The Desperate Pump for Ghana Gold Corp (OTCMKTS:GGCO) Continues
Ghana Gold Corp (OTCMKTS:GGCO)’s stock is probably the pumpers favorite, because they have been touting it vigorously from the beginning of the year, even after the initial crash of their stock and the inability to lift the ticker off the ground.
Today the trade session seems to be starting well for them being aided by exalted pumpers that seem to be blind for their inability to make any difference. Well, after all they don’t really care about the stock movement after they get paid for the promotional campaign and it seems that GGCO‘s insiders have quite the budget put aside for pump campaigns.
GGCO opened at $0.034 today and are now at a high of $0.038 having registered 4 trades and a volume of 7800 shares in just 1 hour of trading. The 15% their stock gained in price in this short period of trading seems like a good start for the day, however, things may turn out sour at market close.
Yesterday they didn’t start so bad as well when they opened at $0.042 and had a peak of $0.044 in early trading. The price, however, couldn’t hold under the pressure of the volume of the stock that was being dumped by insiders and they closed at $0.033 with a total of 3.7 million shares that changed hands which came at a total trade value of $147 thousand.
If you have followed our articles covering GGCO‘s performance since the beginning of the year you would probably know that they aren’t a SEC filer as they deregistered in November 2006 and at the moment they are filing their reports under the Alternative Reporting Standard in the OTC Markets.
One bad thing is that most of their quarterly and annual reports don’t really contain any table that shows financial statements. Instead of that we can see an interim financial report that covers the period ended March 31, 2013 in which the company doesn’t seem to be in that bad of a situation. The question of how much we trust companies with such reporting practices remains, but lets take a quick moment to see their alleged financial state as per their report.
- cash: $2.5 thousand
- total assets: $2.2 million
- current liabilities: $0?
- revenue: $140 thousand
- net loss: $52 thousand
There is a question mark behind the $0 in current liabilities as we really can’t imagine and are experiencing difficulties to believe how a company with such assets, almost no cash on hand and which is operating at a net loss of $52 thousand for the first quarter of 2013 doesn’t have any current liabilities. Instead the only liabilities that they have listed are in the form of notes payable that amount to $75 thousand.
In any case the pumping of their stock seems to be profitable for insiders who obviously have a fair amount of stock that can be dumped in the streets when you see that there are $15 to $25 thousand distributed to paid promoters for touting their stock. When you top that with the news that they are planning to rename the company to Brightrock African Mining Corporation it all starts to seems that they are in the process of getting a new cleaner image in order to continue with the promotional campaigns and attract new investors who are not that well aware of their practices.
Surely, some of the most experienced traders may make a profit, but GGCO is very risky stock that can literally go anywhere due to the constant pumping and the press releases aiding the promotional effort. Before deciding to make any sort of investment in GGCO be sure to have done your due diligence.