Tranzbyte Corp. (OTCMKTS:ERBB) Falls Further Down
Tranzbyte Corp. (OTCMKTS:ERBB) had a nice publicity-fueled run between May 21 and May 27, but that’s over now, and with nothing to keep the company afloat it has started sinking to the bottom of the charts again.
Exploiting the market’s volatility and promoting one’s stock through publicity stunts has become a favorite tactic of OTC pot-stocks in the last few months. As many companies have found time and time again – an optimistic piece of PR can launch a ticker sky-high, regardless of how vague, implausible, or even obviously false the news in the press release may appear. In the end, it’s the exposure that counts.
ERBB‘s media exposure can account for its recent increased trading volumes and the jump in its market value. However, hype and hope can only push the ticker up for so long. Once the initial surge of hectic buying is over, investors tend to begin to notice some red flags.
Red flags, like the fact that the company is drowning in toxic debt, with note owners converting serious sums of money into shares at a rate of $0.0005. And the red flags surrounding ERBB are not limited to its horrible share structure. The company’s latest financial report, for the period ended March 31, 2014 didn’t do a whole lot to convince investors of ERBB‘s financial integrity:
- Cash – $30 thousand in cash
- Current liabilities – $3.8 million
- Quarterly revenues – $68 thousand
- Quarterly net loss – $426 thousand
Under the circumstances, it is not all that surprising that ERBB is currently stumbling. The only way the company can make a solid rise is by showing investors some real results, but those seem to be in short supply, despite the belief of many pot-stock enthusiasts that ERBB is on the berge of a roll-out.
Medical Marijuana Inc (OTCMKTS:MJNA) is another marijuana company that is currently headed down, with no news, recent developments or new achievements. MJNA managed to lose 5.44% of its market value just yesterday