the OTC .today

Tuesday, October 25, 2011
Today's PUMPs & dumpS

For The Good Earth Is Not So Good For Investors
also: eMamba Insiders Cha Cha To The Bank

Their products might be good for the Earth, but For The Good Earth (FTEG) sure is bad for investors. Today marks the start of the umpteenth Pump & Dump campaign on FTEG, a marketer of biodegradable housekeeping products, but who manufactures and sells more stock certificates than anything else.  For starters, the company has a habit of paying its debts with stock valued at a tenth of a penny, which is then sold at higher values during Pump & Dump campaigns.  Looking at the history of campaigns conducted during 2011, those who invested
the last time this garbage was promoted back in July, at about the 10 cent range, are now enjoying 97% losses, but not suffering quite as much as those who paid up to 20 cents during the June campaign, or 25 cents back during the May campaign. From March to June of this year the number of shares in the float has doubled to 45,000,000 shares, but we expect that the quarterly report for September, due next month, will show the float has increased to over 200 million shares.  We would also expect that the number of shares issued and outstanding will have increased significantly over the last reported number of 264 million.  You can bet that most of the stock that became free trading since the June quarterly report has been sold to the public and that this new campaign means that there is even more insider stock to be distributed to those that still hold out hope for this investment.  We'd bet that a reverse split is forthcoming and that the process will then start over again.

It's hard to imagine that so many were willing to throw their money away back when FTEG reported quarterly sales for the period ending March 2011 of about $24K (a year over year decrease of 68%), but still managed a market cap of over $50 million.  According to FTEG's last report covering the period ending June 2011, semi annual sales were cut in half, year over year, and losses topped $500K.  Even though the market cap was predictably pulverized, it still stands at an unjustifiable $1 million for this sinkhole of a company  It's hard to imagine that results for the next quarter will report anything that is a drastic improvement.  To the contrary, we'd expect that this new PnD would have been delayed were an announcement of improvements to the company forthcoming.  Rather, it would seem that this PnD is a prelude to more bad news and that the insiders want to divest themselves of as much intrinsically worthless stock as they can, while they still can.

Emamba International (EMBA) is off and running on its second Pump & Dump campaign of the year.  The first one, which ended about six weeks ago, has created losses of up to 60% for some and now the stock is in the same trading range it was in back when that campaign started.  From what we can glean from the company's press releases, EMBA provides after sales customer service, much like when you call Microsoft support and end up talking to someone in India.  The company also provides business management software.  What the company doesn't provide is value for its investors, as is evidenced by its current $50 million market cap.  With $40K in the bank and $423K in debt, the company's losses of $120K for the nine months ending June 30, 2011 on only $30K in revenues, sure doesn't suggest a value investment at 3 cents a share, never mind the 34 cents the stock closed at on Monday, or the recent high of 77 cents.  EMBA does suggest that it can realize pie-in-the-sky revenues of $3 million - $15 million monthly, based on purported letters of intent, but doesn't offer support to these figures with actual contracts or the names of the accommodating customers.  Nor do they offer a hint of what profits might be on these revenues.

What investors should be really concerned about is that just last June, EMBA reportedly satisfied an $80K debt with 80,000,000 shares of stock, which gave the stock a value of one tenth of a penny per share.  Now, just four months later, they want you to buy that stock at 34 cents, a 34,000% premium.  Together with the 90,000,001 shares issued to EMBA insiders in February as a result of their purchase of the old Wave Tech Group shell, these two transactions represent 99.97% of all the stock outstanding in EMBA.  It's not not really that hard to figure out why a Pump & Dump campaign was started or who the ones selling the stock into it are, is it?

Viking Minerals (VKML) is yet another multiple offender taking another crack at selling insider stock, today.  This has been an out and out failure as a Pump & Dump in it's previous two campaigns back in September and in July.  Not only have the insiders sold limited stock due to a general lack of interest, but losses to investors have been huge.  Those who participated just 5 weeks ago, are already experiencing up to 70% losses, while those who bought stock during the July campaign are down as much as 90%.  It seems that a phony copper mine just isn't as sexy as a phony gold mine, especially when the company has zero cash in the bank and yet still maintains a $2 million market cap, even after a 90% fall in the share price.

Since Monday's close: 

StockGuru.com has been promoting VUZI in conjunction with a new promotion.

StockHideOut.com has been promoting YIPI in conjunction with a new, but repeat promotion.

SmallCapNewsletter.info and at least 1 other paid tout have been promoting CLTH in conjunction with a new Pump & Dump campaign.

StockGoodies.com and at least 2 other paid touts have been promoting VKML in conjunction with a new, but repeat Pump & Dump campaign.

UndiscoveredEquities.com has been promoting GTXO in conjunction with a new, but repeat promotion.

PennyStockScholar.com and at least 1 other paid tout have been promoting FTEG in conjunction with a new, but repeat Pump & Dump campaign. 

TooNiceStocks.com has been promoting TPIV in conjunction with an ongoing Pump & Dump campaign.

PennyStockAlerts.com has been promoting ACAR in conjunction with an ongoing Pump & Dump campaign. 

ObscureStocks.com and at least 2 other paid touts have been promoting EMBA in conjunction with an ongoing Pump & Dump campaign. 

PennyStockCircle.com and at least 3 other paid touts have been promoting WSML in conjunction with an ongoing Pump & Dump campaign. 

BeaconEquity.com has been promoting SMNG in conjunction with an ongoing Pump & Dump campaign. 

JuicyStockPicks.com has been promoting NXOI in conjunction with an ongoing Pump & Dump campaign. 

MomentumHunter.com and at least 3 other paid touts have been promoting STEV in conjunction with an ongoing Pump & Dump campaign. 

Xtremepicks.com and at least 1 other paid tout have been promoting IFHR in conjunction with an ongoing, Pump & Dump campaign.

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