PeopleString, Corp. (OTCMKTS:PLPE) Prepares for Reverse Split

PeopleString, Corp. (OTCMKTS:PLPE), the social network turned marijuana stock, is continuing its steep incline, reaching 41 cents. PLPE added more than 28% on Tuesday, on dollar volumes above $1.58 million. PLPE, like other in the similar group of stocks, is moving without a boost from promoters. Now, it is a wait and see to realize how the new business model will translate into the bottom line.

The main change for PLPE is that at opening this Wednesday, the name will switch to Vape Holdings, Inc. The new ticker, under which the reverse split will happen is PLPED, valid for 20 days until the new ticker, VAPE, comes into use. All of this promises at least robust activity around this company.

Investors’ forums are reporting slowdowns with trade results and price updates, but otherwise, PLPE has little worrying sides. Now, it is a matter of competition for investors’ attention, as well as moving the new business venture to profitability.

In 2010, PLPE rode the boom of social networks, using a variation of connections by offering bonuses for achieved sales.

Recently, Vapor, Corp. (OTCMKTS:VPCO) took up a reverse split, reaching a respectable price range, but so far, it has mostly been driven sideways, with a minor downward shift. VPCO hovers now a bit below $9. The company was a pure-play electronic cigarette ticker, which did not benefit as an addition to the cannabis stock boom, being mostly interested in nicotine products. Other companies managed much faster to reapply their products, or at least show plans to do so, and thus benefited from the general mood of investors.

The close contender that moved along with VPCO, the 22nd Century Group, Inc. (OTCBB:XXII) is doing a bit better, reaching $2 as predicted, though falling quite far behind the doublings and triplings of cannabis stocks in the past days.

While it’s the perfect storm on OTC markets, it is still best to research each company for potential problems, and avoid investing unless you can afford the corrections to the extremely high prices reached within days.

We will be tracking PLPED to see how it finishes the week after the split, to see how long the sector in general survives before showing downward pressures.