Why Should You Care About Oroplata Resources Inc. (OTCBB:ORRP)?

Oroplata Resources Inc. (OTCBB:ORRP) managed an impressive climb yesterday, after Craig Alford took control of the company.

Investors were very excited to hear about the acquisition. After all, it is not every day that a big name acquires a little company with the intention of making it great – however, judging by ORRP‘s PR, that’s exactly what has happened here.

So maybe investors were right to be excited, because this could represent the beginning of a new era for ORRP, which could bring those canny and resourceful enough ample opportunities to profit. However, dedicated investors and opportunistic traders alike would do well to tread lightly from this point on. Why?

Because when all is said and done, Mr. Alford bought a company, whose achievements to date have given birth to the following financials:

• Cash & total assets – $8 thousand
• Total Current Liabilities – $125 thousand
• No revenues ever
• Quarterly Net loss – $26 thousand

Those numbers are not exactly impressive – in fact, the very opposite is true. Will it take a sharp turn, now that someone new is at its helm? Will its balance sheets improve drastically, in the near future, to justify its current market cap of exactly $50 MILLION?

What does the future have in store for ORRP? We can’t know for certain. However, judging by the gross inconsistency between what due diligence on the company reveals and the market’s reaction to recent events, investors would do well to be careful with this one.