CarSmartt Inc (CRSM)

[BigJuan]

CRSM nice article out

https://insiderfinancial.com/4-otc-stocks-to-watch-crsm-kync-pbya-rshn/181833/

OTC STOCKS TO WATCH #1 CRSM
Smartt Inc, formerly known as Carsmartt, Inc, has been making waves since mid-July, gaining over 340% since the end of last month. Interestingly, the share price of CRSM has consistently traded near the one-cent resistance for more than a year, and it broke above $0.04 only recently, hitting the highest level since July 2019. Is the current bullish move sustainable? It’s difficult to know at this point.

Smartt is promoting itself as a holding company with subsidiaries in areas like technology, real estate, and construction in the US and Europe.

The company was founded in 2007 as a startup to build a mobile app for ride sharing in Palo Alto CA (Silicon Valley). The app seems to be the flagship product to this day. Its rating on Google and Apple stores is 4 out of 5, with some users mentioning that the service is cheaper than Uber and Lyft. On a side note, in 2019, CRSM hired two executives that previously worked for Uber and Lyft.

CRSM has expanded since and became a holding company. Still, while it’s been Pink current since January, the company goes with the Shell Risk badge on OTC Markets, meaning that it doesn’t have meaningful operations.

The share price started to surge as the company announced a new business direction and “multi-million dollar acquisitions.” At the end of June, CRSM acquired 100% of Black Brick Construction, Inc. – a construction company with over $100,000 cash positive and 3 new projects with contract signed.

What we like about CRSM is that its director is Diego Visconti, an experienced executive who is also the international chairman at Accenture.

On July 19, CRSM said that it was canceling the outstanding Form D through which it sought to raise $1 million. The company also said that no reverse split was planned.

“We are excited to reveal with our Shareholders the new direction of the company, and we are ready to bring exponential shareholder value. Our commitment is to our shareholders, and we are confident that we won’t let you down as we embark on this new exciting chapter,” the company said.

It seems that CRSM is restarting its business, which will benefit early investors. However, there are some risks to know about. First of all, it’s hard to understand how CRSM can expand via major acquisitions if it doesn’t much cash as per its filing with the SEC. Investors should be aware that there is some risk that CRSM is conducting a pump and dump move. The chart shows that such moves happened at least twice during the last few years.

On the other side, some actions taken by CRSM suggest a new business direction indeed. If this is true, investors should wait for the next acquisition and enter the market when the price breaks above 10 cents and eventually consolidates there.