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Green Thumb Industries Inc (OTCMKTS: GTBIF) Trading At Critical Support

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Green Thumb Industries

Green Thumb Industries Inc (OTCMKTS: GTBIF) is flirting with key support from where it will likely post another leg higher in continuation of the emerging uptrend. An excellent start to the year saw the stock rally by more than 60% after a steep pullback late last year.

GTBIF Catalysts And Price Analysis

The trigger behind the recent upswing is an impressive earnings report for the full year ending December 31, 2018. The company delivering a 278% year-over-year increase in revenue all but continues to excite investors.

In the recent past, the Stock’s market sentiments have inched higher on the company positioning itself for robust sales growth, through retail network expansion. The company has continued to open new retail stores targeting some of the biggest and fastest growing cannabis marketplaces. Ohio and Florida are some of the states the company is targeting on as part of the expansion drive.

The stock taking a flight could as well signal strengthening investor confidence about the company’s long-term prospects in response to recent developments. A spike to the $16, a share level, has since attracted some short selling pressure resulting in the stock trading sideways in a tight trading range of between $16 and $13.

GTBIF Daily Chart

With the stock flirting with a critical support level, a spike higher in continuation of the uptrend that began early in the year could be in the offing. Standing in the way of the stock posting another leg higher is the short-term $16 resistance level.

A rally followed by a close above the $16 mark could result in the stock making a run for 52-week highs of $22. Conversely, failure to hold above the $13 mark could result in the stock edging lower, probably back to the $11 mark, seen as the next support level.

What Does Green Thumb Industries Do?

Green Thumb Industries is a cannabis-focused company engaged in the manufacturing, distribution, and sale of cannabis products.  The company offers cannabis flower, processed and packaged products as well as edibles and topical.R

Retail Network Expansion

While the stock has pulled lower in recent weeks, the pullback could as well be a minor correction pending further movements on the upside. One of the developments poised to fuel further upside action is the confirmation that the company is strengthening its operations in Ohio with the opening of two Rise stores.

The company intends to expand its national cannabis retail concept with the opening of the Rise Lorain and Rise Toledo stores in Ohio. The openings will take the company’s retail footprint to 18 stores with licenses to open an additional 77 locations.

“We are honored to be the first company to open up access to medical marijuana in Toledo and Lorain and be so warmly welcomed into these communities. Rise™ is focused on helping people exercise their right to wellness through meticulous customer care and a curated assortment of cannabis products that bring relief and improve the quality of daily life,” explained CEO Ben Kovler.

Ohio expansion comes on the heels of Green Thumb Industries opening its second retail location in Florida as it continues to strengthen its retail footprint across the country.  The Rise retail store located in Deerfield Beach will supplement the Company’s cannabis cultivation and production operations at a manufacturing facility in Homestead.

Retail network expansion is part of an effort of strengthening the company’s sales network buoyed by the success of last year. A 278% year-over-year increase in sales saw Green Thumb Industries deliver revenues of $62.5 million. For the full year the company generated an EBITDA of $2.7 million and an Adjusted EBITDA of $21.5 million.

Green Thumb Industries ended 2018 with current assets valued at $187.3 million. Cash and Cash equivalent as of the end of the year stood at $146 million. According to the CEO, the focus for 2019 is to execute on strategic priorities key among them being the establishment of a leading brand portfolio.  The management also intends to accelerate retail growth through new store openings in addition to consumer loyalty.

Bottom line

Green Thumb Industries impressive run in the market is set to continue despite the recent pullback. Underlying fundamentals depicted by robust revenue growth as well as the retail network expansion should continue to excite investors thus fuel further upside action.

A pullback lower might as well have presented an opportunity to buy a stock, with tremendous opportunity, at a discount.

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Disclosure: We have no position in GTBIF and have not been compensated for this article.

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Is Neptune Wellness Solutions Inc (TSE:NEPT)(NASDAQ:NEPT) A Good Bet Right Now?

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Neptune Wellness Solutions

There is no doubt 2019 was a tough year for the hemp/cannabis businesses. However, there are a few hemp/cannabis stocks that still managed to make their investors proud. Neptune Wellness Solutions Inc (TSE:NEPT)(NASDAQ:NEPT) is one of those stocks. Investors who put their bet on Neptune at a time like this saw their investment increase 130% by July of last year.

Neptune Wellness Solutions is already off to a strong start in 2020. The stock has gained more than 15% in the past week alone. Looking at how Neptune has positioned itself in the hemp/cannabis market, you cannot dispute 2020 is shaping up to be a great year for the stock. Then you notice that Neptune insiders are deeply invested in the stock. Insiders own more than 17% of all shares in the company. The company’s market cap of $280 million shows that insiders alone have sunk $48 million in the stock.

You are about to find out more reasons why Neptune Wellness Solutions looks to be a good pick right now. But first, here’s what you should know about the company we’re discussing.

About Neptune Wellness Solutions

Neptune Wellness Solutions has been around since 1998 and is headquartered in Laval, Canada. It is engaged in the extraction, formulation, and packaging of value-added cannabis products for both Canadian and global markets.

This is shaping up to be Neptune’s year for a number of…

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Is Tetra Bio-Pharma (CVE:TBP) (OTCMKTS:TBPMF) A Smart Pick?

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Tetra Bio-Pharma

Investors will remember that 2019 wasn’t a great year for cannabis stocks, especially Canadian stocks. Issues from uncertainty over Canada’s national elections to shortage of cannabis retail stores in Ontario greatly weighed on Canadian cannabis stocks last year. These problems are largely out of the way and investors can now spot cannabis stocks with a promising outlook in 2020. Tetra Bio-Pharma (CVE:TBP) (OTCMKTS:TBPMF) is one play poised for a big breakout in 2020 as its drug products go on sale.

Tetra Bio-Pharma is one of the most promising cannabis stocks in 2020 and investors have really warmed up to the stock. At $0.50, Tetra stock has already gained more than 60% year-to-date. But that is just the beginning and we feel there is a great story to tell here. First, however, it is important for investors to understand the company we’re discussing.

About Tetra Bio-Pharma

For investors who may have just come across Tetra Bio-Pharma for the very first time, this is a Canadian cannabis company. It is focused on developing cannabis-based drugs for a variety of conditions, including cancer.

Tetra Bio-Pharma about to begin commercializing its drug products

As a drug company, Tetra Bio-Pharma is insulated from many challenges that face conventional cannabis companies. For example, companies that make adult-use cannabis products must cope with cutthroat competition in the market. Moreover, Canadian cannabis companies have Continue Reading

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Why Investors Are Warming Up To Fire & Flower Holdings Corp (TSE:FAF) (OTCMKTS:FFLWF)

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Fire & Flower Holdings

The disastrous 2019 taught investors the importance of carefully screening cannabis stocks for great picks that can withstand industrywide shocks. That explains why investors are warming up to Fire & Flower Holdings Corp (TSE:FAF) (OTCMKTS:FFLWF) in 2020.

Fire & Flower Holdings has positioned itself to take full advantage of the recently expanded cannabis market under Cannabis 2.0. Investors are realizing that FFLWF is one pick that can make a huge difference in their cannabis portfolio. Fire & Flower Holdings has already gained more than 25% year-to-date, a testament to the strong investor interest in the stock in 2020.

About Fire & Flower Holdings

Fire & Flower Holdings is a Canadian cannabis company. It operates as a cannabis product retail chain. It operates a network of dozens of cannabis retail outlets in Canada. FFLWF currently has licenses to operate cannabis retail stores in Alberta and Saskatchewan provinces. In addition, it runs a cannabis distributor business in Saskatchewan.

Investors will no doubt remember that 2019 was a tough year for the cannabis sector, with a widespread collapse of many cannabis stocks big and small. That shows why in 2020 investors are looking for cannabis stocks that can deliver excellent returns and make them forget the pain of the past year. FFLWF has emerged as one of the favorite cannabis stock picks for investors early on in 2020. There are several reasons behind that and here are…

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