Saturday, July 12, 2014

CYNK: A $4B Market Cap But No Revenue, No Product and No Assets

Remember 1999, when investors were piling into any Nasdaq internet stock without discrimination or reason?  Maybe those days are back. 

Cynk Technology has no revenue, no assets and one employee wearing the hats of President, CEO, CFO, Treasurer, Secretary and the entire board of directors.  Investors have piled billions of dollars into this penny stock with reckless and "bubblicious" abandon.  Maybe it's because it has the word "technology" in it's name?  Oh, lest I forget, it has no technology either.

The stock traded at $0.06 per share on June 17. Yesterday, the stock closed at $13.90 per share. That means that in one month the value of CYNK went from $17.5 million to $4.05 billion.  That's about a 23,000% rise in price in one month.  With no revenue. And no assets.

Add this to the latest "tells" showing how the stock market is in bubble territory.  But like in 1999, it could last longer than most expect despite the obvious silliness.   But it all ended in tears.

No comments: