Borislav Tonev

Solos Endoscopy (OTCMKTS:SNDY) Attacked by the Pumpers Again

by Borislav Tonev February 25, 2016

Solos Endoscopy (OTCMKTS:SNDY, SNDY message board) gained 35% yesterday and reached a close of $0.07 per share on a dollar volume of over $120 thousand. Why did it do that? Because it was pumped... again.

Mere days after they mentioned SNDY for the first time, Damn Good Penny Picks and its affiliated newsletters launched a second promotional campaign on the ticker. The compensation this time sits at $10 thousand and clearly, the pump did work. Some people listened to the promoters' promises and they would probably like to know whether SNDY can stay where it is now for a more prolonged period of time.

Things are not looking terribly well. The campaign from ten days ago also managed to give the stock a boost, but during the very next session, the volume all but disappeared and the ticker lost more than half of its value.

In addition to this, as we mentioned in our previous article, SNDY's financial results are not exactly brilliant. That said, in a peculiarly timed press release, Robert Segersten, the company CEO, indicated that this might change in the future.

Trouble is, some of the things he said aren't terribly convincing. He tries to disguise the fifth reverse split in SNDY's history as a “capital restructuring” exercise, for example, and he says that the company plans to raise some money in an attempt to fulfill outstanding purchase orders. How SNDY is going to raise the said money, however, remains unknown, and we reckon that this is a rather important piece of information, especially for the long term shareholders who were seeing their stock practically anchored to the bottom of the chart prior to the latest reverse split.

In September of last year, SNDY really was stuck at the murky end of the triple-zero range and, as is often the case, this was all due to a terrible wave of dilution that squashed the investment of many people.

The share structure now looks better and the price is more decent. The stock printing might not be over just yet, though. In its latest financial report, SNDY said that it's going to repay some of its outstanding debt with the issuance of shares. This being the pink sheets, the company decided not to bother disclosing the debt conversion terms, but we reckon that even if you're feeling adventurous, you mustn't ignore the potential threat.

About five minutes into today's session, SNDY is sitting at $0.056 (20% in the red).

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