mr. Gardner, claiming that they paid him $75 thousand for a Montana property, which was partly optioned to Steele Resources Corp. (OTCMKTS:SELR) and the deal failed.
This was a result of Mr. Gardner trying to keep the money for himself, even though he allegedly hadn’t fulfilled his part of the agreement.
With all that in mind we can say that LRDR is one of the riskiest stocks out there and we advise you to proceed with caution and do your due diligence if you have any thoughts of investing in them.
