Today the stock of Progaming Platforms Corp. (PINK:PPTF
) will be traded under the impact of the company's first known stock promotion. That sounds like good news given the low liquidity of the stock, but otherwise the stock price should not appreciate based on fundamentals.
Yesterday, PPTF closed the last trading session with a 7.69% gain at $0.28 for a share on a trading volume of only 27,911 traded shares. That is even lower than the daily average for the past 3 months which exceeds 60,000. During the session, the share price touched the 50-day moving average at $0.25, but this can not be considered a meaningful signal in this case.
A promotional e-mail from last night recommends PPTF as today's "momentum play" that could "rock the $15 Billion gaming industry". Therefore, the situation of PPTF might change dramatically in the coming trading session. The promoter discloses in the disclaimer to have received $20,000 for a one-day profile of the company. That amount has been paid by a third party which is likely to sell shares today.
On Tuesday this week, PPTF announced in a press release that it filed a patent application with the U.S. Patent Office to protect the company's technology underlying its proprietary multiplayer online gaming platform. Previously, it has been announced investors should not rely upon PPTF financial statements for the year ended December 31, 2010 which should contain estimated research and development costs in the amount of $17,100.
Both announcement will hardly change much of PPTF value soon, unlike the promotion which could lead to a dramatic value loss. The company's last annual report for 2011 shows total assets of $115,800, $110,800 of which in cash, total revenue since inception of $92,900 and a net loss for last year of $70,600.