The Stock Report has published a feature article about BIZM giving them price target of $10.30 - a rather bold statement for a company with such a dismal fundamentals. They even proclaimed the stock as one of the top 3 for 2013. Some traders even managed to hear pumps for the company on the radio yesterday. So someone must be paying for all of this.
BIZM themselves have been quite busy issuing PR article after PR article abound their amazing product. And on paper it really looks promising - a handheld scanner that can measure all sorts of bioindicators without the need of any invasive procedures. Even Vodafone and Carl Zeiss were brought in during its development. The company has started accepting preorders so we hope to be able to see its groundbreaking functions some time soon but until then it still sounds a bit too good to be true.
Even bigger concern for investors should be the amount of shares currently held by insiders of the company. Back in 2007 BIZM sold 610 000 common shares to private investors for $61 000. Four months earlier the company issued 1,2 million shares to its officers and directors for the total price of $5100. Now when you factor in the 33 for 1 forward split made in 2009 and things become a little bit suspicious. Currently these people control 20,1 million and 39,6 million shares, respectively. Even if there were restrictions on the shares they are long expired by now.
Today in early trading they are up by 30% and are closing on 3 dollars after a rather shaky start. Invesors should carefully consider all the risks surrounding the stock and decide if they are acceptable because a correction may come at any time and there is a lot of room to fall.