Hawker Energy, Inc. (OTCBB:HWKR) Surges on Pumps
Over the past three months Hawker Energy, Inc. (OTCBB:HWKR) had twelve sessions with actual share volume registered. Just yesterday the company shuffled more shares in a single day than it had over the past three months combined. Sadly, the reason for this seems to have been a stock pump.
Over yesterday’s session HWKR moved 1.5 million shares and doubled its market capitalization, closing 104% up. Two different stock promoters sent email pumps targeting HWKR near the open. Both pumpers were compensated $50 thousand dollars for their promotional efforts.
The pump appears to have been a heavily frontloaded affair, as HWKR opened with a huge gap up, spiked very briefly to $0.30 per share, then proceeded to drop for the rest of the session. This effectively means that people who chose to play the pump had no real chance for a profit outside of an incredibly tight time window and were trapped by the gap up, then left with a sliding stock on their hands. This is to be expected, as paid promotions often play out in a similar fashion.
In October there were insider stock transactions in HWKR described in an 8-K and reported through Form 4s that granted millions of common shares to the company’s CEO, CFO and president, Darren Katic and to one other beneficial shareholder. The two gentlemen combined hold over 50% of HWKR‘s common stock. The good news here is that, as beneficial owners, they will need to file new Form 4s should they decide to sell.
If the past performance of picks by pumper Sirius Stocks is any indication, HWKR is in for some heavy drops following the pump spike. Sirius Stocks last promoted Eco-Shift Power Corp. (OTCMKTS:ECOP) and the company’s stock is currently almost 50% down from the time of the pump alert.
HWKR is currently 18% down in the early session.