50 Cent tweets, tiny stock soars
The rapper tells millions of followers to buy a penny stock in which he has a large stake — and scores $8.7 million.
Who says you can't make money on Twitter? Rapper 50 Cent just raked in millions.
The rapper had plenty to say over the weekend about a penny stock named H&H Imports (HNHI), a tiny operation out of Florida. Why? Because 50 Cent invested $750,000 in shares and warrants in the company last fall. Some of those shares can be cashed in only as the stock rises to 15 cents, 25 cents and, yes, 50 cents.
What better way to pump up the stock than to promote it to your 3.8 million Twitter followers? That's what the rapper did — and the stock rose 240 per cent to close at 39 cents Monday.
Today, however, shares are down nearly 12 per cent to 34 cents.
"You can double your money right now," 50 Cent tweeted. "Just get what you can afford." He sent out a series of messages — some of which have since been deleted — that said things like "They are no joke get in now."
It took a day or two for reality to set in, and 50 Cent (whose real name is Curtis Jackson) began backing off of his cheerleading Monday, The New York Observer reports. He began sending more cautious messages to his followers, saying things like "I own HNHI stock thoughts on it are my opinion. Talk to a financial advisor about it."
Jackson also told his followers to do their homework, saying that "HNHI is the right investment for me it may or may not be right for u!"
The New York Post crunched the numbers and figured that, based on H&H's close at 39 cents Monday, Jackson's stake of 30 million shares gained in value by $8.7 million. The entire company's value shot up by about $50 million.
H&H is an extremely sketchy investment and even got the dreaded "going concern" notice last March as its auditor shared doubts about the company's future. The company reported less than $300,000 in revenue last quarter but lost $1.3 million, the Post reports.
There are some funny loans at the company as well, the Observer notes. H&H lent $141,000 to what it describes as "an entity in which our chairman's brother is an officer and owner."
The chief executive of H&H made two loans to the company last year totalling about $215,000.
What, exactly, does H&H do? Bloomberg says it buys and sells women's handbags. Other reports say the company sells sunglasses and distributes headphones.
-- Kim Peterson
Posted by: Richard | Jan 12, 2022 12:16:34 PM
Just remember where Fitty came from before his... (ahem)... stardom. He was in prison !!! Once a crook... always a crook. He's been stealing people's money with his music ? for how many years now ? Might end up there again... with his H&H cronies. In the meantime, stupid "people" looking for women's handbags will get more than their "purses" snatched.
Posted by: Craig | Jan 12, 2022 12:30:42 PM
Anyone stupid enough to invest their money based on the advice of a so called "celebrity" deserves to lose it. DUH - use your brain people!
Posted by: Jobelizer | Jan 12, 2022 2:38:52 PM
If you need financial advice from a douchebag like 50 cents (who obviously used his "fame" to rake in more money), you probably need someone to help you go potty as well....
Posted by: Tenacious Otter | Jan 12, 2022 5:43:13 PM
It'll be interesting to see how this story goes, I'm thinking there's likely a securities investigation that's been started. Once a criminal always a criminal? I'm thinking racketeering.
Posted by: SP | Jan 12, 2022 7:49:32 PM
A celebrity working as a shill for penny stocks in a company which he has a vested interest might be doing something wrong/inappropriate? Nah. I'm sure it's all legit. "Nothing to see here people.. Move along". ( Officer Barbrady Southpark PD).
Posted by: Glyndwr | Jan 13, 2022 3:03:52 AM
Richard, 50 Cent did not steal money from people with his music. He had talent as an MC and people payed to listen to him, and watch him perform. Someone may have an immeasurable amount of skill as an artist, but if no one will pay for them to act as an entertainer, they've got nothing. And honestly you must be quite a narrow-minded individual. People are indeed capable of change, whether it be physically, psychologically or morally. It is perfectly plausible for a person to decide that being a coccaine-dealer is not the safest and smartest path in life. If you were given the opportunities as 50 Cent, I'm sure you would be living the same life, with the same ignorant people making the exact same comments and criticisms. And as a leader of a 3.8 million group of people on Twitter, why would he not suggest to people to invest in a company? It's not as if he was conning them, he strictly told the people that the company would grow and it was an opportunity to make an extra buck. Yes, he made money for himself. But I'm sure you would have done the same thing.
Posted by: JS | Jan 13, 2022 5:46:17 AM
Glyndwr, you are the only person so far that had anything intelligent to say. 50 Cent is more talented than the first 5 posters combined, who are nothing more than haters (and maybe racist). 50's the man and people always hate when a hustler's on his grind.
Posted by: elmo2006 | Jan 13, 2022 3:52:40 PM
What is going on in our society, taking financial advice from a *rapper*.
To those who followed his *tweet* - people you all just made Fitty a little more richer!
Idiots
Posted by: K | Jan 14, 2022 4:15:57 AM
Really interesting, when Donald Trump suggests that everyone jump on the ACN bandwagon most people did it without second guessing, but when it comes from someone like 50 people gaff... I wonder what would have happened if Donald had posted the same Tweet? Heck its a penny stock, whats so wrong if you invest $100 whether it goes up or down, it just means 63 less cups of Tim Hortons Coffee.
Posted by: Ely | Jan 17, 2022 8:45:40 AM
K , are you actually comparing Trump's financial judgment with that of Fiddy ?? Trump made money by investment and 50 cent made money by rapping... I suggest each one stick to his world and no one will get hurt.
Posted by: zakimar | Jan 19, 2022 6:44:45 AM
50 cent is no worse for providing investment advice than all the jews that control Wall Street, Bay Street, the banks...
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Posted by: Penny Stocks to Watch | Aug 6, 2021 1:08:33 AM
Every one doesn't know penny stock investing is very risky and this type of frauds are common in this industry.This is not good practice for stock industry.
ENTB