Premier Biomedical Inc. (OTCMKTS:BIEI) Explodes Up The Charts
Premier Biomedical Inc. (OTCMKTS:BIEI) managed to double its market value yesterday, after making a boastful announcement – but was the jump really warranted?
Well, it could be argued that getting a patent for its “Sequential Extracorporeal Treatment of Bodily Fluids” is a big deal for BIEI – so in a way the news was relevant.
Unfortunately the relevance of the news is sort of undermined by the company’s general situation. Suffice it to say that there was a very good reason for BIEI to be stuck in double zero obscurity before this news came out.
Put quite simply – any due diligence on BIEI paints a pretty grim picture. Its latest financial report looked like this:
- Cash – $26 thousand
- Total current assets – $39 thousand
- Total current liabilities – $420 thousand
- NO REVENUES TO DATE
- Quarterly Net loss – $2.2 MILLION
The company claims to be researching ways to cure breast cancer, neurofibromatosis, atherosclerosis and muscular dystrophy. How it is managing to do so with only $26 thousand to its name is not a question we can answer, but is certainly one that investors should ask themselves.
Another thing that investors should probably note before committing to this stock is the fact that the company’s headquarters seems to be located in a residential house in suburban Florida. Is this where BIEI conducts all its cancer research?
Long story short – while the news that BIEI published sounded grand, the company itself looks to be anything but that. This is why it will hardly be surprising to see the ticker crash right back to where it started, and maybe even further down the charts.
Of course, there’s always the possibility that the 10-Q that BIEI delayed on the very date when its press release came out will come out and prove that the company is not as unimpressive and idle as it now seems – but don’t hold your breath.
