Borislav Tonev

Makism 3D Corp (OTCBB:MDDD) Surges Even Further Despite the Silent Pumpers

by Borislav Tonev December 9, 2013
4MDDD.pngIt would appear that the Caveat Emptor badge on Makism 3D Corp (OTCBB:MDDD, MDDD message board)'s profile on the OTC Markets isn't really affecting investors all that much. The skulls and crossbones designation appeared shortly before the start of Thursday's session and, as we mentioned in our article from Friday, the ticker suffered badly a couple of hours later when a lot of selling put tremendous pressure on the price.

Since then, however, the stock seems to be going up. Friday ended with no less than 35% in gains and even today, about forty-five minutes after the opening bell, it's standing at around $0.74 which is more than 20% above last week's close. In fact, MDDD is back to the levels it occupied before the Caveat Emptor badge was put in place.

It would appear that investors really do believe the management team who claim that they have no affiliation to the $2.75million promotion that their company is being put through. Even more surprisingly, traders don't seem bothered about the buyer beware sign. The pumpers, though, have gone unusually quiet.

It's only normal to expect that, with a budget as huge as this one, the campaign will last for more than a couple of days, but apparently, the skulls and crossbones badge has scared the promoters away.

To recap, the pumpers are gone, the investors are ready to trust the management team, and there's even an "industry media event" scheduled for January 20 during which the flagship Wideboy 3D printer will be unveiled. So, MDDD might not be such a bad proposition after all, right?

Before you get too excited, you should consider one or two things. For one, there can be no guarantees that the pump is actually over. The interest still seems high, the landing page is still alive and the SEC is still keeping a close eye on the penny stock promotional world (as we mentioned in our previous article, Guar Global Ltd (OTCMKTS:GGBL) got the axe on Friday).

You should also keep in mind that while Wideboy's data sheet looks impressive enough, MDDD have yet to convince us that they have the necessary funding to start building and selling their products. As you probably know, as of September 30, Umicron Ltd, MDDD's subsidiary that operates within the 3D printing industry, had less than $2 thousand in cash and around $15 thousand in total assets. They did manage to raise $350 thousand through a private placement in October, but even with these proceeds in mind, we're having a hard time seeing the massively complicated machines hitting the shelves soon.

In the meantime, you should probably also know that there are some people that could reap huge benefits from the current upward trend that is forming around MDDD. We read in the latest 10-Q that back in August 2011 (when the company was still a shell), a total of 20 million shares were sold to some unnamed investor for proceeds of around $31 thousand. The price per share comes in at $0.0015 which, as you can see, provides a gigantic profit opportunity even after the two catastrophic drops from last week.

Will the aforementioned investors sell their discounted shares now and cash in? We have no way of knowing and we're not even sure if they are still holding on to their stock, but we reckon that considering all the facts is absolutely crucial. Not least because of the major pump job.

18PGLO.pngAnother expensive promotion that is still in its infancy is Tiger Oil and Energy, Inc. (OTCMKTS:TGRO). The pump costs more than $2.5 million, it started on Sunday and the promotional outfit leading the campaign is Stock Tips. In case you are wondering, the same people initiated the promotion for Pan Global Corp (OTCMKTS:PGLO) and, as you can see from the chart on the right, that one didn't really go as planned.

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