Geoandina Mining Corp is a junior mining company involved in the exploration and production of precious metals – mainly gold. Their main exploration target is in Argentina where the mining sector is currently quite promising.
The company claims to have recently secured its interest in some land in Argentina with expectations for them to be mineral rich. Also company announced to have moved its office to Mendoza in Argentina in order to be closer to their property. Geoandina Mining Corp has the South American division with supposedly over twenty years of mining experience throughout Argentina.
Over the year the company‘s stock price has increased from $0.2 to current $0.75. While this might seem as a good investment there is a great risk involved as this company is on the pink sheets. Unlike companies on a stock exchange, companies quoted on the pink sheets system do not need to meet minimum requirements or file with the SEC. There is very little information available considering company’s activities. Investing in such stock bears a great risk as no adequate research can be undertaken on pink sheets companies. There is no way to tell how many shares are outstanding, we can't get to look at the company’s balance sheet nor income statement so there is no telling if today’s price is a good value.
Much of the information available about such stocks is typically not from a credible source. Investors should use EXTREME caution and be skeptical of any promotional material about this company that does not include data such as Balance Sheet, Cap Table, and a copy of their significant contracts which would be relevant to make a reasonable analysis.
Also such stocks have a poor liquidity which means that once bougth they will be hard to sell or must be sold at lowered price for other investors to find it attractive.
The company claims to have recently secured its interest in some land in Argentina with expectations for them to be mineral rich. Also company announced to have moved its office to Mendoza in Argentina in order to be closer to their property. Geoandina Mining Corp has the South American division with supposedly over twenty years of mining experience throughout Argentina.
Over the year the company‘s stock price has increased from $0.2 to current $0.75. While this might seem as a good investment there is a great risk involved as this company is on the pink sheets. Unlike companies on a stock exchange, companies quoted on the pink sheets system do not need to meet minimum requirements or file with the SEC. There is very little information available considering company’s activities. Investing in such stock bears a great risk as no adequate research can be undertaken on pink sheets companies. There is no way to tell how many shares are outstanding, we can't get to look at the company’s balance sheet nor income statement so there is no telling if today’s price is a good value.
Much of the information available about such stocks is typically not from a credible source. Investors should use EXTREME caution and be skeptical of any promotional material about this company that does not include data such as Balance Sheet, Cap Table, and a copy of their significant contracts which would be relevant to make a reasonable analysis.
Also such stocks have a poor liquidity which means that once bougth they will be hard to sell or must be sold at lowered price for other investors to find it attractive.
