A5 Laboratories Inc (OTC:AFLB) added 25% on Thursday with a strong buying volume, promising the appreciation to continue into the next day. No official news was issued to cause the buying wave, which points to some email advertising as the main cause.Investors hub has been sending out emails, suggesting that A5 stock could be a good buy. The headline even suggested 4694% profit by November in the ad we have received. Since these promotions seem to be taking effect, it might be a chance for a quick profit, but traders should not let their guard down.
Traditionally, a possible buyout is mentioned, involving widely recognized names like Pfizer, Merck and Johnson & Jonson. To clarify this – no official intentions of such a buyout have ever been published by these entities, thus it’s only speculations. Yet, this is the key theme of the promotional newsletter.[BANNER]
The buyout is referred to as A5 has nothing else to show at the moment. They have an asset acquisition agreement with Vida Nutra Pharma Inc., which is controlled by A5’s sole officer Richard Azani. However, no hard assets are currently depicted on their balance sheet. The lack of cash is not a problem since the payments are carried out in stocks, but it hurts the shareholders willing to invest.
Share price has gone up past the only available and reasonable resistance at $1, so it could hold up for a brief time. However, as the company just has the patent and is not currently doing anything with it, the market cap of over $45 million is way too high for the entity with $120 thousand in tangible assets.
