Pleasant Kids Inc. (OTCMKTS:PLKD)’s Crash Has Begun
Heavy buying had managed to double Pleasant Kids Inc. (OTCMKTS:PLKD)’s market value over the course of several sessions, but now the ticker is in free fall to the bottom of the charts.
Very few investors that have done actual due diligence on PLKD would have been surprised by this turn of events, for one simple reason – PLKD is one of the more controversial companies on the OTC Markets.
A bit of digging around in its reports reveals that not too long ago, it issued 7 BILLION shares in order to satisfy less than $1 million worth of convertible debt. PLKD then proceeded to perform a 1 for 500 reverse split, which brought its SO to a more reasonable 14 million.
Well, unsurprisingly that state of developments didn’t really last – as of Oct. 26, 2015 the OS had already ballooned all the way to 21 million.
And the worst part is that PLKD doesn’t even have anything else to show for drowning investor value in all of that dilution. The company’s latest financial report looked like this:
- NO CASH!
- $778 thousand in current liabilities
- $724 in quarterly revenues
- $131 thousand in quarterly loss from operations
That being the case, is it really any wonder that the ticker is currently plummeting?