Tranzbyte Corp (OTCMKTS:ERBB) Becomes Active Once More
Yesterday Tranzbyte Corp (OTCMKTS:ERBB) found its place among the most traded stocks once again. The company has a long history of past pumps and the current movement makes no difference. For just two days we have received more than 20 distinct email alerts touting the company.
The newsletters may be quite numerous but the sums distributed around are less than the average. Most of them disclosed compensations of around $15 thousand with only Stock Mister bagging $50 thousand. And although they must have contributed in spreading awareness the reason for the massive 100 million shares traded yesterday lies elsewhere.
Just before opening time ERBB released a press announcement that it has started its latest marketing campaign starring NBA 2-Time MVP, Steve Nash. Apparently the name of Mr. Nash got investors in a frenzy and most of the heavy traffic happened in the early hours. Unfortunately for them at closing the stock had fallen significantly at $0.0034 meaning 30% in losses for those who held their stock.
And looking at ERBB‘s financials it becomes obvious why the company is in the double zero territory. For the quarter ending March 31 they had:
- $469 cash, and total current assets
- $3.2 million total current liabilities
- ZERO revenue
- $200 thousand net loss
Even more worrying is the amount of dilution. They were forced to increase the maximum amount of authorized shares to 2.75 billion but even this might not be enough with the currently outstanding shares reaching 2.4 billion.
Doing your due diligence is paramount when investing in pennystocks and it is best to avoid making hasty decisions based solely on PR news.
Doing your due diligence is paramount when investing in pennystocks and it is best to avoid making hasty decisions based solely on PR news.
Still ERBB closed 3% in the green unlike Bayside Corp. (OTCMKTS:BYSD) who were devastated losing 41% in value. The Awesome Penny Stock pick for the past three months – Xumanii, Inc. (OTCMKTS:XUII) also crashed by 15% dropping to $0.39.
