NTEK is way overpriced - vastly overpriced - it is at best a mid-range subpenny stock - should be at $0.002-0.0035 tops. It is over 15x overpriced at the current PPS. Even assuming they deliver their unicorns and actually launch Ultraflix (which has nothing but crap for content).
And that is using the current (pre-reverse split) price per share.
NTEK has toxic convertible notes sitting out there that will need to be converted and dilute the p*ss out of the OS. Worse, convertible note holders usually sell short against their notes to lock in price and to further depress the PPS so they get oodles more shares on the conversion. Toxic convertibles are like a knife to the heart of a penny stock shareholder. I'm sure that no matter how low the PPS goes, Lotus Capital will wind up making a bundle. The only way a toxic convertible note holder loses money is if they don't hedge themselves by selling short as the PPS declines or if the stock gets suspended before they can short-sell enough to cover their principal (which may have happened on one of Lotus Capital's other penny plays very recently).
And I'm still waiting for those TOP FIVE feature films that Ultraflix has that are the value drivers for that channel. Apparently nobody can name them.
Like most pennystock scams, the promises are always way, way better than the reality. The "we intend to " is always better than the "we have" that comes later. That's why, for example, NTEK tanked after CES and tanked after the SHM.
NTEK should be deep subpenny (trip zips level). Fatal Form 15 filer, no audits after claiming to do them every year since 2011, financials that don't add up ($5.1M in untraceable source revenue claimed but only $34,000 in the bank), selling convertible notes to pay for the paltry dividend which was a ploy to get people to buy and hold the stock, pirating a MOJO motherboard and claiming it is revolutionary hardware, using a standard codec from Ittiam and claiming it is revolutionary software, no independent reviews, no decent content for Ultraflix, getting intentionally misleading crap with 'sounds like' titles (Moonshine Kingdom is not the famous Hollywood Moonrise Kingdom) and 10 minute fair use clips of famous movies to mislead investors about Ultraflix content, lying about unicorn shipment, "your order has been processed", claiming "partnerships" on its website with non-entities like the HDMI-1.4 standard, claiming partnerships with companies that don't claim partnerships with NTEK on their websites or PRs, having an unqualified ice sculptor as CEO who is the brother of the convicted serial felon who is running the scam, share issuances to at least 6 different family members of the felon-founder running the scam, claiming "no dilution" when the company prints on average 700,000 new shares each and every trading day and 22,500,000 just between 5/9/2014 and 6/4/2014, having numerous D SHOAF "Nanotech" entities and LLCs in Nevada including Nanotech Media, Inc. and Nanotech Gaming Labs LLC, paying $16,400 a month rent to a family member for a small office/storage space, holding "no business transacted" shareholder meeting and then limiting viewing of the meeting to specific shareholders only and they must cough up an identifying email address, claiming 'thousands' of unicorns were shipped and in the hands of pre-orders when the unicorns were still on a ship from China (or so the later excuse went), BestBuy needing 2-3 months to train salescritters on the unicorns, Twitter and Facebook pictures of empty boxes, paid stock promotions, Photoshopped pics on Facebook and Twitter, posting a pic of a fake assembly plant with mock unicorns on a roller conveyor belt and a woman alleged assembler with no grounding strap, an undisclosed "US assembly" plant that nobody knows or can identify, and on and on with the typical scam pennystock lies, stories, and rumors from insiders about Amazon, BestBuy, WalMart, Google, Sony, Warner Brothers, etc. that never pan out and are contrary to later discovered published information.
But even forgiving ALL of that, NTEK should be at BEST mid-subpenny for one simple reason: Ultraflix has nothing but crap.
