Is Smart Kids Group, Inc. (OTC:SKGP) the next 5-10 bagger in pennystockland? This is the question all traders have been asking after seeing what SKGP did on the last two trading sessions. So far, the answer is quite a positive one.
Yesterday, SKGP went up a staggering 656% in value, closing at $0.32 per share. For the record, it had opened that same session at $0.06. A total of 376 thousand shares changed hands, which indicated that investors’ interest in SKGP had hardly faded following the company’s market run the day before. The latter marked a 285% value appreciation and a record-breaking turnover of approx. 597 thousand.
As it is, SKGP’s total chart reign came hard on the heels of the official press release dated Feb. 7 which served to announce the company’s acquisition by the WMX Group, Inc. The transaction is expected to make SKGP’s products available worldwide.
As suggested by its name, Smart Kids Group, Inc. specializes in developing, distributing and licensing high-quality digital media aimed at entertaining and teaching kids about health and safety issues.
SKGP performed a 1-for-100 reverse stock split effective from Dec. 12, 2011. According to the company’s latest 10-Q form, it finished the third calendar quarter of 2011 with:
- $1,739 in cash;
- working capital deficit of $340K;
- net quarterly loss in excess of $190 thousand and an aggregate net loss of $3.48 million incurred since inception in February, 2003.
