EMS Find Inc (OTCMKTS:EMSF) With a Small Bounce
EMS Find Inc (OTCMKTS:EMSF) gained 4.3% during yesterday’s trading and it finished the day at $1.20 per share. A green session is a green session, but this is little condolence to the people who were jumping in three weeks ago when the ticker was flying well above the $2 per share mark. Indeed, quite a lot of investors lost a substantial portion of their hard earned cash on EMSF, but it must be said that the appalling performance isn’t that much of a surprise.
For one, the stock was pumped through a hard mailer brochure and a landing page. None other than the infamous Charles Moskowitz was trying to tout the ticker and those of you who have been following the penny stock world over the last year or so know that he’s been responsible for more than one promotional disasters.
Of course, there were people who had the chance to make some healthy profits from the pump. The retail investors who timed their trades well, for example, probably walked away with a smile on their face, but the profit opportunity for others was much bigger. The people who got more than 18 million EMSF shares for a total of $36,500 were the ones who really stood to line their pockets.
We’ve no way of knowing whether these people have been selling over the last three weeks, but the chart clearly shows that EMSF was put under a lot of pressure during this period. And it couldn’t have been any other way.
Even if you disregard the pump, you’ll see that EMSF isn’t really the most solid proposition on the OTC Markets. The company is led, for example, by Steve Rubakh and, as we mentioned in our previous articles, his experience with penny stock enterprises hasn’t been what you’d call pleasant.
And there isn’t a whole lot to suggest that he now has the reins of a more solid company. In typical promoted OTC fashion, EMSF as we know it came to be after a reverse merger between a private company and a public shell. When Mr. Rubakh completed the deal, he said that he will file the new subsidiary’s financials in mid-June. This obviously didn’t happen and on Tuesday, he and his colleagues also informed us that they will be late with the 10-K for the period ended March 31.
So, basically, the people who jumped in a couple of weeks ago, pushed the stock to a high of more than $2 per share without having a clue about EMSF‘s financial situation. In light of this, the drop seemed predictable from the very start.
The only thing that could’ve stopped it was some action from the regulatory organs, but apparently, they have other things on their hands at the moment.
About twenty-five minutes after today’s opening bell, EMSF is sitting at $1.17 – 2.5% in the red.