Nelly Shishkova

Precision Petroleum Corp. (OTC:PPTO) Starts the Promotional Series Again

by Nelly Shishkova February 15, 2011
Precision Petroleum Corp. (OTC:PPTO) started the promotional series again. After the stock took the way down a few days PPTO_chart2.pngago, yesterday it got back on track with an impressive gain. However, as the previous times, the gain was due to promotions again.

As recently mentioned on hotstocked.com, this month Precision Petroleum has been promoted heavily, though the stock couldn't hold the up move much long. Thus, the company continued the promotional campaign, which has cost the promoters $270.000 by yesterday. Besides, PPTO has doubled the effect of the promotions by releasing more positive announcements on its activities.

Again yesterday, Precision Petroleum announced it could "reasonably increase revenue by $10,000.00 per month", due to its Quinlan rework program. Considering the latest news by the company, apparently such announcements are not something unusual in the PR strategy of PPTO. In fact, along with the promotions, the company has been additionally supporting its stock price by publishing optimistic releases on its business. These certainly re-ensured the price move, though not for long enough.

PPTO_logo.pngMenwhile, Precision Petroleum still lies on optimistic expectations and poor financials. As of end-September, 2010 the company's cash balance has decreased as compared to the previous year, and the working capital deficiency has exceeded $1 million. Apart from these facts, PPTO has a significant accumulated deficit and a net loss from operations. So, while promoters manipulate traders, the further existence of Precision Petroleum is surrounded by questions.


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