Premier Products Group, Inc (OTCMKTS:PMPG) f/k/a Valley High Mining Co Gets Devastated By A Pump
tags: PMPG
At the start of yesterday’s trading the infamous pumper the Wolf of Penny Stocks issued an email alert announcing that Premier Products Group, Inc. (OTCMKTS:PMPG) is his new pick. The promotion definitely caught the attention of the market and as a result more than 32 million of the company’s shares changed hands during the session, compared to a monthly average of just over half a million shares.
The massive increase in interest wasn’t accompanied by a similar increase in the stock’s price. In fact, the exact opposite happened and all those who believed the words of the pumper might have suffered massive losses as PMPG began sinking down the chart right from the opening bell. By the end of the session the ticker had crashed to $0.0058 for a loss of 35.6%. The horrific performance won’t stop the so-called Wolf from bagging his disclosed compensation of $40 thousand dollars, though.
There is a reason why we always encourage you to do your own due diligence and to double-check everything that the various pump newsletters say in their emails. Doing even a cursory research on PMPG reveals that the company is simply riddled with extremely serious red flags.
A week ago PMPG officially changed their name and ticker symbol from Valley High Mining Co and VHMC to Premier Products Group and PMPG, respectively. The problem is that the name may now be different but the abysmal financial state of the company is still exactly the same. And when we say abysmal we truly mean it – according to the latest financial report at the end of the first quarter of the year PMPG had:
• $84 cash and total assets!!!
• $1 million total liabilities
• ZERO revenues
• $112 thousand net income
Even after yesterday’s disastrous crash the balance sheet of the company can hardly support the current market cap of $2.1 million. Investors have a lot more to worry about, though.
Usually when a pennystock gets pumped this means that there is a significant amount of free-trading cheap shares that could be liquidated thanks to all the artificial hype created around the stock. And wouldn’t you know it during the period covered by the quarterly report PMPG issued over 46 million shares for the retirement of just $27,652 in debt and accrued interest. This means that on average each and every one of these shares was priced at $0.0006, which is over 10 times lower than yesterday’s closing price. The fact that PMPG actually have an unlimited amount of authorized shares should also be taken into account.
With the Wolf of Penny Stocks being hired for just a single day PMPG could once again start seeing minimal trading. All those who jumped into the company during yesterday’s session and are still holding on to their shares risk getting stuck in a thinly traded pennystock with barely any assets.
