The Movie Studio Inc. (OTCMKTS:MVES) Gets A Pump
After being touted by a couple of notorious outfits, The Movie Studio Inc. (OTCMKTS:MVES) opened as high as $0.04 in yesterday’s trading, and although it failed to maintain its altitude, it did manage to finish the session nearly 27% in the green.
May 24 saw the company announce its “successful participation at The Cannes Film Festival in France from May 10th-20th, 2016”. As can be seen on the charts, none of the company’s boastful words impressed investors. In short – no one was buying what MVES‘s management was selling in its PR, but that state of developments changed as soon as the pumps hit the web.
OTCtipReporter and EquityTradingAlert had been compensated $25 thousand to spread the word about MVES – and they did just that with impressive diligence. However, in true pumper fashion, they made MVES out to seem like the best thing since sliced bread, when in fact the actual reality of the matter is quite different.
Suffice it to say that the company’s latest financial report looks like this:
- Cash & total current assets – $22 thousand
- Total current liabilities – $96 thousand
- Gross Sales – $7 thousand
- Net loss before income taxes – $93 thousand
Those numbers do not look like they belong to a promising OTC Markets up-and-comer. No they present a perfect picture of an OTC Markets underachiever – a prime candidate for a pump-job.
To put it bluntly – the only thing that differentiates MVES‘s current situation from a textbook example of an OTC Markets paid pump-job is the fact that MVES doesn’t seem to have a heap of convertible notes outstanding that suspicious noteholders could dump on the market at will.
However, that shouldn’t make investors complacent. Toxic debt or no, playing pumps is incredibly risky, and investors should only try to do so if they are completely prepared for the absolute worst case scenario.
