Sunday, April 6, 2008

Purple Beverage Co. (PPBV) (PPBV.OB) -- Forbes Informer

Purple Beverage Co. (PPBV) (PPBV.OB) is written-up in the April 7th Forbes magazine in "Colorful Detail."

Split-adjusted shares of what's now Purple Beverage Co. have risen 49,000% in five months to a recent $2.95 and a $152 million market cap. That's 105 times the latest book value.

Purple Beverage was previously called Red Carpet Entertainment before a recent reverse merger. Purple Bev boss Theodore Farnsworth reportedly acknowledges shares are "ahead of ourselves." Forbes notes shares of XStream Beverage Network lost 99.9% over a six-year period under Farnsworth.

On Friday Purple Beverage (PPBV) (PPBV.OB) closed at $2.85 a share. Yahoo Finance reports Purple Bev's market cap is $157.49 million. How about the $8.00 a share 52-week high? Does that mean PPBV was a $1 billion company??? PPBV has no warning labels on, but short interest is up 280% to 352,000 shares as of March 14, since the end of February. Still that's only about 1% of 31.7 million shares outstanding according to Also, based on 31.7 million s/o and Friday's $2.85 a share close, that's a market cap of around $90 million and not $157 million as Yahoo Finance reports (and the $152 million reported by Forbes).

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