UOMO Media, Inc. (OTCMKTS:UOMO) Dumped to Kingdom Come
After a brief run in late April, fueled by a flurry of pump emails, UOMO Media, Inc. (OTCMKTS:UOMO) dropped by almost a third in the following sessions on moderate volume. In yesterday’s session the slow decline turned into an all-out massacre, with the stock squished 46% down on volume greater than the last fifteen sessions combined.
Pumping for UOMO started on April 24 and intensified both in participants and compensations just two days later. Promoter outfits operated by the BlueLys group including Wall Street Report, Monster Trading Alerts and Penny Stock Guru launched new touts for UOMO, disclosing compensation reaching $225 thousand – a sizable sum that saw UOMO‘s daily share volume heat up for a while. The moment the promotions stopped, the volume faded rapidly until yesterday, when pumper Stock Psycho, a.k.a. Darth Trader, swooped in for the killing blow.
The Stock Psycho sent pump mails for UOMO, touting a press release from the company, focusing on the alleged deal between UOMO and Universal Music. According to recent press releases, the soundtracks of UOMO Filmworks future productions will be released through Universal. This is all fine but UOMO Filmworks was launched two weeks ago and judging by the company’s financial situation, it’s not very likely to produce anything soon. Here is a snippet from UOMO‘s latest report – a quarterly for the period ended January 2013:
- $6 thousand in cash
- $1.6 million in current liabilities
- $1 thousand in quarterly revenue
- $77 thousand in quarterly net loss
Additionally, in January 2013 the company issued 27 million free trading shares to clear convertible debt. Those shares were issued at a price of $0.002 per share. Considering the massive selloff that took place yesterday, traders should be able to put two and two together and figure out who, potentially, stood to gain from the bloodbath.
The Stock Psycho offered other picks that failed horribly on the same day he touted them. One very recent example is his pump on Transact Energy Corp. (OTCMKTS:TEGY). On April 19 the tout email promised that TEGY was “gunning for #1 again”. Instead the price dropped about 60% in the four red sessions that followed the tout, never to recover.
