USA Graphite Inc (OTC:USGT) Pumpers Gone, Price Takes a Dive

I’ve been covering USA Graphite Inc (OTC:USGT) since the very first day of the pump. We tried to warn investors as early as December 5. It took nearly 2 months, but reality is quickly catching up with this pump job.

Yesterday USGT lost 18.12% and closed at $0.565 per share on a volume of 3 million, but the crash is far from over.

The paid pumpers from Stock Castle, Obscure Stocks and WallStreetPennyStock Advisors stopped mailing on Friday, Jan. 25. The spam emails seized two days earlier.

The company itself has been completely silent after the filing of the 10-Q report on Jan 22. The result has been rather obvious.

Still, USGT survived longer than Premier Brands Inc (OTC:BRNDE). The people who were behind the pump and set it up had plenty of time and opportunities to dump their shares. It wouldn’t be much of a surprise if the Stock Castle group pops up with another pump job in the near future.

The “E” added at the end of the ticker of BRND is there because it has failed to keep its reporting obligations with the SEC. The chart of Premier Brands shows how costly it can be to believe in a pump.

We hope our readers didn’t fall for the hype. USGT is yet another example of why it’s crucial to do the due diligence before making a decision about a promoted stock. So far today, USGT is down another 2.65%.