That Marketing Solution Inc (OTCMKTS:TSTS) Starts to Hesitate

On July 22 That Marketing Solution Inc (OTCMKTS:TSTS) announced that they have received their first international order totaling $68 thousand from a large network marketing company in Asia. The news had an immediate effect on the movement of the company’s stock and since then not a single red session has been registered. Despite the impressive performance investors should be extremely careful when dealing with the ticker.

TSTS is in a dreadful financial state. For the quarter ending May 31 the company reported the following results:

• $3238 cash
• $74,079 total current assets
• $622 thousand total current liabilities
• ZERO revenues
• $386 thousand net loss

It should be obvious that even with this first purchase order the fundamentals of the company simply cannot justify the absolutely unrealistic market cap of more than $70 million. That is right, a company that less than two months ago had a little over $3000 in cash and zero revenues currently commands a market capitalization of $70 million.

Furthermore, since February TSTS has been touted by more than 90 email alerts. The pumpers are still trying to create as much artificial hype as possible and early in the morning today another wave of emails was unleashed. This time the involved newsletters were the affiliates of Damn Good Penny Picks – Penny Stock Newsletters, Prepump Stocks, and Penny Picks, to name a few. For their services they bagged the sum of $15 thousand.

So, who would stand to benefit the most from the incessant pumping? How about the owners of the 26.8 million shares that were sold by TSTS at just $0.001 each? Investors should keep in mind that even more discounted shares could be issued through the conversion of debt – back in March TSTS sold two senior convertible notes in the aggregate amount of $275 thousand.

As we said putting any money in the stock could be extremely risky. TSTS has already begun displaying sings of hesitation closing below its opening price for the past three sessions. Not to mention that the pump emails won’t be able to keep the excitement going for long and another disastrous drop could follow. Back in April TSTS already demonstrated its ability to wipe huge chunks of its value when in in less than three weeks it fell from 55 cents to less than 9.