Todor Pichurov

eCrypt Technologies, Inc. (OTCBB:ECRY) Crashes After Volatile Session

by Todor Pichurov April 17, 2015

Yesterday's session was a turbulent one for eCrypt Technologies, Inc. (OTCBB:ECRY). The company's stock bounded wildly on both sides of its previous close, but eventually ended deep in the red by the closing bell. ECRY stopped 17% down at $0.035 after 5.4 million shares changed hands.

The company has been keeping a low profile on the PR front. The last press release was published on March 31 and was a brief update on ECRY's intentions to acquire a telecom business with the issuance of 1 million ECRY common shares. The bottom line of that PR was that both sides are performing additional due diligence.

Yesterday ECRY had a bad start of the session. Around noon the stock was 45% up and volume was heating up furiously. After it nearly hit 6 cents per share, it was all downhill.

For those who don't remember, ECRY is the pump job that ended 2014 with a big bang. The stock was pumped in late November and early December by Stock Tips – the last of the pumper outfits that could really bring in heavy volume and price action to a stock. Of course, the outcome of the expensive pump with an alleged compensation of $5.1 million was not any different from the usual. ECRY crashed 80% from an inflated high of $0.55 per share down to $0.10 per share in a matter of five sessions ahead of Christmas.

ECRY has been mostly tumbling downhill since then, with the exception of one huge green session on March 3, when the company announced receiving a 'pivotal order'. On that day the stock more than doubled and once again shot to ridiculous, volatile intra-day highs. ECRY is currently over 50% down from that huge green day.

The company's latest report covers the quarter ended December. Here is the brief summary of the numbers in the balance sheet:

  • $58 thousand in cash
  • $67 thousand in total company assets
  • $2.3 million in current liabilities
  • ZERO in revenues for the nine months ended Dec 2014
  • $453 thousand in quarterly net loss

The company does not shy away from issuing convertibles that can be turned into shares at fixed discounts from market prices as well. As of late January, ECRY moved its principal executive offices in a residential house with a swimming pool in its backyard, located in Austin, Texas.

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