Yesterday, after the end of the trading session a promo letter on Sound Worldwide Holdings Inc (OTC:CXLL) was spread around. Apparently, a paid campaign will try to increase the market awareness towards CXLL stock.
It seems that the company is in dire need of this campaign because its liquidity is extremely low at present and there are many cases of empty trading sessions. The company’s average daily volume is 23 thousand, which turned into too low daily dollar volume gives the low price of CXLL shares.
Such low liquidity can seriously repel investors, which explains why a company would pay for a market awareness campaign. In fact, the promotion of CXLL had cost $10 thousand, paid by Stock Appeal LLC. The promoter in charge of the campaign is Stock Rock and Roll.
The promoter’s stats on Hotstocked shows that he generates a 16% average intraday high and charges $460 thousand per promotion. Stock Rock and Roll has also made promotions on 42 stocks this year.
As to the paying party, it must be pointed about that Stock Appeal has invested $180 thousand for promotions so far for fifteen different campaigns on four stocks. The average compensation per promotion for Stock Appeal is $12 thousand.
Given that the promotion arrived after the closing bell yesterday, its effect will become visible today. Therefore, investors must bear in mind that CXLL may go through an unexpected trading activity today.
