Sierra Resource Group Inc (OTCMKTS:SIRG) Gets Devastated
The stock of Sierra Resource Group Inc (OTCMKTS:SIRG) suffered another disastrous session yesterday. The ticker opened at $0.0023, its highest point for the day, and closed at $0.0015 for a loss of close to 32%. Just this Monday the company registered a high of $0.0795 but it seems that it is now going to return to the triple-zero price ranges.
The surprise here is not that SIRG has been wiping huge chunks of its value during the last couple of session but that the company was capable of moving 210% upwards on August 28 in the first place. Investors rushed towards the stock in a state of buying frenzy and on that day more than 283 million shares changed hands. But those who bought the company’s shares may now be bitterly regretting their decision to believe the speculations and rumours that are floating around investor message boards.
According to them an Ecuador company called Orotecno, that apparently has generated $80 million in sales in six months, wants to merge with SIRG. Is that true? Nobody can tell. There are no official announcements from either SIRG or Orotecno. In fact, SIRG doesn’t seem to have an official site anymore and they have not issued any official PRs.
And if that wasn’t enough of a red flag the company’s profile page on OTCMarkets is also branded with the OTC Pink No Information sign. And they definitely deserve it – Sierra have not filed a single financial report for nearly 2 years. The last one covers the quarter ended September 30, 2013.
It is no wonder that the momentum behind the company turned out be to be rather short-lived. With absolutely no current information about SIRG trading its stock will continue to be extremely dangerous.