REVO, BERX, AMWI – Pump And Dump Alerts – December 2, 2011
This week were exposing these three popular Pump & Dumps: Revolutionary Concepts (REVO), Bering Exploration (BERX), and Amwest Imaging (AMWI).
That said, welcome to Pump and Dump Friday, where every week we highlight a few of the bogus promotions that are going on in penny stocks.
If you dont know how these scams work, be sure to check out this free report that exposes the whole thing.
Without further ado, here are this weeks disasters waiting to happen:
Revolutionary Concepts (REVO)
I love seeing emails from pumpers that start off with big cap names and then throw in their penny stock to the mix. As if REVO is on the same page with AAPL, BAC, RIMM and NFLX. Its an old school pumper trick theyre trying to legitimize their stock. Yeah right!
But thats what The Stock Psycho did for REVO and was paid a sweet $40,000 in the process.
After slogging through all the puffery, it was time to get down to business what does this company do?
Heres the deal
REVO is yet another development stage company (which means they dont actually make anything yet). The company is focusing on making a network camera video system which would let you see people at your front door from a remote location or personal device.
While the idea sounds enticing, their financials are not. In fact, theyre downright ugly!
For starters, the company has no revenue. Well, thats easy to explain since the company only has a working prototype right now. But its one expensive prototype
REVO has racked up over $4.5 million in losses to date with over $1.5 million in 2011 alone.
And while thats bad enough, the company is flat out of cash. Yep, theyre holding a big fat goose egg in their account. We think the company isnt long for this world, and were not alone even REVOs accountants agree with us. !
On page 11 of their latest report, they say The losses, negative cash flows from operations, and negative working capital deficiency sustained by the Company raise substantial doubt about the Companys ability to continue as a going concern.
It certainly looks likely REVO wont be around much longer. This $0.03 stock is one to avoid for sure.
Bering Exploration (BERX)
The distraction machine is running full speed over at Beacon Equity. See if you can decipher their latest hype
Today is a red-letter day for BERX, but tomorrows alert is now due for some market-moving NEWS of its own.
I hope thats not supposed to excite me into buying BERX. You fellas better come up with something better than that. I mean, really you got over 500,000 shares for this hype?
Now I suggest you cash them in sooner rather than later, because things dont look good over at BERX. Let me tell you what I found
Bering Exploration operates as an independent oil and natural gas company. According to their SEC filings, BERX has a 5% working interest in a well in South Texas. At least thats what theyre up to now.
The company was formerly known as Oncolin Therapeutics, Inc. They changed their name to Bering Exploration Inc. in September 2010. It seems they have a bit of an identity crisis.
While thats a red flag on its own, theres more that concerns me about BERX.
What jumps off their latest report is this BERX has no revenue!
To make matters worse, the company has a loss of over $1 million in just the past six months and theyve run up over a $4 million loss since they started! Clearly, there aint that much black gold in that thar ground…
If all this bad news isnt enough to keep you away from buying this hyped up stock, then I have one more for you the company is on bankruptcy watch.
On page 7 of their latest SEC filings, it says The Company has not generated revenue since its inception and is unlikely to generate earnings in the immediate or foreseeable future. The continuation of the Company as a going concern is dependent upon the continued financial support from its shareholders
In other words, BERX will most likely have to raise money soon through stock offerings. Theyll be firing up the printing press once again diluting the value of all the existing shares.
Hopefully, none of which you hold
Amwest Imaging (AMWI)
Ive saved the best for last this week the notorious AMWI. The pumpers simply wont stop pushing this penny stock. In fact, I have over 20 emails in my inbox on hyping up this dog.
But, their efforts are paying off for shareholders the stock has doubled since we last covered it. Its gone from $0.16 to $0.32 in short order.
The company must be doing something right to merit this stock surge, right?
Nope. The big jump is clearly due to a coordinated massive pump scheme. Its playing out just as they hoped it would.
Some might think the move is due to some recent news
You see, AMWI entered a share exchange agreement on September 6, 2011 with Instant Website Technology (IWTI). AMWI picked up all the shares of IWTI in exchange for 6,060,000 shares of their common stock.
As a result, Instant Website Technology has become a wholly-owned subsidiary of AMWI.
Sounds good, yes?
Hardly. From what I can tell, all Amwest found was a new way to rack up more losses! Yep, thats right IWTI had a net loss of $165,890 for their financial year ending June 30, 2011.
I guess one thing AMWI did get in the transaction was IWTIs $19,885 in cash. Hmm, lets do a little math here
$19,885 in cash for 6,060,000 shares thats only $0.0032 a share! Im thinking the management team over at AMWI must really be desperate to do this deal.
A final word (and warning).
So that takes care of a few of this weeks inglorious pump and dumps.
Remember, theres a lot more of this going on each week than we 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 scams out there these days!
Until next time,
Brian Walker
Category: Pump & Dump Alerts
