Undisputable Bubble Insanity: No Revenue, No Assets Company Up Over $1 Billion (+110%) Today On 57K Shares Traded

Tyler Durden's picture




 

Update 2: CYNK closed up 150%, at an all time high of $14.70, a market cap well over $4 billion. Clearly there is much untapped upside left for the company with no assets or revenues.

Update: Stock is now $14/share, implying a market cap for the revenue/asset-free compah of over $4 billion. This means it has a market cap higher than Dynegy, Federal Mogul, JetBlue or Buffalo Wild Wings.

 

Just 2 days ago we highlighted the best example of the exuberance awash the markets currently - CYNK Technology Corp, the social media development company that had a market capitalization in excess of $1 billion, which according to official filings,  had one employee, no website, no revenue, no product, and no assets. Fast forward 2 days - and some 57,000 shares traded (about 0.02% of its total shares outstanding) at around $10 and CYNK now has a market cap approaching $3 billion (and still no revenue, no product, and no assets)... Lord Overstone said it best. “No warning can save people determined to grow suddenly rich.”

CYNK is up 80% today... on 57,379 shares traded

 

Think we are exaggerating, here is the company's own description from its 10-K (yes mysteriously it does actually have public filings):

we have not yet commenced our full scale business operations and we have not yet realized any revenues.

 

We have minimal operating history upon which an evaluation of our future prospects can be made. Based upon current plans, we expect to incur operating losses in future periods as we incurred significant expenses associated with the initial startup of our business. Further, we cannot guarantee that we will be successful in realizing revenues or in achieving or sustaining positive cash flow at any time in the future. Any such failure could result in the possible closure of our busiess or force us to seek additional capital through loans or additional sales of our equity securities to continue business operations.

And its most recent "assets" from its Sept 30 10-Q. Alas, the 10-K filing was delayed...

 

And its "income statement"

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Your rating: None Average: 5 (35 votes)
 

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Wed, 07/09/2014 - 15:02 | 4940555 PlusTic
PlusTic's picture

there are no degrees of fake...this is just another symbol, no more fake than JPY or USD or SPX

Wed, 07/09/2014 - 15:05 | 4940574 wallstreetapost...
wallstreetaposteriori's picture

And O-barry is the only employee..... CREAM bitchezzzz

Wed, 07/09/2014 - 15:08 | 4940580 knukles
knukles's picture

I thought he was majority shareholder?
Huh
Talk about "painting the tape"

 

sort of a Goldmanesque Chicken Futures account trading thingamajigglie

Wed, 07/09/2014 - 15:11 | 4940593 max2205
max2205's picture

Fundamental analysis is so 1970's

Wed, 07/09/2014 - 15:17 | 4940626 nope-1004
nope-1004's picture

Dot com 2.0.  Totally stupid. 

 

Wed, 07/09/2014 - 15:19 | 4940634 i_call_you_my_base
i_call_you_my_base's picture

Dot com bubble and housing bubble at the same time now. Neither worked on their own, so it's probably wise to try both simultaneously.

Wed, 07/09/2014 - 15:32 | 4940691 NoDebt
NoDebt's picture

I just want to know if any insiders are selling their shares.  I mean, if THE insider is selling his shares.

Wed, 07/09/2014 - 15:37 | 4940703 Four chan
Four chan's picture

who has the balls to short a rocket to the moon?

Wed, 07/09/2014 - 15:47 | 4940731 synergize
synergize's picture

Gotta love our algo friends!

Wed, 07/09/2014 - 15:50 | 4940741 Save_America1st
Save_America1st's picture

How is it that a "company" like this can get approval to be listed on any stock exchange?  Do you just have to fill out a form on the back of a book of matches or what?  Honestly, I know nothing about how a company gets approval or whatever it needs to sell stock in itself if it's not really a company other than that it has a name. 

Wed, 07/09/2014 - 16:20 | 4940833 overexposed
overexposed's picture

All it takes is a lawyer (which undoubtedly accounts for the $25,000 in "professional" expenses contributing to their NOL).

Wed, 07/09/2014 - 16:45 | 4940895 I am more equal...
I am more equal than others's picture

 

 

A question here: 

You think ZH is trolled by the manipulators of this market.  Their AI trading system reads the article and executes trades against the short traders.

Experiment:

Find some other no asset stock, write a similar article, see if there is an immediate response to the article.

 

Wed, 07/09/2014 - 16:53 | 4940927 Skateboarder
Skateboarder's picture

Fantastic idea. Tyler must conduct this experiment. For truth.

Wed, 07/09/2014 - 17:45 | 4941012 AlaricBalth
AlaricBalth's picture

Interesting Bio.

MARLON L. SANCHEZ was elected as a member of of the Board of Directors on April 17, 2013. On April 18, 2013 he was appointed as Chief Executive Officer, President, Secretary, Chief Financial Officer and a director of Introbuzz, Inc. From 2002 to present, Mr. Sanchez has been a Partner in Sanchez Medical Services, which provides comprehensive medical services to the Southern California market. Mr. Sanchez's responsibilities include direct oversight of administrative operations. Sanchez Medical Services also has a division dedicated to the ever growing Medical Tourism Industry. Mr. Sanchez is the primary spokesperson for the Medical Tourism Industry council in Tijuana,Mexico. Mr. Sanchez is a graduate of San Diego State University with a degree in Business Administration Marketing. Mr. Sanchez has not held directorship during the past five years in any other publicly traded company.

However, there is no Medical Tourism Industry Council in Tijauna, Mexico and there is one Sanchez Medical Services in Chula Vista, Southern California, yet after a quick call, the numbers do not work and the former listed Dr. Sergio Quinones has never heard of Marlon Sanchez.

https://www.facebook.com/pages/Sanchez-Medical-Services/550787804939532
And CYNK Technology Corp's 2011 and 2012 auditor, Peter Messineo, CPA,  was sanctioned by the Public Company Accounting Oversight Board for "deficiencies identified in both of the audits reviewed included deficiencies of such significance that it appeared to the inspection team that the Firm, at the time it issued its audit report, had not obtained sufficient competent evidential matter to support its opinion on the issuer's financial statements."

http://pcaobus.org/Inspections/Reports/Documents/2012_Peter_Messineo_CPA...
http://www.sec.gov/Archives/edgar/data/1540160/000116552713000039/ex16-1...
Wed, 07/09/2014 - 19:03 | 4941277 Save_America1st
Save_America1st's picture

Jordan Belfort is out of prison now...maybe his new movie and a fresh batch of killer 'ludes got him all fired up to create some new pump and dump schemes just for old times sake???

Wed, 07/09/2014 - 22:41 | 4941984 bunzbunzbunz
bunzbunzbunz's picture

I take it the sponsors of ZH have shorted the mentioned stock, and are getting squeezed like a teddy bear. This is all a joke. Everything we know and learn serves the purpose of someone else. Our money is a joke. The dollar is getting replaced by bitcoin. Get some free at http://freebitco.in/?r=25727 Bitcoin is the next joke. But it will be a joke for 50+ years. Let's all have a laugh.

Wed, 07/09/2014 - 20:34 | 4941569 Buck Johnson
Buck Johnson's picture

This company is a pump and dump and for it to shoot up in price that much on a 57,000 share trade is indefensable.  I think the computers on Wallstreet and the algo's are manipulating it all and this is one if not one of a few dogs that happened to fall into the algo by mistake when it shouldn't have.

Wed, 07/09/2014 - 23:46 | 4942181 Bernankenstein
Bernankenstein's picture

and since computers don't go to jail, everyone gets away scott free! 

Wed, 07/09/2014 - 16:28 | 4940850 Da Yooper
Da Yooper's picture

Velllll ve didnt tink anyboody vould notice seeeeeeech

 

a sheckle here

 

a sheckle there

 

vho vould notice a vitlle company vith nothing

 

oy vey

Wed, 07/09/2014 - 22:42 | 4941989 bunzbunzbunz
bunzbunzbunz's picture

Hmmmmmmmm. Ever learned what the Crusades were?

Wed, 07/09/2014 - 16:29 | 4940852 JRobby
JRobby's picture

Approval!?!? We don't need no stinkin' approval. Vamanos!

Wed, 07/09/2014 - 15:50 | 4940739 BuddyEffed
BuddyEffed's picture

Would it make more sense if this could possibly be some back door funding/money laundering for something like the Contras or some Contra equivalents?  There is almost always some reason for levitation, whether understood by the general public or not.

Wed, 07/09/2014 - 15:55 | 4940750 NoDebt
NoDebt's picture

I give you an up-arrow for two reasons:

1.  Insanity in it's raw form ALWAYS gets an up arrow from me.

2.  You mentioned the Contras, which is just freaking awesome given how long it's been since anyone even thought about that.

Wed, 07/09/2014 - 16:00 | 4940775 Almost Solvent
Almost Solvent's picture

They turned that whole thing into a great 80s video game. Up Up Down Down

Wed, 07/09/2014 - 19:16 | 4941333 Tall Tom
Tall Tom's picture

Can it be that the CIA Black Projects bought a substantial portion of the of the stock at the beginning?

 

Go Zapata Oil.

Thu, 07/10/2014 - 07:42 | 4942635 SylphGlitch
SylphGlitch's picture

Lol, spent too many hours playing that.

Thanks for the trip down memory lane...

Wed, 07/09/2014 - 19:37 | 4941403 BuddyEffed
BuddyEffed's picture

The Contra funding source was circuitous and not obvious to the casual observers.

Wed, 07/09/2014 - 15:57 | 4940763 MiguelitoRaton
MiguelitoRaton's picture

I certainly hope this stock doesn't cynk (prn: sink).

Wed, 07/09/2014 - 17:55 | 4941101 Pairadimes
Pairadimes's picture

Hmm. I thought it was pronounced "cynic".

Wed, 07/09/2014 - 22:44 | 4941996 bunzbunzbunz
bunzbunzbunz's picture

sounds like an old username, until too many others latched onto it.

Wed, 07/09/2014 - 21:33 | 4941736 HardAssets
HardAssets's picture

Four chan:  "who has the balls to short a rocket to the moon?"

 

Hell, they'll probably come up with some way to turn the VIX negative.

The bastards.

Wed, 07/09/2014 - 17:02 | 4940948 Pee Wee
Pee Wee's picture

Nonsense, the answer is simply more.  "Asset" class doesn't matter, its all insanity all the time, details are moot..

Wed, 07/09/2014 - 15:39 | 4940717 Max Cynical
Max Cynical's picture

Balance sheets are overrated.

Wed, 07/09/2014 - 17:02 | 4940953 Pee Wee
Pee Wee's picture

FASB 157 was overrated.

Wed, 07/09/2014 - 16:42 | 4940883 Atomizer
Atomizer's picture

Jimmy boy ass clown alert. 

Wed, 07/09/2014 - 21:25 | 4941706 TheReplacement
TheReplacement's picture

This doesn't even rise to the level of fundamentals.  This is obviously a joke company spun way out of control.

A few dorks are sitting aound talking about coding blah-blah.  One of them jokes that he should start a company that basically does nothing and admits it, take it public, and see what happens.  Everyone else jumps in agreeing it would be hilarious.  Someone reports on it and viola, publicity.  Fools rush in.  Dork gets rich.

That or someone at ZH did this, wrote the story, and is making out with a supermodel tonight.

It had to be a joke (yeah, I really am trying to convince myself).

Wed, 07/09/2014 - 15:17 | 4940597 SamAdams
SamAdams's picture

A shell company.  1/2 billion authorized and 1/2 of that issued.  Expect more to be issued at the elevated stock price with only a form 4? being issued after the fact. Probably incorporated in NV.  SEC won't do anything about it.

Also, looks like they may have already reverse split between 2012 and 2013.  Typical scam normally associated with penny stocks. 

I wonder if there was any news today on "MarketWire".  MarketWire is the choice news outlet for scam stocks.

Wed, 07/09/2014 - 15:35 | 4940700 max2205
max2205's picture

Tyler...missed the 15 top by 50% since post.

Now 13 and near bear market....bull bear bull bear all in 5 hours

Wed, 07/09/2014 - 22:45 | 4942003 bunzbunzbunz
bunzbunzbunz's picture

...this article was paid for. Either buy bears pissed it was going up. Or by bulls that know all publicity is good. Tylers don't give a shit.

Wed, 07/09/2014 - 15:38 | 4940711 Four chan
Four chan's picture

and delotte and touche are the prime scam accountants.

Wed, 07/09/2014 - 15:42 | 4940721 fiftybagger
fiftybagger's picture

Toilet and Douche

Wed, 07/09/2014 - 16:32 | 4940857 JRobby
JRobby's picture

Reliance on audited financials is an outdated concept. Accounting as it formerly existed - DONE.

You sign off on this filthy fraudulent crap or you go under.

Wed, 07/09/2014 - 15:39 | 4940715 disabledvet
disabledvet's picture

There is "integrity of the marketplace."

Allowing these scams to continue does put the blocking and tackling of the exchange itself at risk. Should be interesting to see if Ms White is ready to start going after these flop houses or not.

The dollar is getting killed today and as we know from 2001-2008 "that only makes the default that much worse."

I don't see a Civil War scenario either "where 25% of a population is wiped out for no good reason at all" thus providing support for idea of "said monies." Indeed the moral strength of peace proceeds apace...keeping American kids safe from what are clearly the problems of others.

Wed, 07/09/2014 - 15:07 | 4940581 wallstreetapost...
wallstreetaposteriori's picture

complacency....much?

Wed, 07/09/2014 - 15:12 | 4940604 max2205
max2205's picture

Sell sell sell!

Wed, 07/09/2014 - 15:08 | 4940585 zuuma
zuuma's picture

If I hurry up and sell some of my gold, I can get in on the ground floor!!

This baby's goin' to the moon.

Wed, 07/09/2014 - 21:28 | 4941715 TheReplacement
TheReplacement's picture

The ironic thing is you might actually be more accurate than you think. Tulips!  Get yer hot fresh tulips ova heer! 

I love roses on my piano but still prefer tulips on my organ.

Wed, 07/09/2014 - 15:09 | 4940586 slaughterer
slaughterer's picture

I hear CYNK has a job ad for a NON-GAAP accounting expert.  That will be CYNK employee #2. 

Wed, 07/09/2014 - 15:30 | 4940664 Black Forest
Black Forest's picture

The ad's cost of $256 was booked under "Research and Development".

Wed, 07/09/2014 - 15:40 | 4940719 disabledvet
disabledvet's picture

And he's based in London...so actually that 200 pounds.

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