PetroTerra Corp (OTCMKTS:PTRA) Second Liftoff Attempt Stifled
After the pump targeting PetroTerra Corp (OTCMKTS:PTRA) lost steam and volume faded heavily, along with the slipping price, the stock did make a second attempt to move up but it seems it is not going to happen. Yesterday PTRA slid 10% down to close at $0.81 per share.
The stock popped up among the OTC’s most heavily traded tickers by dollar volume in early October, when an email pump campaign was launched, with pumpers disclosing up to $150,000 in compensation paid to tout the stock. Concurrently with the email pumps, a landing page went up, set up by promoters Wall Street Report, that gave hilarious projections of PTRA hitting over $4.50 per share in the short term.
Predictably, nothing of the kind happened and the pump played out the way most paid promotions do. Five minutes spent browsing through PTRA‘s most recent quarterly report could have saved excitable traders a lot of trouble. Here is what the company’s latest reported balance sheet contains:
- $2 thousand in cash
- $129 thousand in current liabilities
- ZERO in revenues to date
- $98 thousand in quarterly net loss
Those figures are accompanied by a curious string of events, share issuances and splits that led to a number of people holding rather a lot of cheap shares which may or may not already be sold onto the market – something which we covered in a previous article in more detail.
Given the fact that PTRA was barely trading prior to the pump and average daily volumes were miniscule, causing rampant, unpredictable volatile swings, and factoring in the distortion caused by the paid pump, investors may want to be extra careful with this one.
