LOMJ.PK is another stock scam spam making the rounds
In the past two days I’ve started receiving spam emails touting the latest pump-and-dump scam stock, LOM Logistics Inc. (LOMJ / LOMJ.PK). It should be stressed that it is most likely not the company themselves running the scam, but rather, that they are the innocent victim, an unfortunate target of a stock scam. Unfortunately, none of the online finance sites seem to have any historical data on this stock, just five days of data, which doesn’t show any deviation from the recent price of $1.70 per share. I’ve included the spam image I received in my email. It came with the usual word salad designed to evade spam filters (it didn’t).
You see that promise in the spam image? This stock is about to explode! Better buy as many shares of it as quickly as possible! Errr, wait. Where, exactly, did they get their data backing up the “price target” of $5.00? I’m not stupid (and neither are any of you). This is just another made-up number, like all of the other price targets I’ve seen in spam over the course of months. I don’t think I’ve ever seen one of these things actually make its price target, in fact, though I have seen lots of them take a nose dive away from the price target. Maybe it’s not so much a price target as it is a price pipe dream, which the stocks inevitably fail to attain, like so many wannabe rockstars.
Anyway, the investing advice here is the same as it is with all of these stock scams: don’t even think of buying it. The odds are very much against you if you try to beat the spammer at their own game and try to “get in on it” before the inevitable stock collapse. Just steer far clear and pursue traditional investment opportunities (you know, investing in companies because you think the companies are doing or going to do better than their evaluation suggests). The only reason I can see that this stock was targeted is because it recently issued a favorable press release. If that press release is really doing it for you, and you really like the company, maybe consider investing in a few months when all of the spam has died down, and the stock price has returned to pre-stock-spam-inflated heights. But stay far, far away from it right now.
February 5th, 2007 at 10:00
Anson Baptist Association has been receiving the above-mentioned stock scam faxes. I would like to know where can I report this and ho to put an end to receiving the faxes. Thanks.
February 5th, 2007 at 10:24
Wow, they’re faxing these now too?! I didn’t realize this. That’s a much worse violation of the law than unsolicited junk email, because it costs a fair amount of resources in paper and ink just to receive a fax. This site seems to be a good resource for dealing with junk faxes. It’s important to contact the FCC. Also, the advantage of getting spammed with fax versus email is that, with faxes, you actually have a sender’s phone number, which is much better for tracking purposes than all of those forged email addresses spammers use. You have a decent opportunity here to actually file a lawsuit and make a nice amount of money off the junk faxer.
March 8th, 2007 at 05:19
It’s ok if they are trying to pump the stock via spam/scam – i’ll just ride the wave if i start to see it jump. Also, the company seems to have a legit business and TA and what not. The A/S and O/S look ok. I’ll probably consider buying with the release of the beta information and maybe some financials or PRs… all this is just my opinion. Do your own DD and buy/sell at your own risk.
March 8th, 2007 at 08:43
Heh, you do that, and tell me how it works out. I’ve looked at a few of these retroactively and calculated how much money I would’ve lost if I had tried to “ride the wave” after first hearing of the touted stock: and it wasn’t pretty.
July 29th, 2007 at 17:34
If you get in on the beginning of a wave, and don’t get too greedy, sometimes it works. Hop in, with an attached 20% profit goal, hop out. Just think, if your $1 million rides to #2 million in 5 days, you can hop out with a cool $200,000 stack of cash to stuff in your pants.
Still a little risky, though.
–Jack Payne
July 29th, 2007 at 19:46
No way in hell are you going to gain $1 million on a manipulated stock. The numbers are simply much, much smaller than that. As soon as you buy the $1 million worth, the share price will shoot through the roof, the spammers will sell their stock on the huge movement, share prices will go down again, and you’ll be screwed, stuck holding onto shares that will only go lower. I don’t see why you’d be suggesting people get involved in these stock scams. And keep in mind, there’s absolutely no way to know if you’re getting in on the “beginning of a wave”. I’ve seen some of these just as they’re coming into my email box and was tempted, held off, and was vindicated. Searching the web a month later reveals others were getting information on the stocks a couple days ahead of me.
And profit goals are irrelevant in this situation. They won’t help you at all when the stock price is falling rather than rising, which is often how these stock scams go.