Premier Biomedical Inc (OTCMKTS:BIEI)’s Jump Didn’t Last
Premier Biomedical Inc (OTCMKTS:BIEI) managed to make an astounding jump from a penny to a nickel in just two days – but now it has turned bright red. Why?
Well, realistically speaking, there was just no way that the ticker could retain the elevated position it had reached. The explosion of activity that pushed it up was induced by a wave of hype caused by a press release that the company published on December 8.
Even though the news was good, it was clear that when the dust settled, BIEI would drop, because at the end of the day, it’s the company’s achievements to date that decide whether the ticker would sink or swim. And, as far as financials are concerned at least, BIEI hasn’t really achieved all that much:
- cash – $73 thousand
- total current assets – $87 thousand
- total liabilities – $516 thousand
- NO REVENUES
- quarterly net loss – $189 thousand
To make matters worse, not long ago $95 thousand of the company’s $133 thousand worth of convertible debt was turned into 39.5 MILLION shares. This makes the average share price just $0.0024, or more than 20 times lower than BIEI‘s price per share before today’s opening.
This took the outstanding shares count from 26 million, as of three months ago, to more than 60 million as of three weeks ago.
In conclusion – while BIEI is loud and boastful in its announcements of good news, there is a darker, more perilous side to its stock that investors definitely need to be aware of.
