A famous Frenchman once said that the more things change, the more they stay the same. This is particularly true of pumpers who assume a new name and a new visual look for their paid pumps.
Today a new pump is making the rounds, touting the stock of Native American Energy Group, Inc. (PINK:NAGP). One of the pumper parties is CandlestickPicks, which the more observant among readers may find out is really PennyStockNewsletter in new clothing, as seen on the image clipping.
The promotion looks like a huge effort with a compensation of a whopping $100 thousand for the pumper.[BANNER]
The company in question is NAGP, a development stage enterprise that is supposed to research and develop the natural resources of U.S. tribal reservations. While the pump makes the company looks like a real achiever, the facts on file are a little different. Browsing the latest quarterly 10-Q report of NAGP that contains numbers for previous periods as well, eager investors can come across some figures that can disturb not only their enthusiasm but may also burn a rather large hole in their wallet:
- total current assets = under $1 thousand in cash
- total current liabilities over $4 million
- zero revenue generated over 7 years since inception
- cumulative net loss since inception $29.4 million
Pumpers may feel like covering a fraction of their liabilities is a great thing for NAGP but it still leaves them hanging with millions of debt and payables.
Previously PennyStockNewsletter (or Candlestickpicks as they seem to be known now) has pumped some other companies that ended up chewing through investor money. Looking at two charts of their previous pumps, NANI and GNUS, investors can draw their own conclusions, I believe.
As with all things pumped, investors are advised to do their personal due diligence and be cautious before sinking their money into what may turn out to be yet another quicksand trap.
