Sollensys Corp. (OTCMKTS:SOLS) Ends its Run With A Massive Drop

The session begun relatively calm with the ticker barely sliding down on a quite negligible volume but right before 1p.m. it suddenly plummeted and was unable to recover. The spike in traded volume for the past two sessions is also quite significant with more than a million shares and 800 thousand, respectively. Yesterday’s performance resembled closely the drop they suffered in mid-October when they lost a quarter of their value.

Although the correction may be explained with some profit taking by investors at the current inflated prices the reasons for the positive run of the stock are way vaguer. Even at the current prices the stock may very well be disproportionately overpriced. We say that it “may” be because we have no way of telling what the current financials of the company are. SOSL has the OTC Pink Limited Information warning sign on their OTC profile because the most current report from them covers the quarter ending December 31, 2012.

The last press release that came from the company is dated April 22 and in it the management seemed quite confident that the annual report is going to be filed at the required date of July 1, but unfortunately that has not been the case. Equally as big of a red flag is the paid pump that took place between March 26 and April 11. The involved newsletters disclosed compensations going as high as $300 thousand. Although no new email touts have been distributed since then the landing page created for the company is still active. With no information about how their touch screen operations have been going and no evident reason for the recent uptrend SOLS is one extremely risky choice for investment. 

Yesterday yet another pump was cut short by an intervention from the SEC. This time the targeted company was Nevada Gold Corp. (OTCBB:NVGC) and we have been following their promotion from the start. NVGC will more than likely resume trading in the grey market after 10 days with a massive drop in share price. Despite the increase in suspensions of pumped stock this year most of the paid pumpers seem unfazed. Yesterday the stock of HD RETAIL SOL. INC. (OTCMKTS:HDRE) surged by more than 400% after Stock Mister and a slew of other newsletters started touting them.