CABN, GWBU, OMVE – Pump And Dump Alerts – June 22, 2012
This week were exposing these three popular Pump & Dumps: Carbon Sciences (CABN), Great Wall Builders (GWBU), and Omni Ventures (OMVE).
That said, welcome to Pump and Dump Friday, where every week we identify a few of the potentially bogus promotions going on in penny stocks today.
If you dont know how these schemes work, be sure to check out this free report that exposes the whole thing.
Without further ado, here are todays disasters waiting to happen:
Carbon Sciences (CABN)
I had to do a double take after reading the pumpers email hyping up Carbon Sciences
Before I get into that, let me tell you all about CABN. Carbon Sciences is a developmental stage company working on a technology to make transportation fuels and other products from natural gas methane and carbon dioxide.
Sounds great, right?
But heres something the pumper didnt mention in their email CABN was formerly known as Zingerang, Inc. and changed their name in April 2007. The Company was initially in the business of offering mobile communication services to businesses and consumers under the Zingerang trade name.
Of course it makes sense to jump into the nat gas business from mobile communications not!
Moving on, some other details Im sure you wont find in the pumpers email include the companys financial condition. And why would the pumpers send that theyre horrible!
For starters, CABN has an accumulated deficit of over $8.5 million on the books right now.
And the latest quarters activity isnt helping matters one bit. You see, in Q1 of 2012, Carbon Sciences lost $887,189 on $0 revenue.
With things so bad, theres no wonder why the pumper didnt say a word about it. But what they did say was shocking. Under the disclosure laws in place for paid stock promotions, Blue Wave Advisors dropped this into tiny font at the bottom of their latest email
BlueWave Advisors, LLC has been previously compensated a total of one hundred forty five thousand dollars directly from Carbon Sciences, Inc for advertising and promotional services that have expired. BlueWave Adivsors, LLC has also previously purchased one million shares of Restricted Rule 144 stock from CABN.
What, come again?
Carbon Sciences paid the pumper directly. Ill tell you what, if that doesnt keep you away from shares of CABN, nothing will. I mean really who pays a known pumper for advertising and promotional services if they werent trying to manipulate the stock higher?
It makes you wonder.
If Carbon Sciences management was simply hiring BlueWave for other company promotions, then theyre not too bright. And that gives you even less of a reason to invest in CABN shares!
Great Wall Builders (GWBU)
So whats the status on GWBU this week?
You guessed it, the mighty Great Wall has fallen! Not just fallen… GWBU crashed over 61% in one day alone!
Oh my what a selloff. And how did this happen?
Its exactly like Ive been warning for weeks now the paid promotional campaign on GWBU was coming to a close. And more than likely, it was time for the third party to cash out.
If you were still holding shares of GWBU yesterday, Im sorry to hear that. Its not like I didnt warn you just last Friday to get out so Im not that sorry.
The sad part is, there was no reason for the selloff. There was no bad press, no news, no earnings reports to spook investors nothing.
This should be illegal right?
Unfortunately, the pumping game will continue to go on long after we forget the GWBU ticker symbol. Next month, Ill be warning you about a brand new campaign the Centro Azteca S.A. group is running.
Now, let me wrap up by summarizing my sentiment on GWBU with a quote off of the Yahoo Finance message board posted just yesterday
The dump says it’s over bagholders
Look to the current price SNPK is fetching for your futures.
Well said, ujil11 well said.
Omni Ventures (OMVE)
Just what the world needs, another wannabe luxury brand clothing company. You see, OMVE owns PRVCY Couture, Inc and thats exactly what they are.
The pumpers are hyping up PRVCY as the next True Religion. Regular readers of our pump and dump alerts know this trick by now associate your sad little penny stock with a big name company to add a level of legitimacy to the penny stock.
Works every time
In fact, this recent paid stock promotion reminds me of another high end jeans pump. It was Lyric Jeans (LYJN) back in January and 007 Stock Chat was paid to hype that jean company back then.
This time around, its Moving Pennies doing the pumping on OMVE.
So how about the Omni Ventures as an investment?
Forget about it!
Their financials are a wreck, like most of these pumped stocks. OMVE has racked up a $7.6 million accumulated deficit. That gives shareholders a lot of loss to spread around wait a second we want profits to spread, not losses!
As far as their latest quarter, lets just say Q1 didnt go so well for Omniventure
This latest quarter, OMVE lost $4.1 million on -$3,337 in sales. Come again?
Yes, the company lost money on their sales before even considering financing, expenses, etc. And thats a big red flag for investors!
Dont listen to the hype of the pumpers about whos wearing PRVCY jeans or whos tweeting about them pay attention to what real investors are supposed to the bottom line!
A final word (and warning).
These are just a few of the potential pump and dumps we’ve seen lately. Remember, theres a lot more of this going on than we can highlight here. As you know, penny stocks are a great place to invest your money. You just have to do your due diligence to stay away from all the schemes and scams out there these days!
Until next time,
Brian Walker
Category: Pump & Dump Alerts
