Great Basin Scientific Inc (GBSN) Being Investigated For Possible ‘Misleading Information’

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If you have been following shares of Great Basin Scientific Inc (NASDAQ:GBSN) over the last week or two then you know that the stock has soared in price over a short period of time. In fact shares have soared from just over $0.05 per share to $0.26 within a matter of days without any major news.

Today shares continue to bounce around quite violenting following news that Goldberg Law PC has initiated an investigation of the company focusing on whether or not they have misrepresented their business by issuing misleading information to investors.

The investigation into Great Basin Scientific Inc (NASDAQ:GBSN) is said to focus on the company’s public offering of 2.724 million shares on Fefruary 25 of this year, and will look into whether or not they have violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934.

The stock is up 7.77% or $0.017 after the news, hitting $0.237 per share. About 30.04M shares traded hands or 54.29% up from the average. GBSN has declined 94.82% since April 28, 2015 and is downtrending. It has underperformed by 93.20% the S&P500.

The institutional sentiment decreased to 2.67 in Q2 2015. Its down Infinity, from Infinity in 2015Q1. The ratio is negative, as 2 funds sold all Great Basin Scientific Inc shares owned while 1 reduced positions. 6 funds bought stakes while 2 increased positions. They now own 324,542 shares or 474.04% more from 56,536 shares in 2015Q1.

Green Owl Capital Management Llc holds 0.13% of its portfolio in Great Basin Scientific Inc for 62,000 shares. Sabby Management Llc owns 51,771 shares or 0.01% of their US portfolio. Moreover, A.R.T. Advisors Llc has 0% invested in the company for 12,226 shares. The California-based Blackrock Institutional Trust Company N.A. has invested 0% in the stock. Citadel Advisors Llc, a Illinois-based fund reported 16,596 shares.

Great Basin Scientific, Inc. is a molecular diagnostic testing company. The company has a market cap of $26.11 million. The Firm is focused on the development and commercialization of its molecular diagnostic platform designed to test for infectious disease. It currently has negative earnings. The Firm has a commercially available test, a diagnostic test for clostridium difficile , which received clearance from the Food and Drug Administration (FDA).

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