In the world of penny stocks, you’re sure to find oodles of great, unknown companies to invest in. But there are also penny stock scams designed to bilk hard-earned cash from investors. And usually you’ll know its hit you after you’ve watched your investment evaporate into thin air!
We know what to look for, and tell you who’s out there pumping stocks using paid promoters.
It’s our job to expose penny stock pump and dump scams…
And we take real pleasure in putting the smackdown on the latest penny stock pump and dump scams.
As you read, you’ll see the big red flags we’ve come across on these companies. And with all the great penny stocks out there… there’s no reason to put a single dime into any of these companies!
This week, we’re exposing a pump and dump scams on: Global Equity International, GEQU
Another day, another paid pump- and the latest to get manipulated is nothing smart penny stock investors should bother looking at.
Let’s get right to the bad news today…
Red Flag #1: Paid PUMP!
Equity Trading Alert (.com) was paid for their latest promotion a whopping $7,500!
Here’s the details from the disclaimer for you to read-
EquityTradingAlert.com has been previously compensated seven thousand five hundred dollars cash by Wingate Partners Inc, a non-affiliated third party to profile GEQU for a one day investor awareness…”
Also paid to pump this stock was Research Driven Investor, who collected $5,000 for their flurry of pumping emails. But the real laugh is the finances of this company!
Red Flag #2: Excessive Financial Weakness
GEQU at least files with the SEC, which makes their reports readable and consistent. But that’s where the good news ends here. Their balance sheet leaves a bit to be desired.
Here’s the deal…
- $48K in cash on hand, $543K in current assets- but $1.6million in current liabilities
- $174K in revenue in 2013, but an operating loss of $2.1 million
And with a loss of more than $2 million last year, GEQU’s accountants are warning investors that the company may not remain a “going concern” for much longer.
Of course the pumpers won’t point out any of this… that’s why we’re here- to look out for the little guy!
The Wrap Up:
Too many investors get sucked into these nightmare penny stocks scams. They fall for the overly optimistic projections the paid promoters are selling. In the search of easy money, investors lose sight of what a real return should be… and end up holding the bag.
When investing in pumped penny stocks, it’s the ultimate case of “let the buyer beware!”