Nano Labs Corp. (OTC:CTLE) Weekend Pump Fails
We last covered Nano Labs Corp. (OTC:CTLE) on Friday, when a pump for the stock ceased and the company dropped and stayed down throughout the day, before a paint in the last hour. It seems promoters used the end week momentum and came up with a new pump for CTLE.
Stock Traders Academy (STA) sent a round of emails to their ‘lucky’ subscribers, touting more forward-looking statements made by the company and no actual hard results. The compensation handed to STA to pump CTLE was a solid $20 thousand dollars.
According to official documents, the company is run by and consists of two people, one of whom is engaged on a part-time basis. The business was formerly known as Colorado Ceramic Tile – an equally unsuccessful venture that generated no revenues and was abandoned in search for success in nanotechnology. Mr. Castano, the person who claims to have brought the tech in CTLE also holds more than 100 million shares in the company.
As the company’s filings sit currently, Nano Labs is in a pretty dire financial state:
- ZERO assets
- $209 thousand in liabilities
- ZERO revenues for 2011 and 2012
- $11 thousand net loss
How exactly CTLE hopes to leverage its supposed nanotech and put it into action when it has no way to fund any sort of operations is not clear. Investors may want to pause and think why a business with a market cap that is currently $167 million has no money in the bank and is not generating any money as well.
The company was pumped about a month ago and the results are marked on the chart above. It was actually Stock Traders Academy again, and they managed to make the stock crash below pre-pump levels and destroy any profit made over the three days of moving up.
STA’s weekend pump of CTLE helped the company gap up a little at the open and then sent the stock crashing down on heavy volume trading. CTLE closed 18% or $0.18 down on Monday.
Traders are advised to steer clear of promoted stocks, especially when they are paid pumps as those are the most likely candidates for ugly crashes once the pump stops. Do your own research and stay safe.
