What does it look like when a .0005 penny stock races towards .002 or even higher? Well, SKYF might give us the answer as they launch into the marijuana sector!
SKYF440 (OTC: SKYF) announced on 5/20/2015 their intention to both enter the marijuana industry and to bring the company current with the OTC Markets, meaning they would be uplisting from their current Caveat Emptor status to at least one of the Pink Tiers. Needless to say these type of hypeable events and a teeny tiny share price leave us very excited!
We currently hold a nominal sized position purchased at both .0004 and .0005.
There is no way to know if the numbers reflected above would be the same nearly 2 1/2 years later. With this play at such a low price it's not much of a concern to us at this time.
That said the CEO has stated there will be updated share counts coming soon. If they are the same, then with that low float at this ridiculously low price there is going to be some serious action here.
Why We Like It:
This is really straightforward...We like it because it is cheap and feel there will be a bunch of hype coming in the near future. We should have some nice press releases with bold (more than likely hugely exaggerated), money making plans and an uplist to boot.
Penny stocks don't get much cheaper than .0004 and the MJ sector always brings buyers. Especially at these bargain basement levels!
The CEO is Bob Atwell and most his past experience seems to be in the entertainment and securities industries. Here is a link to his bio.
What to Watch For:
Our two greatest concerns would be follow through and a reverse split. Emailing the Sky440 CEO we learned (at least according to him) that the company expects to have additional updates soon and they are not planning a reverse split "at this time."
At this time could simply mean "at this time" of the email I'm sending you and tomorrow that could change (the company has a history of reverse splits), so we'll have to wait and see.
In addition, the company said nearly a year ago that things were going to get going and they never did. We do however feel that this time they will get this one in motion.
We really like this play at .0004-.0005. Assuming the ball keeps rolling and the company either puts out more updates or actually moves forward with their plans to uplist and enter the MJ sector, then we feel confident this is a play that should move to the .002 range with relative ease and possibly really soar to the .02 range.
Be vary wary of dilution with this play however as we do NOT expect this to ever be a legitimate company at any time in the future and we expect them to be selling their fair share of stock when the buyers come in.
Could be wrong, but based on the CEO's track record with publicly traded companies we can't view this in any other way, but play the hype and take profits when they are available...
Definitely don't marry Sky440's stock, or you'll more than likely go broke in the divorce!
Stocks to Watch