QSGI, Inc.(fka QSGI)

[BBLV]

Investors Place Bets on QSGI Bankruptcy

QSGI, Inc. (QSGIQ, Free Analysis), a technology services and maintenance company that is currently in bankruptcy, saw its shares jump more than 60% as traders got involved. Often times, bankrupt companies experience volatility due to existing shareholders selling out and short-sellers covering their positions, which combine to form a volatile environment.
Some shareholders may also be betting on some residual value being left over after bankruptcy. However, this is almost certainly not the case, since the firm’s liabilities substantially exceeded its assets during its latest financial release. As a result, fulfilling debtor claims on its assets may far outweigh its total assets, leaving little to no residual value for common stock shareholders.

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Anyone read into this at all? All DD I have done so far points in the opposite direction as this quick blurb I found while searching google...