News And Paid Reports Prolong Nuvilex Inc (OTCMKTS:NVLX)’s Run

The first promotional emails from this year’s campaign for Nuvilex Inc (OTCMKTS:NVLX) hit investors’ inboxes on April 15 and, surprising as it may seem, right now, a month later the pump seems to be working. Strangely enough, we stopped receiving emails last week but despite that, apart from some hesitation yesterday, the ticker appears to be hanging on.

That said, the newsletters are not the only ones creating all the excitement around NVLX. The number of press releases that came out during the last four weeks is absolutely astounding and if you just look at the headlines, you’d be forgiven for thinking that the people who work for NVLX have been developing their cancer treatment flat-out during the last month and, of course you would expect that the progress made is absolutely huge. Is that the case, though?

Well, if you read carefully through all the entries on NVLX‘s Yahoo Finance profile, you will see that a lot of them are reports posted by financial analysts and when you dig a bit further and check out the fine print, you will see that they have all been paid to spread their optimism.

Take Stock House Group (SHG), for example. They admit that they have received $2,200 for their report and it would appear that what they have published is not that different from what investors received in their inboxes from the promoters.

And we really aren’t too keen on trusting SHG blindly when we have in mind that they were promising wealth and fortune out of Enviro-Serv Inc (OTCMKTS:EVSV)’s shares not more than a couple of weeks ago. As you can see, EVSV have lost around half of their value since SHG’s report and they are not the only ones.

On March 10, SHG published their opinion on another heavily promoted penny stock – Groveware Tech Ltd (OTCMKTS:GROV), but as you can see, despite SHG’s expert opinion, GROV continued to slide down. As you’d have probably guessed, the two reports were also paid by third parties.

Another group of financial experts are also quite active with their press releases. They’re called Goldman Small Cap Research and they prefer to compare NVLX to solid biotechnology companies worth tens of billions of dollars. We reckon that, at best, it’s a bit too early for such comparisons.

Nevertheless, it appears to get people all excited and when you take a quick look through NVLX‘s message board on iHub, you will see that it’s full of people posting all sorts of positive things about the company. But again, is that really the case? It is, but there’s one crucial detail – most of them have been paid to do so. So, what are they talking about exactly?

During the initial stages of the campaign, the pumpers were explaining how NVLX are going to employ their state-of-the-art “cell-in-a-box” technology in their quest to find a cure for pancreatic cancer and diabetes. This is an optimistic enough undertaking in its own right, especially considering rather dreary financial situation and the long line of failed products that they have in the past. Not long after that, medical marijuana came into play and right now NVLX are also speaking of treating breast cancer with the encapsulated cells.

There is nothing wrong about that, of course, but we somehow feel that there really isn’t enough concrete information about NVLX‘s actual progress and it seems like there’s way too much artificial hype around the company. We also know what could happen if the bubble bursts.