DPOLLUTION International Inc. (PINK:RMGX) shareholders are facing an increasing pace in the decline of the stock price that happens on an increasing trading volume.
With more than 800 thousand in daily trading volume, the price is once again at a key support point, from which it bounced back in the beginning of November. The question is, can the same thing repeat over again when there‘s significantly higher trading involved.
Fundamentally, the company is a risky trade:
- No revenues
- No cash
- Increasing debts
- Relies on cash they get from officers
The attractive side of the business is the dPollution device for reduction of fuel consumption and overall improvement of the engine metrics. The product has been tested by the large Italian engine producer VM Motori S.p.A a while back and a positive feedback was received. [BANNER]
On the other hand, the company has not secured any sales contracts yet and it does not have the manufacturing capacity to take the product to the market either. Furthermore, the technology is currently valued at only $1.5 million on the balance sheets, which doesn’t fit the inflated market cap.
With a $88 million capitalization, the stock price is staying high only because of the abundant appearances on various third party watchlists and research reports putting on high price targets. The company‘s last serious announcement was in mid-November when VM Motori evaluated the product.
