The Emails for Naturalnano Inc (PINK:NNAN). Where to now?
On Monday we covered the massive leap that Naturalnano Inc (PINK:NNAN) achieved after they got pumped by a number of newsletters. We did quite a thorough investigation on them and showed you why we think that the ascend they had taken up won’t last long. Predictably, the surge did die out.
The last email that we received about NNAN was on February 17 and the all-too-familiar scenario seems to be repeating itself. The hype is now gone and the stock is starting to take a tumble. Yesterday’s session saw them lose 38% of their value and right now, they have dipped a further 10% with plenty of time until the closing bell.
If the trend continues, and we reckon it will, NNAN will soon wipe out all of the gains that it registered during last Thursday’s massive jump. Why would that happen? Well, as we mentioned in our previous article, NNAN‘s pump was started not because they are a solid investment option, but because the promoters received some quite hefty compensations. The company has absolutely no cash in the bank, very little assets, massive amounts of liabilities, no revenue and their losses are mounting by the minute.
We also showed you that NNAN‘s corporate office is nothing more than a small residential house, which is hardly the best place for separating nanotubes and creating the world’s strongest fabric. As unlikely as it may seem, however, NNAN is not the only company whose office is in the small suburban home. The company CEO, Mr. James Wemett has another privately-owned company called Technological Innovations, LLC and their office is in the same exact building. That’s a lot of operations under a single, rather small roof and we reckon some space is required for Mr. Wemett’s family as well.
We decided to have a quick look through NNAN‘s profile on Investor’s Hub just to check out what the people who spend money on their shares every day think about them. We were quite surprised when we found out that the company description starts with “It’s a scam”. We got intrigued, and decided to read on. We saw that there are some serious accusation against the company founder, Mr. Michael Weiner. We know what you’re thinking at the moment: “But Mr. Weiner is not the CEO at the moment”. That’s correct, he isn’t. The person in charge of NNAN right now is called James Wemett as we mentioned earlier and a quick search revealed that Mr. Wemett and Mr. Weiner have known each other before NNAN. Apparently, they are part of the Board of Directors and beneficial shareholders of another publicly traded company called OncoVista Innovative Therapies Inc (PINK:OVIT). We did a quick check on them and we can see that they are in much the same financial situation as NNAN – there’s very little assets, huge losses and liabilities and absolutely no revenue. Although OVIT are currently traded at $0.20, we predict that it’s only a matter of time before they start their free fall.
ADVANCED DEFENSE (PINK:ADCF) is yet another company that can be compared to NNAN in terms of the financials and just like NNAN they got promoted recently by Damn Good Penny Picks. The emails about ADCF were sent on February 12, we wrote about them and we mentioned that we won’t put our money on them succeeding in the long run. Ironically enough, we turned out to be right on this one as well as evident from the chart on the right. The investors who got burnt on ADCF are probably quite furious and so will be the ones who fell for the NNAN‘s promotion. We hope that you are not one of them.
