Rainbow Coral Corp (OTCMKTS:RBCC) Reaches News 52-Week Lows

[[tagnumber 0]][[tagnumber 1]]After barely trading for most of the first part and standing below the $1 cent per share line we saw Rainbow Coral Corp (OTCMKTS:RBCC) rush up the charts in July, reaching prices above the $6.50 mark. Unfortunately, after it got to such heights it began to violently slide down the charts.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]After a couple of futile attempts to regain some lost value we saw [[tagnumber 6]]RBCC[[tagnumber 7]] drop below $1 per share once again. This comes as no surprise. After all, the company isn’t really making any progress. Their press releases are filled with the same forward looking statements for month now and we have seen zero results. Speaking of results, the company’s financials aren’t that good either and you can really lose your appetite after just a quick look at the balance sheet for Q2.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 11]] [[tagnumber 12]]cash: $2,740[[tagnumber 13]] [[tagnumber 12]]current assets: $4,524[[tagnumber 13]] [[tagnumber 12]]current liabilities: $518 thousand[[tagnumber 13]] [[tagnumber 12]]quarterly revenues: $28 thousand[[tagnumber 13]] [[tagnumber 12]]quarterly net loss: $137 thousand[[tagnumber 13]] [[tagnumber 22]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]Meanwhile, [[tagnumber 6]]RBCC[[tagnumber 7]] has been busy issuing fluff press releases and touting achievements of their partners from n3D. So far, it is unknown what the role of [[tagnumber 6]]RBCC[[tagnumber 7]] is in the progress that n3D is making, except that they will work “closely with n3D” to get their product to the market. In fact, the company is mentioned absolutely nowhere on n3D’s website, a thing that you should keep in mind. Sounds an awful lot like [[tagnumber 6]]RBCC[[tagnumber 7]] is playing the role of a fuse that is going to go out as the toxic financing.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]Why do we think so? – You might ask. Well, [[tagnumber 6]]RBCC[[tagnumber 7]] is trying to make its way in the biotech industry with horrible financial backup and a revenue stream that is coming from a single aquarium shop. We all know how much toxic financing it will take to push a biotech product on the market and we don’t really see how [[tagnumber 6]]RBCC[[tagnumber 7]] will handle that pressure.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]In fact, as we have previously written, after a 1 for 100 reverse split in the end of May this year, we saw [[tagnumber 6]]RBCC[[tagnumber 7]] standing at 330 thousand outstanding shares, a number that increased to 8.8 million in less than 3 months. Meanwhile, a lot of the shares that saw the light of days came to existence as a result of conversion of debt at prices as low as $0.019 per pop. That is way below the price of [[tagnumber 6]]RBCC[[tagnumber 7]] even after yesterday’s 5.90% drop pushed it to a new 52–week low of $0.4799.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]Considering all these things, doing your own due diligence and weighing out the risks before putting any money on the line is absolutely crucial.[[tagnumber 2]]