DS Healthcare: Look For 60-70% Drop On Equity Offering, Accounting Problems And Solvency Concerns

|
About: DS Healthcare Group, Inc. (DSKX)
by: Bleecker Street Research
This article is exclusive for subscribers.
Summary

DSKX has risen by 500% in 2015 due to overly promotional press releases touting "profitability" as well as appearances on microcap promotion networks.

Auditors raised "going concern" warning and multiple weaknesses in accounting internal controls.

Company is out of cash and desperately needs to raise money in the near term.

Recent resignation of audit committee head.

Despite promotional press releases, business is stagnating and continues to lose money.

Background

Microcap stock promotions (mostly targeting retail investors) have the potential for explosive stock price appreciation. But when they finally implode, the drop can be swift and brutal. The last micro-cap stock promotion I exposed