Limitless Ventures, Inc. (OTCMKTS:LVGI) Gaps Upward with Bargain Buying

A large fan base and a boost from promoters- this recipe keeps working for Limitless Ventures, Inc. (OTCMKTS:LVGI). The company survived the first big setback that broke its recent rise. In the past two days, LVGI managed to regain the higher positions. On Monday, the ticker continued upward with a gap, adding more than 28% to stand at $0.009, on buying volumes of $1.83 million. Still, the buying was not as enthusiastic as in the initial days. LVGI0104.png

While LVGI has not given signs that it is approaching the legal marijuana market, Twitter discussions show that the stock is selected as an addition to a portfolio of some of the fastest movers among pot stocks. Indeed, it is the upward momentum which is the most appealing, and perhaps the after-effects of the pump are helping. FITX0104.png

Unfortunately, LVGI is not really well-padded financially for a company that aims at diverse brand-building. Its limited financial information shows:

  • $4,000 cash
  • $178,000 total assets
  • $1.4 million total current liabilities
  • No revenues
  • $10 million annual net loss

As it is easily seen, the four emails and the lively corporate updates do more for LVGI than all of its business activities. Looking at forum comments, the uploading of LVGI shares has not stopped, and there are plenty to go around, with a free float of 1.5 billion shares. While the surplus may stop the company from taking off to more respectable price levels, at least in the short term, given enough momentum and the right news, LVGI certainly made money for the faster investors.

LVGI revived at the beginning of the year, yet its PR efforts are less frequent than those of similar companies trying to gain the upper hand when it comes to OTC markets. But then, even in times of promotion, LVGI remains relatively flat when seen in a longer-term perspective. The email campaigns in the fall of 2013 did lift the volumes to extremely robust levels, but the ticker never returned to its 2012 positions.

LVGI tried to repair its dismal position with a reverse stock split at the beginning of 2013, but it remains loaded with too many outstanding shares. So far, the biggest danger is that the current high trading volumes would revert to less active levels, leaving buyers stuck with useless, underpriced holdings that could easily sink to triple-zero prices.

If you need to pick a more up-to-date food supplement company, the high-flyer is Creative Edge Nutrition, Inc. (OTCMKTS:FITX). While this company has its own red flags, at least it is living by the rules of the dot-bong boom, and has the potential to offer good days. FITX is looking for directions from its current perch of $0.08, which it occupied in the past weeks.

LVGI rose along with the boom for Red Giant Entertainment, Inc. (OTCMKTS:REDG), the comic book company that climbed 10 times in a week, reaching $0.013, with some upward momentum still preserved. The low quality of the companies matters little when the unusually exuberant trading week arrives.

If you want to take a chance with one of those phenomenal spikes, keep in mind that the fallout may happen at any moment, so avoid over-investing and adjust the timing accordingly.

You may also like...