VGTel Inc (OTCMKTS:VGTL) Spikes Once More

VGTel Inc (OTCMKTS:VGTL) managed to jump 50% once more on Friday – and once more the reason for its ascent is murky to say the least.

Suffice it to say that there are currently no news, no social media touting, no paid pumps and no new filings that could have gotten investors excited. As a matter of fact, the company’s latest financial report leaves a lot to be desired:

• cash – $43 thousand
• current assets – $737 thousand
• current liabilities – $2 million
• NO quarterly revenue
• quarterly net loss – $285 thousand

However, seeing as these numbers are for the period ended Dec. 31, 2014 they are hardly accurate now.

Truth be told, VGTL should have amended that state of affairs a couple of days ago by publishing its 10-K for 2014, but in the end all that investors got was a promise that said report will hit the web on or before “the 15th calendar day following the prescribed due date”.

This means that any commitment to VGTL stock done before then will be a shot in the dark. Before the actual 10-K comes out, there won’t be a way to predict where the ticker will go when the report does hit the web.

And before said 10-K actually comes out, there’s no way to know what is the situation with that “$261,000 of these notes payable are convertible at 58% of the average of the lowest 3 trading day prices in the 10 days prior to conversion of the note”, as well as VGTL‘s other convertible debts.

The ticker’s most recent movements suggest that at least some of that debt has been turned into shares, as the number of issued and outstanding shares stood at about 29 million a couple of months ago. However, the last session alone saw 40 million shares change hands – which would have been nearly impossible if the outstanding share count hasn’t ballooned out of proportion.

This is why investors that wish to make informed trades rather than gambles might want to wait a while instead of jumping at or away from VGTL.