Strikeforce Technologies, Inc. (OTCMKTS:SFOR): Buying Record Set After SCFW Pump
Standing at the foot of a three-year slide, and well into the double-zero ground, Strikeforce Technologies, Inc. (OTCMKTS:SFOR) could use a little booster. And the boost came in the form of a promotion, plus a green light to patent technology from the US patents office. This caused a spike in volumes, as investors soaked up nearly 400 million shares, on volumes above $563,000. SFOR stands for now at $0.0023, after growing by 475% on Wednesday’s trading. Such jumps are not unusual for a double-zero ticker, and the question is how soon the fallout would come, and how soon the volumes would revert to their normal levels. 
At first sight, SFOR has a promising business model, providing data security services. While not original, such products are sought-after. Currently, the company won patent protection for its technology to encrypt keystrokes. To continue its operations, SFOR relies on: 
- $14,261 cash
- $110,035 total cash
- $11.4 million total current liabilities
- $27,780 quarterly revenues
- $477,042 operating loss
This wide working capital deficit raises a lot of red flags, and explains why the company mostly deflated, working to achieve very limited revenues, but sinking into debt. We watcher SFOR for the last time in 2011, when a brief promotion held it at higher levels, but it has been a downhill slide ever since, as the company did not manage to become a technological wonder.
Currently, SFOR could be counted as underpriced, at a bit above $1.9 million market value, with more than 832 million shares outstanding. There are plenty of shares to go around, and perhaps be sold to depress the price again. The company often issues press releases outlining agreements with customers, including the Israeli government, but so far it has done little to stem the slide in the stock price.
The next few days will show if SFOR shows anything more interesting on higher volumes, and if the pumper SCFW continues to push the sub-penny selection a while more.
SFOR is an exception from the tech companies that traded more actively in the past days. One of them, ImageWare Systems, Inc. (OTCMKTS:IWSY) has been toning down the volumes and keeping the $2.20 levels, waiting for more lively events.
And Liquidmetal Technologies, Inc. (OTCMKTS:LQMT) alternates days of selling and buying, remaining stagnant in the end around 17 cents.
In case you need to select a tech ticker, it is best to research on your own the quality of the companies, and keep in mind that SFOR and similar underpriced shares tend to correct their gains, wiping out most earnings.
