The paid promotional effort worked out well for Revolutionary Concepts, Inc. (OTCMKTS:REVO), who climbed a massive 271% since the beginning of the month, but it was sure that all will end in disaster pretty soon.
The company wasn’t simply good enough in keeping up the hype with their vague press releases that mentioned acquisitions, big numbers, but lacked one thing: names. Names are pretty important and it isn’t that big of a deal if you mention the company that you are speaking about by name, especially in the mobile technologies sector.
The fact that REVO‘s PR team was so reluctant on giving out the names of the companies that are supposedly interested in acquiring some of the company’s patens seems a bit fishy, especially when living in the year 2013, where nothing is for sure and everyone is trying to make a buck out of your ignorance.
The consequences were predictable and as mentioned in our previous article about REVO, the correction came sooner than expected as the company dropped a whopping 34.62% in yesterday’s session, obliterating the previous day’s gain and closing at $0.0034 per share.
As soon as the price started to drop within minutes of the opening bell we saw people trying to shed their holding before the stock loses more value. Despite the fact that the volume was lower than the previous days’, a massive 56 million shares switched hands in the session, generating $225 thousand in dollar volume.
The paid promotion ended on December 9 and the company stopped issuing their ambiguous press releases. This means that the stock’s price can drop even lower. In fact, since the market opened today, REVO has already lost 20.59% of its value and is now priced at $0.0027 per share, despite the low volume of traded stock.
And, as always, we would advise you to do a lot of due diligence and weigh out the risks. Especially when dealing with promoted stocks in double zero land. There is a reason for which they are there.
InVivo Therapeutics Holdings Corp (OTCMKTS:NVIV) on the other hand, had a decent Tuesday session in which the company stock climbed 11.95% in price. Global Earth Energy, Inc. (OTCMKTS:GLER) also had an amazing day yesterday and gained another 38.46% in value.