The stock of Godfather Media, Inc. (PINK:GFMD
, GFMD message board
) literally went through the roof yesterday as the Californian holding company announced the independent league baseball team Orange County Flyers as the latest acquisition to its portfolio. A free alert about
the company also seemed to have added fuel to the flames.
GFMD closed the latest trading session on a high note.
In fact, GFMD shot up 114% coming in at $0.0075, up $0.0040 from its previous close. What is more, the volume of 23.57 million broke the previous 3-year record by a landslide.
Yesterday, GFMD announced it had acquired another independent baseball team roughly two months after its previous similar acquisition. The team in question was reported to have generated an average revenue of $650 thousand for the last six seasons and is expected to yield a significant return to shareholders. At the same time, a free email alert flooded traders' mailboxes, which could also have given GFMD stock a boost.
While a single surge of 114% is by all means impressive, traders should not forget the fact that GFMD is a sub-penny stock and is therefore highly susceptible to fluctuations of such rate. In addition, the company carried out a 1-for-200 reverse stock split in late-December. Four months later, GFMD is dangerously close to the triple zeros again and it may be only a matter of time before the company's stock makes a less-than-triumphant return there.