Bonanza Goldfields Corp. (PINK:BONZ) has been moving up at top speed since last week. Yesterday, the stock gained another
29.41% on a traded volume of over 10 million shares for the day.
Looks like a new uptrend has been formed, though no particular explanation on the climb can be found yet.
The most recent news by Bonanza appears to be their financial results filed in end-December. Since then, no information on the company’s operation has been released. Though, the massive trade is currently on.
In any case, if anything is going to happen with Bonanza, it should be seen in a while.
Bonanza Goldfields Corp. engages in the acquisition, exploration and development of natural resource properties in the United States, primarily in the State of Arizona. Unfortunately, the company’s annual results don’t look promising at all.
On the contrary. Apart from the fact that as of fiscal year end June 30, 2011, BONZ had 1 employee, their 10-K is full of risk factors which make the company’s future operation rather questionable.[BANNER]
Among the risk factors related to the existence of Bonanza turn out to be the lack of capital, volatility in their common share price, FINRA sales practice requirements and even the climate change that may impact the company’s business.
The financial report of Bonanza raises substantial doubt that they can continue as an on-going business for the next twelve months, unless BONZ obtains additional capital to cover their losses. This is because the company has not generated revenues and no revenues are anticipated until they begin removing and selling minerals. The problem is that there is no assurance Bonanza will ever reach that point.
