Eco Innovation Group Inc (ECOX)

[AbeLincolns]

$DIGX Article Today!!! Dig-It Underground, Inc. (OTCMKTS:DIGX) On A Bull Run

https://insiderfinancial.com/dig-it-underground-inc-otcmktsdigx-on-a-bull-run/135956/

M&A player Dig-It Underground, Inc. (OTCMKTS:DIGX) has been featured on iHub, the Seeking Alpha Stock Talks, and the Yahoo Finance Forum recently. For what reasons? Due to the recent high demand for the stock that is pushing up the share price. Have a look at the recent price action.

Source

As we always do, we look for reasons to explain the move. We found several reasons to explain the sudden demand for the stock.

Business

Dig-It Underground, Inc. was founded in the State of Nevada on March 5, 2001. Its headquarters is located in Dallas, Texas. The business plan as stated in the company documents includes “growth through the acquisition of privately owned salons and spas in the Dallas/Fort Worth, TX. Metroplex area“. Additionally, “chiropractic and rehabilitation centers” are also targeted by DIGX. Additionally, the company intends to use the “Branding” effect.

The following companies were acquired, or merged into DIGX:

On September 1, 2012, the company entered into a share exchange agreement with Haydin Group Enterprises.
On January 5, 2016, the company entered into share exchange agreements with Expressions Chiropractic & Rehab Center, PA, and Expressions Property Limited, LP.
DIGX has, therefore, incorporated several subsidiaries. Let’s review them all. Split Endings is an “Upscale Beauty Salon“, located in Cedar Hill, Texas that acquires its own privately owned salons and spas in the area. Expressions Chiropractic & Rehab, PA, and Expressions Property are also fully owned subsidiaries that operate “three chiropractic and rehab centers“.

Expressions Chiropractic & Rehab provides services from Cedar Hill, and Dallas. In the company’s website,we could read that the doctor in charge has extensive experience, and strong credentials:

“Dr. Kirtland Speaks received his doctorate degree from Logan Chiropractic College in 1994. He then completed his undergraduate work at St. Francis College in Pennsylvania. There he discovered his passion for sports medicine and chiropractic care. He practiced in Norman, Oklahoma for many years before moving to the Dallas Metroplex. What he loves about chiropractic care is that it covers many issues including neck pain, back pain, numbness, sciatica, sports and repetitive motion injuries, and more! “ Source

The following video includes more information:



Source

Split Endings is located in Cedar Hill, Texas. In the website, we could read that it provides large amount of services to women, men, and kids. The following services are included: highlight, color, ombre and balayage, trim and cut, blow out, makeup among others. Customers can book online in this platform.

04-23-2016_090133

Source

The group headquarters is located in Dallas as well. It has its own website, wherein information about strategy of the holding is provided. The companies that the group operates are also featured. The amount of outstanding shares provided at the website are as follows:

Authorized Shares: 2,200,000,000
Outstanding Shares: 1,815,612,000
Float: 1,670,612,000
Recent Developments

On May 16, 2017, it put out the Q1 earnings release for the year 2017. The company reported profits of $140,000 on $567,000 in revenues. The President, Mr. Chernyakhovsky, said that “Company’s comparative year over year First Quarter 2017 represents a 97% increase in revenues over First Quarter 2016’s revenue of $287,000, and a 45% increase in net profits over First Quarter 2016’s $96,000 net profit“.

Revenue (All numbers in thousands) 12/31/2016 9/30/2016 6/30/2016 3/31/2016
Total Revenue 522.31 502.445 452.41 287.846
Cost of Revenue 28.062 2.363 3.87 1.961
Gross Profit 494.246 500.083 448.541 285.885
Operating Expenses
Research Development – – – –
Selling General and Administrative 576.425 353.881 274.889 175.178
Non Recurring 38.184 15.08 3.635 1.6
Others – – – –
Total Operating Expenses – – – –
Operating Income or Loss -120.363 131.122 170.017 109.107
Income from Continuing Operations
Total Other Income/Expenses Net – – – -0.072
Earnings Before Interest and Taxes -120.291 131.122 170.017 109.035
Interest Expense 6.031 12.361 12.467 12.44
Income Before Tax -126.321 118.76 157.55 96.595
Income Tax Expense – – – –
Minority Interest – – – –
Net Income From Continuing Ops -126.321 118.76 157.55 96.595
Non-recurring Events
Discontinued Operations – – – –
Extraordinary Items – – – –
Effect Of Accounting Changes – – – –
Other Items – – – –
Net Income
Net Income -126.321 118.76 157.55 96.595
Preferred Stock And Other Adjustments – – – –
Net Income Applicable To Common Shares -126.321 118.76 157.55 96.595
Source

Conclusion

Many traders and investors have been talking about Dig-It Underground, Inc.. Thus, we became interested in the stock. We found out that the company has been posting strong quarterly revenues and is profitable. That helps explain the interest of other analysts and the increasing amount of volume in the stock. Additionally, the M&A strategy implemented by the company is interesting. We saw how market participants speculated on the idea of new merger announcements that may make the share price jump soon. To sum up, try to be alert on this name, it may surprise soon.

We will be updating our subscribers as soon as we know more. For the latest updates on DIGX, sign up below!

Image courtesy of Flickr

Disclosure: We have no position in DIGX and have not been compensated for this article.