Valmie Resources Inc. (OTCBB:VMRI) Is Struggling In Vain
tags: VMRI
Valmie Resources Inc. (OTCBB:VMRI) opened a good $0.1 up today, but is has already lost all the ground it recovered, and then some.
Today’s green opening seems to be the end of VMRI‘s green run, which in turn seems to have been caused by the publishing of the company’s newest piece of fluff PR. Still, it was more than clear that such a resurgence could not last. After all, while the announcement that arrested the ticker’s descent might have been optimistic and boastful, perceptive investors would have quickly noticed that it didn’t really give any new relevant information. What it did was spew an overlong ode of boasts, which may have been good for keeping VMRI up for a while, but were ultimately unable to keep the ticker up.
Meanwhile, what little information investors do have on VMRI does not really paint the company in a flattering light. Suffice it to say that looking past all the boasts leaves one with the realization that VMRI is far less active than it would like investors to believe. Or at least it was, last time it reported:
- Cash and cash equivalents – $24 thousand
- Total Assets – $58 thousand
- Total Liabilities – $268
- No Revenues
- Quarterly net loss – $83 thousand
Additionally, there’s the big hairy mess surrounding the company’s stock-related shenanigans. Over the last two years or so, VMRI has issued about 6 MILLION shares of common stock in return for funding. So what, one might say. That’s what OTC markets companies do in order to get things going.
Still, while it is true that self-funding through dilution is more often the norm on the OTC Markets, the practice becomes suspicious and noteworthy when the shares the company has issued are priced at $0.1 a pop while the ticker in question is traded at 15 to 20 times that price.
Long story short – it is no wonder that VMRI‘s drop continued, and it won’t be surprising to see the ticker descend even further down the charts before the week is out.
