Watch the video to learn about the probability of VIRTUAL PIGGY, INC. (VPIG) Chart Signal as of Mar 14, 2015

It’s been eleven days since Dr. Jo Webber, Virtual Piggy Inc (OTCBB:VPIG. VPIG message board )’s CEO, and John Paul DeJoria, a billionaire businessman and a self-confessed fan of the Oink payment system, appeared on the K-Earth 101 radio station. The company blogged about the interview and this brought quite a lot of exposure. Exposure is what penny stocks often desperately need and we reckon that VPIG ‘s performance from the last couple of days proves the point very well.

In typical VPIG fashion, the run was quite shaky at first, but it would appear that the stock is finally gathering momentum. During the last two sessions, the ticker managed to gain as much as 13% and on Friday, it also logged a dollar volume of almost $400 thousand. The stock currently stands at $1.13 per share which results in a market cap of around $132 million.

Apparently, the interview with Dr. Webber and Mr. DeJoria has led some people to believe that VPIG can truly continue its run, but is there anything that could definitively support this theory? You need to weigh the odds for yourself.

We should mention, however, that the press releases and SEC filings don’t appear too convincing. The latest announcement, for example, is now almost two weeks old and it concerns the issuance of VPIG ‘s third patent. While intellectual property could be important in some cases, it’s not necessarily going to bring in any fresh revenues and looking at the Q2 report. this is exactly what VPIG needs. Here’s what the company had on June 30:

• cash: $5.9 million
• current assets: $6.6 million
• current liabilities: $6.2 million
• quarterly revenue: $1,253
• quarterly net loss: $1.8 million

You don’t need to be an expert to see that the Oink payment system (which reportedly has around 1 million users) is not really generating a whole lot in terms of revenues for VPIG. And although the cash reserves seem relatively solid at the moment, the huge operating expenses mean that they won’t last for long.

And since we mentioned the cash reserves, we might as well touch upon the subject of how VPIG managed to raise some of the money they currently have. Page 17 of the 10-Q, for example, tells us that on February 7, some warrants were exercised at $0.50 a piece. This means that VPIG pocketed around $2.5 million and the warrant holders received 5,042,287 shares of common stock. The latter could be a problem.

As you can see, the aforementioned shares present a rather huge profit opportunity which, by itself, isn’t a bad thing. In order to take advantage of it, however, the former warrant holders will need to unleash the stock on the open market and the consequences of such an action could be quite devastating for VPIG ‘s share price.

There’s another disturbing fact. An 8-K form from a couple of weeks ago tells us that VPIG are in the process of increasing the number of authorized shares. So far, the company has been able to keep the stock issuance at bay, but does the increased A/S count mean that this is about to change? Once again, you need to weigh the odds for yourself.

Watch the video to learn about the probability of VIRTUAL PIGGY, INC. (VPIG) Chart Signal as of Mar 14, 2015