Rainbow Coral Corp (OTCMKTS:RBCC) Slips Another Step Down The Charts

[[tagnumber 0]][[tagnumber 1]]The stock of Rainbow Coral Corp (OTCMKTS:RBCC) has been quite volatile in the last couple of months. First it began to climb the charts incredibly fast in July and reached heights of above $6 per share, but as we saw the volumes increase substantially the ticker began to descend.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]It stabilized below the $2 mark in the beginning of this month before embarking on another climb that led it to $2.50 per share on August 20. It was clear, however, that the ticker can’t maintain such levels and [[tagnumber 6]]RBCC[[tagnumber 7]] suffered another series of red sessions before stabilizing around the $1.50 mark in the end of the month. The red flags surrounding the company are just too much.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]For instance, we have the financial report for the second quarter of the year which contained the following numbers in its balance sheet.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 15]] [[tagnumber 16]]cash: $2,740[[tagnumber 17]] [[tagnumber 16]]current assets: $4,524[[tagnumber 17]] [[tagnumber 16]]current liabilities: $517,798[[tagnumber 17]] [[tagnumber 16]]quarterly revenues: $27,683[[tagnumber 17]] [[tagnumber 16]]quarterly net loss: $136,929[[tagnumber 17]] [[tagnumber 26]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]After yesterday’s 13.55% drop [[tagnumber 6]]RBCC[[tagnumber 7]] was left sitting at $1.34 per share which meant that the market cap of the company stock was around $11 million, still quite big when you take into account these numbers. But this is far from the biggest red flag.[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]We have previously addressed the problem with the impressive amount of highly discounted stock that has been issued by the company. In the quarter that ended June 30 there were a total of [[tagnumber 6]]7,193,344 shares of common stock[[tagnumber 7]] [[tagnumber 6]]issued at a price of just $0.02[[tagnumber 7]] [[tagnumber 6]]per pop[[tagnumber 7]]. There was at least [[tagnumber 6]]$320 thousand[[tagnumber 7]] worth of debt that could be converted at fixed prices ranging from [[tagnumber 6]]$0.007 to $0.25[[tagnumber 7]].[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 0]]Considering the current prices there might be a lot of people reaping massive profits while the retail investors buy heavily overpriced shares. And let’s not forget that, even though [[tagnumber 6]]RBCC[[tagnumber 7]] likes to pretend it is a biotech company, the revenues come from a retail fish store and coral farm facility.[[tagnumber 2]]