What caused RENEGADE ENERGY to drop like a fly...?

Question

I noticed this stock (RGDE.PK) used to be $70 a pop... What the heck happened?

Answer 1

It was never $70. It appears that it first started trading on 2/9/07 at $3.05 and has been on the slide ever since. Prior to that date, zero shares were traded and it appears that the $70 was either a "placeholder" or was their Pie-in-the-sky initial offering price.

Looking at the trading volume since the first trade it looks like either a "Pump and dump" or some highly speculative investors gambling on the share price. Whoever bought those millions of shares in late April and early May is probably trying to recover their losses by dumping the shares further depressing the share price.