Yesterday, Zevotek, Inc. (PINK:ZVTK) made a huge step forward, putting at least a temporary end to the three-month downward trend. Backed up by a brand-new press release, ZVTK stock gained 60% in value to close at $0.0016, shifting more than 86.6 million shares. While the former figure is only a four-week high, the latter had never been achieved for the last 52 weeks.Given that promoters do not appear to be currently interested in ZVTK, the most obvious reason for the abrupt change in course is the corporate announcement made yesterday. According to it, ZVTK has reached an agreement with a Minnesota-based marketing company. The latter will undertake to promote Zevotek’s Ionic Bulb to such retailers as Target, Best Buy and ShopNBC.
Indeed, the news itself sounds fairly promising. In retrospect, however, ZVTK has often been called a ‘SCAM’ by different iHub posters, which is why investors tend to question the credibility of each PR issued by ZVTK. Therefore, until its product has hit the shelves of the largest U.S. retail chains, the current news will mean nothing but a set of forward-looking statements. [BANNER]
In spite of its tarnished reputation among iHub traders, ZVTK occupies one of the highest OTC market tiers. Moreover, as a regular SEC filer, the company is among the first to have already submitted its Q4 report for 2010. As of Dec. 31, ZVTK had:
- a negative working capital of $1.6 million, which is 14% higher than the deficit for Q2;
- a three-month net loss in excess of $325 thousand, which is as big as the loss accumulated in Q3 of 2009;
- a semi-annual net loss of $725 thousand.
Although the financial state of ZVTK seems unenviable at best, the company might make a breakthrough as long as its Ionic Bulb meets with success on the market. In brief, it has been presented as a special compact fluorescent light bulb which is somehow able to clean air in indoor premises.
