Tranzbyte, Corp. (PINK:ERBB) Marks Two Hyperactive Days
A small cap company is versatile, but none are so versatile as Tranzbyte Corp. (PINK:ERBB), the business that constantly changes directions and spins off divisions. More than 120 million shares changed hands on Wednesday’s trading, and the past two days showed healthy buying volume as the company is accessible with its double-zero stock. 
Valley buying may turn profitable within a day, as the ticker added more than 17%. But volumes have shot up in the new year to levels unseen in 2011 and 2012, so with so many eyes on the stock, we may also expect quite dramatic corrections.
The aim of ERBB is to give small innovative businesses exposure to the stock markets and thus improve their financing capabilities. Tranzbyte itself has modest financial reserves:
- $1,761 in cash
- $3.7 million in current liabilities
- zero quarterly revenue
- $210 thousand in quarterly net loss
The last promotional email from The Stock Mister came on January 25th and soon afterward the stock price slumped, but picked up again on buying the lows. Transbyte also gave an indication that its versatile business model may include getting into the medical marijuana market, an extremely successful industry that lifted several tickers to amazing heights.
Tranzbyte has 1.88 billion shares outstanding, as well as keeping on its books several toxic financial instruments. A former director of the company received a convertible note at a discount: 50% of the lowest closing price over 360 trading days. This means at any moment the investor can further dilute the shares and depress the price.
The potential of Tranzbyte is limited, and StockMister quickly set out to pump other tickers, hoping to improve its records. Unfortunately, one of its latest mailings, Compliance Systems, Corp. (OTC:COPI) was a hit-and-run accident, selling 400,000 stocks after a period of zero daily volumes and slumping back to a third of the price. In the case of Stock Mister pumps, it is best to estimate your own preferred speed to avoid being trapped in worthless tickers that erase your value.
