The Microcap Speculator submits: A few readers have asked me to discuss the Petrol Industries' (PTLDE.OB) latest moves. Although I made a nice profit on partial sales into the initial spike, the stock has been a house of pain in recent weeks.
Since my last post on the company, it filed a 10Q and hired an auditor. Maybe those moves should comfort me but they don't. I do not trust this company at all, and will not believe the numbers until I see audited financials.
According to the OTC BB website, PTLD is heading to the Pink Sheets tomorrow, where it will trade without the "E". As I understand it, the NASD does not consider Petrol "current" with its quarterly filing requirements because it did not have an auditor review (not audit, just review) the financial statements in the 10Q. The news apparently hit late Friday afternoon, causing a bit of a selldown. Will the drop continue tomorrow? Who knows. Recall that PTLD actually traded up almost twenty cents in the days after getting its "E."
I'll get to the bottom of this soon.
DISCLOSURE: I am long PTLDE.OB. Not a recommendation to buy or sell any security. For informational and educational purposes only.