But the crash that we're witnessing in early trading today is not all that surprising, is it? After all, to predict where a stock may be headed, one needs to do some due diligence, see how the company fares financially. Well, TCEL has not filed a financial report since the one covering Q1 2015. Its OTC Markets profile is stamped with a red warning sign which was definitely a glaring hint.
There was no real way to know what one could expect from the company these days. However, if its last report is any indication, even if the company hadn't been negligent in its filings, investors would probably not have been thrilled. Last time, it showed us some pretty miserable looking numbers:
- Cash - $246 (NUMBER NOT IN THOUSANDS)
- Total Current Assets - $51 thousand
- Liabilities – $918 thousand
- NO REVENUES EVER
- Net Loss - $7 thousand
Not much going on there, one would be justified in thinking after reading said report on TCEL. However, that would be untrue. For starters, there's evidence of A LOT of dilution going on. How else could the company's shares outstanding be 153 million on March 31, 2014, and then be 1.7 BILLION exactly one year later?
The fact that so much stock has been issued at points in time when TCEL had been the target of paid pumps speaks volumes in and of itself.
Then again, so does fact that the company had already performed a 1 for 1000 and a 1 for 1500 reverse split in the past in order to stay liquid.
And it looks like it is going to need another one pretty soon – because the way things are shaping up, it may find its way into FOUR ZERO TERRITORY before the session is over.