Keeping a transparent financial profile in pennystockland could only be of benefit for the corresponding company. Not for Pacific Gold Corp. (PINK:PCFG), though.
Yesterday, PCFG filed a comprehensive 10-Q form with the SEC, providing an outline of its activities for the third quarter of 2011. As a result, PCFG stock took a huge nosedive on the latest market session. Losing almost half of its value, PCFG slumped by 40% to close the session at $0.0203 per share, although it went as low as $0.0162 at certain periods of the session. In the end, PCFG set a six-month low in terms of price, as well as a twelve-week volume record with 22.67 million shares changing hands.
The quarterly report in question contained:
- cash reserves of $180K;
- working capital deficit of $1.4 million;
- $71 thousand in revenue and a quarterly net loss of some $14 thousand.
Indeed, PCFG’s financial balance is neither as good, nor as bad as it could be. Yet, the heavy trade appears to have smashed its stock. How long it will take for PCFG to fully recover will largely depend on the company’s ability to offer its stockholders a commercially viable project. Because, as it is, being upgraded to the OTCBB is an important step forward, yet it is by far not enough to guarantee long-term sustainable development on the market.
