Dragni Dragnev

One Step Vending Corp. (OTCMKTS:KOSK)'s Pump Goes Sour

by Dragni Dragnev July 26, 2016

The pump campaign targeting One Step Vending Corp. (OTCMKTS:KOSK, KOSK message board) looked like it was a dud right until two days ago, when no less than twelve touts hit the web – and, unsurprisingly, the ticker went ballistic as soon as the opening bell sounded.

It seems like PrepumpStocks just hadn't given it their all when they began pumping KOSK about two weeks ago. In spite of being able to move the ticker in two digits, heir efforts were hardly impressive, as they barely registered on the investors' radar back then. However, as soon as BeatPennyStocks's massive barrage of touts hit inboxes, things got really hectic really fast.

By the end of the session, $842 thousand worth of KOSK shares had changed hands, and the ticker had had a very exciting ride... which left it 15% down the charts.

This should not come as a surprise to OTC Markets veterans. After all, crash is what all pumped up tickers do in the end – and even a smidgen of due diligence reveals that KOSK was a disaster just waiting to happen.

Suffice it to say that the company fulfills all the criteria of the classic, by the book OTC Markets dubious underachiver, ripe for the pumping. Its latest financial report looked like this:

  • Cash/Cash equivalents – $39 thousand
  • Total Current Assets - $73 thousand
  • Total Current Liabilities - $573 thousand
  • Quarterly Revenue – $45 thousand
  • Quarterly Net Loss - $8 thousand

Those numbers reveal a lot about the company's mediocre nature, but in and of themselves they are not what makes KOSK a perfect recipient of a paid pump.

No, that would be the fact that nearly 100 million of its 171 million common shares currently outstanding have been issued during the last year or so as a result of conversions of preferred stock and debt at a rate of $0.00025 per share. Even at the ticker's lowest point end of yesterday's session, those shares could have been sold for a profit of approximately 2000%.

That's horrifying in and of itself – but that doesn't even begin cover all the dangers in store for investor value at the moment. Let's just say that the company still has heaps of preferred shares and 419 thousand worth of toxic debt to its name and leave it at that.

By this point, it should be obvious why KOSK's pump couldn't take the ticker up for a longer spin. Investors should take all of these facts into account, and act accordingly.

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