Red Giant Entertainment, Inc. (PINK:REDG) Pushes More Hype, Pumps Continue
Promoters seem willing to pump Red Giant Entertainment, Inc. (PINK:REDG) to the ends of the earth, with new emails coming through yesterday. The company followed suit by pushing more optimistic forward-looking press releases.
We have been following the REDG‘s $500 thousand pump and covering the troubled movement of the stock. We thought it impossible to call Thursday’s 55% crash a pullback but it seems pumpers proved us wrong. Yesterday’s promo emails claim REDG tanked because of shorters and market makers, dismissing the fact that the company was demoted from OTC tier down to Pink sheets, which we covered in our previous article.
REDG came out with a press release yesterday, containing more promises for greatness. The company claims it is now “pre-selling” advertising space in its new line of printed comic books. REDG intends to distribute the comics for free and make its money from ad pages, of which there will be 30+ in each book. Numbers are being tossed around, such as yearly circulation of 52 million copies, but “exciting details” are reserved for a later date. Traders are probably more interested in the details and not the forward-looking hype, though.
REDG have not exactly done their best to improve investor confidence through official filings. The most up-to-date information contained in a filing is from October 2012, which lists $2 thousand in cash and $32 thousand in net profit. Once again, last time we checked, that was not enough to push 5 million paper comic books per month on the market or produce a live-action movie with real actors, as touted in a previous REDG press release.
Two pumper outfits, Select Penny Stocks and Penny Stock Heroes, are still touting the company, both operated by Victory Mark Corp. LTD, an offshore stock promoter from Belize. If the previous picks of Victory Mark and its children outfits are any sort of indication for the future of REDG, then there are dark times ahead.
Select Penny Stocks and Penny Stock Heroes previously pumped only two other companies and they both turned out to be among the biggest pump failures of the last twelve months. The first one was December one-day miracle PubCrawl Holdings, Inc. (OTC:PBCW), which is currently under half a cent per share, the other was VuMee, Inc. (OTC:VUME), which tripped after its January pump and ended up 90% down from the pump highs.
The pump mails claim that REDG may never trade at these levels again – a statement that goes both ways, as double zeroes are a long way away from the current price. Traders are advised to do their own due diligence and never trade on paid recommendations that land in their email inbox.
