Is TagLikeMe (OTCPK:TAGG) the next Microsoft takeover? Well, we don't think, but TagLikeMe would want to make you think so. In fact, my fund Azbell Capital Group and I went directly to the company today to speak with TagLikeMe at their corporate headquarters and were baffled to find that the company headquarters is an office with only a laptop and a box of "junk," for lack of a better term sitting next to their 200 sq foot office front door.
I originally posted my findings on my youtube channel on October 26; youtube.com/get3percent, but SeekingAlpha disagreed on posting this article because they said it did not meet the criteria for posting because, "We only cover stocks that trade for over $1 on U.S. exchanges unless the market cap exceeds $500M." I wish it had been posted because I warned of the pending TagLikeMe fallout 6 days ago. TAGG is curretly trading down 35%.
TagLikeMe Corp., is owner of their most recent promotion TagLikeMe.com, an Internet service platform that combines the most commonly used functions of search and social media interaction in one destination. We browsed the source code of their website to find that when you enter a search term from taglikeme.com, the website then organizes your search and lays it out in a new format, combining results from Bing.com, Google.com & Yahoo.com--but nothing original. In fact, the source code is available here, and you could create the searches for yourself by visiting Bing.com, Google.com & Yahoo.com so in all, TagLikeMe has created an organized redirect from your three favorite web browsers you probably already use.
Tag Like Me, Corp., incorporated their business some time ago in Nevada, and they list their corporate headquarters as 6060 N Central Expressway Suite 560 Dallas TX 75206, which you can find from their SEC filing, here. We also found that Tag Like Me operates under IRS employer identification number, 201777817 which is the same IRS identification number used in 2006 operating under the business name, Morgan Creek Energy Corporation (OTC:MCKE) which was originally incorporated in 2004--you can read their prospectus here.
As a fund manager, it always baffles me that investors could let 120M+ shares trade without ever researching a stock. We did play the stock to the upside, and at the time of this article TAGG is trading at 0.32 per share. We put a STRONG short rating on this stock, as we assume no Microsoft takeover would ever take place, and when volume dries up, we put a target of 0.03 for this stock by February of 2013. You can watch the video of my attempt to locate and meet the employees and the company of TagLikeMe, here.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.