Graphite Corp (OTCMKTS:GRPH) A Little Rise After the Big Fall
The last 2 trading sessions went a little bit more relaxing for Graphite Corp (OTCMKTS:GRPH) after their stock plummeted following GRPH being listed as a defendant in a lawsuit alongside Advanced Marketing Services, LLC.
Their stock managed to drop approximately 50% in just 2 days after April 6. Yesterday’s trade session was a breath of fresh air for them and their investors as the stock price calmed and stayed at $0.26. Since today’s trade session started they even managed to make the little jump to $0.27.
Let’s have a quick look-see at the numbers of prime interest from their latest annual report covering the period ended December 31, 2012.
- cash: $184 thousand
- current liabilities: $20 thousand
- revenue: $0
- net loss: $718 thousand
Ok, everything apart from the huge net loss of $718 thousand seems to be in norms.The bad news, however, come when you see who the guy that added them in the lawsuit is. It’s none other than Mr. George Sharp. What do we know about Mr. Sharp? Well, we actually know quite enough to be able to paint a picture that would not be pretty for GRPH.
Considering he may very well win the lawsuit (judging from his previous history) this will leave a black mark on GRPH for quite a while. The lawsuit itself is about spam emails from paid newsletters and may prove to raise the attention of SEC and FINRA about GRPH. This may end up just like Eco Trade Corp (OTCMKTS:BOPT), who were halted from trading for a few weeks after an investigation of FINRA and after the lawsuit from Mr. Sharp with the exact same accusations.
Sharp, himself said that he doesn’t believe his lawsuit against BOPT was the reason for their halt, however, we think that it raised the attention towards BOPT and its stock manipulation. The deal is that GRPH is using offshore pumpers who are hard to track down and prosecute and are doing whatever they like and in order to make money.
With all that in mind make sure to do your research before investing in GRPH. It may very well prove to be a sour decision.