{"id":298,"date":"2013-03-18T07:41:00","date_gmt":"2013-03-18T07:41:00","guid":{"rendered":"\/?p=298"},"modified":"2013-03-25T19:35:15","modified_gmt":"2013-03-25T19:35:15","slug":"green-innovations-ltd-otcgnin-clashes-with-reality","status":"publish","type":"post","link":"\/articles\/green-innovations-ltd-otcgnin-clashes-with-reality\/","title":{"rendered":"Green Innovations Ltd. (OTC:GNIN) Clashes with Reality"},"content":{"rendered":"<p> <img loading=\"lazy\" decoding=\"async\" style=\"float: right;\" src=\"http:\/\/www.hotstocked.com\/articles-img\/small\/23GNIN_chart.png\" border=\"0\" alt=\"23GNIN_chart.png\" title=\"23GNIN_chart.png\" width=\"400\" height=\"179\" \/>Last Friday, Green Innovations Ltd. (OTC:<a href=\"http:\/\/www.thehotpennystocks.com\/Stock-Quotes\/?stock=GNIN\">GNIN<\/a>) closed down a third session in a row. <a href=\"http:\/\/www.thehotpennystocks.com\/Stock-Quotes\/?stock=GNIN\">GNIN<\/a> dropped another 13.66% to $1.58 per share. The trouble started on March 13 when the company filed its 10-K. <\/p>\n<p>As pointed out in my previous article, the torrent of press releases issued by the company has built up a lot of expectations. The information provided in the annual report of <a href=\"http:\/\/www.thehotpennystocks.com\/Stock-Quotes\/?stock=GNIN\">GNIN<\/a> showed some numbers that do not look as good as expected.<\/p>\n<p>As of December 31, 2012, <a href=\"http:\/\/www.thehotpennystocks.com\/Stock-Quotes\/?stock=GNIN\">GNIN<\/a> reported:<\/p>\n<ul>\n<li>$45,743 in cash<\/li>\n<li>$313,921 in total current assets<\/li>\n<li>$292,393 in total current liabilities<\/li>\n<li>$232,955 in revenue<\/li>\n<li>$1,201,985 in net loss<\/li>\n<\/ul>\n<p>The huge net loss is primarily a result of stock-based compensation in the amount of $965,521. While that is not necessarily too bad, there is another number which may raise some concerns. The gross profit from the $233 thousand in revenues amounted to just $22 thousand &#8211; less than 10%.<\/p>\n<p>One of the recent announcements of <a href=\"http:\/\/www.thehotpennystocks.com\/Stock-Quotes\/?stock=GNIN\">GNIN<\/a> was about a reduction of transportation costs. This could improve the margin, but at this point it&#8217;s not clear what the exact effect would be, as there is no indication of what portion of the cost of goods sold is comprised by transport expenses.<\/p>\n<p>That alone wouldn&#8217;t be a huge problem for a company traded on the OTC. However, there are other concerns about <a href=\"http:\/\/www.thehotpennystocks.com\/Stock-Quotes\/?stock=GNIN\">GNIN<\/a>. Mainly, the fact that the company has been pumped through paid newsletters.<\/p>\n<p>Traders may want to consider that the amount disclosed as payment for a tout report giving an inflated price target for <a href=\"http:\/\/www.thehotpennystocks.com\/Stock-Quotes\/?stock=GNIN\">GNIN<\/a> was 2.6 millio Euros. More than what the company ever had. They may also want to ask themselves why would anyone pay so much to pump the price of <a href=\"http:\/\/www.thehotpennystocks.com\/Stock-Quotes\/?stock=GNIN\">GNIN<\/a>?<\/p>\n<p>If you cannot come up with an answer, it would be a good idea to do some research on how pump schemes work with penny stocks. The disclaimer of the same tout report also stated that the pumpers had been paid for e period of one month, and that period ended last Friday.<\/p>\n<p>Unless there is some new development with these or other pumpers, <a href=\"http:\/\/www.thehotpennystocks.com\/Stock-Quotes\/?stock=GNIN\">GNIN<\/a> will be left to fend for itself, and so far things don&#8217;t look too rosy.<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/email.thestockmarketwatch.com\/wf\/open?upn=vzZzBY9Y6niCD8OCkromjDCcSvKMEpqS40G2OupyPS6wy8KbBYGnlzVd3rvJlEpF5oRXoF1D-2FlnHHR826hLpGtK7H2uUlmDTw8nGOhnG6tlPguK1ccoS2W70wBjb-2FGDrFmcw7I0ARL-2Fi9hzTIXsMNUVTb6ajlMPX6jxt4DznXrYefzsPQY4Soj5zaxBisbWa7J4pGc0xQPGnfnW-2BtmO3tg-3D-3D\" alt=\"\" width=\"1\" height=\"1\" border=\"0\" style=\"height:1px !important;width:1px !important;border-width:0 !important;margin-top:0 !important;margin-bottom:0 !important;margin-right:0 !important;margin-left:0 !important;padding-top:0 !important;padding-bottom:0 !important;padding-right:0 !important;padding-left:0 !important;\"\/> <\/p>\n","protected":false},"excerpt":{"rendered":"<p>Last Friday, Green Innovations Ltd. (OTC:GNIN) closed down a third session in a row. GNIN dropped another 13.66% to $1.58 per share. The trouble started on March 13 when the company filed its 10-K.&#46;&#46;&#46;<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[9],"class_list":["post-298","post","type-post","status-publish","format-standard","hentry","category-news","tag-gnin"],"_links":{"self":[{"href":"https:\/\/articles.thehotpennystocks.com\/articles\/wp-json\/wp\/v2\/posts\/298","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/articles.thehotpennystocks.com\/articles\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/articles.thehotpennystocks.com\/articles\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/articles.thehotpennystocks.com\/articles\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/articles.thehotpennystocks.com\/articles\/wp-json\/wp\/v2\/comments?post=298"}],"version-history":[{"count":0,"href":"https:\/\/articles.thehotpennystocks.com\/articles\/wp-json\/wp\/v2\/posts\/298\/revisions"}],"wp:attachment":[{"href":"https:\/\/articles.thehotpennystocks.com\/articles\/wp-json\/wp\/v2\/media?parent=298"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/articles.thehotpennystocks.com\/articles\/wp-json\/wp\/v2\/categories?post=298"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/articles.thehotpennystocks.com\/articles\/wp-json\/wp\/v2\/tags?post=298"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}