CMG Holdings, Inc. (PINK:CMGO) share price suddenly surged up shortly after 11 am yesterday and the session closed with a trading volume record in the stock’s trading history. The day before that, the company filed the decisions from its stockholder voting. 
Yesterday, the session closed at $0.023 for a share and the trading volume of CMGO reached its highest value ever with 4.83 million traded shares. The $0.04 level still stays as resistance, but the share price went above $0.03 and the huge volume may attract more traders for today’s session.
The only official news from CMG Holdings for this week has been its latest SEC filing which was published on Wednesday afternoon. According to it, the company’s stockholders have approved an increase in the number of authorized shares of common stock from 150,000,000 to 450,000,000 shares; the change of the name of the company from CMG Holdings, Inc. to CMG Holdings Group, Inc.; and the creation of 10,000,000 shares of “Blank Check” Preferred Stock.
That increase in the share capital suggest that CMGO might be willing to raise additional capital soon, or it may also have something to do with its convertible debts. In any case, it looks strange that traders noticed that filing all of a sudden on the following day. Yet, we have no indications about a running promotion or alerts focused on CMGO.
CMG Holdings latest report came out in August. The company operates in three segments: event marketing, commercial rights and consulting services. In the six months ended June, 2011, revenues increased from to $5.5 million from $2.9 million for the six months ended June, 2010. At the same time, the net loss of $391,000 for the first half of last year has turned into a net income of over $1 million.
However, that was not due to such an improvement in the operation, but mostly to a gain of $2.4 million recognized for certain derivative liabilities.
