Today's company has gone all the way from producing water and specialty beverages to mining post-industrial polymers such as nylon and polyethylene with the purpose of helping to rehabilitate the environment. However, when the company in question is a regularly pumped pink sheet, there is hardly more to it than meets the eye.
Until April, Blue Gold Beverages, Inc. used to be a beverage producer, or at least its management claimed so. As you might have known, this is no longer the case. That same company is currently known as Dragon Polymers, Inc. (PINK:DRAG
, DRAG message board
) and its focus of attention has nothing to do with beverages. Rather, it is directed toward waste materials. Whether this is a move into the right direction from a pure business point of view has yet to be seen. What is for sure, however, is that the company's stock remains a promotional favourite nonetheless.
A couple of promo emails
in support of DRAG hit our database earlier this morning, thus forming the first promo wave financed by third party Red Tie Financial, Inc. with a modest budget of $12,500. As soon as all investors thought the wave was over, though, a new, single email worth $50 thousand alone also popped up twelve minutes into the current session. The upshot was that DRAG hit a daily high of $0.037. The bad news, on the other hand, was that it was nothing but a momentary surge which vanished into thin air before most investors could take advantage of the tidal wave. Now, with just under two hours to go, DRAG shares are down 45% from the daily high, as well as 13% from their previous close. As for the effect of the promotion, it seems to be as good as gone.
The aforementioned scenario could hardly be deemed surprising, especially if we take into consideration the fact that the vast majority of paid pumping games do cause extensive damage to investors' pockets should the latter fall for the trick. To back up our statement, let us take a quick glance at some of the most recent paid pumps carried out by Hot Stock Ace Publisher, the promoter in charge of the fifty-thousand-dollar campaign for DRAG:
- 1st NRG Corp. (PINK:FNRC) - promoted on Oct. 28, FNRC gained 28% in the subsequent session, only to lose an astonishing 90% in value to date.
- Republic of Texas Brands, Inc. (PINK:RTXB) - pumped on Nov. 6 for $15K, RTXB closed trade down 6.50% as compared to its pre-promo close, and has since failed to regain strength.