Hemp Inc (OTCMKTS: HEMP) has struggled for direction after coming under immense bearish pressure, resulting in a 50% slide. In recent weeks, the stock has resorted to trading in a tight trading range of between $0.02 and $0.03, on the lack of catalysts to fuel the upward momentum. However, not anymore.
HEMP Catalysts And Price Analysis
A confirmation that the Company registered an 1800% increase in sales for the full year ended December 31, 2018, could as well be the catalyst to fuel a bounce back from current lows. The steady increase underlines underlying growth at a time when demand for cannabis products is on the rise.
The Company has also provided a 2019 outlook that underscores expected growth as management focuses attention and resources to transforming Hemp Inc. into a full-blown marketing entity.
With the stock currently, trading at the $0.02 level, a rally could be in the offing given the formation of a bullish spiking channel. The formation of higher lows in recent weeks signals a stock due for a correction higher as a bounce-back play.
The $0.03 mark is the immediate resistance level standing in the way of the stock spiking high in continuation of the emerging uptrend. Hemp finding support above the $0.03 level should open the door for it to make a run for the $0.04 mark, the next critical resistance level.
Above the $0.04 level, the stock would be well positioned to continue rallying on improved underlying fundamentals.
What Does Hemp Do?
Hemp is engaged in the production of products made from industrial hemp. The Company boasts of one of the largest commercial multi-purpose industrial hemp processing facility in North America. It also provides products and services to the medical and recreational marijuana industries.
Sales Growth Boost
Hemp Inc. delivering full-year sales of $1.96 million in 2018 up from 107,002 generated in 2017 is a milestone achievement that underscores robust growth. The 1800% year over year increase highlights the Company’s foothold in the highly competitive industry.
Chief Executive Officer, Bruce Perlowin, attributes the robust sales growth to the building of solid hemp infrastructure that was not inexistent in the previous years.
“We’ve invested heavily to build this infrastructure, which currently consists of 9 divisions, as you’ll read below. I liken Hemp, Inc.’s business model to that of the Amazon.com model where today the richest man in the world plowed all their operating capital and profits back into building the infrastructure. “We’re hitting the market hard with massive revenues generated from massive sales,” explained Mr. Perlowin.
In a bid to accelerate sales growth in the second half of the year, the management intends to focus on strengthening marketing operations instead of building a massive infrastructure. By focusing on marketing, the management intends to transform Hemp Inc. into an operating company from a developmental stage company.
Enhancing Hemp Production And Marketing
Hemp Inc. remains well positioned to make good use of the growing demand for cannabis products in the market, at the back of the ongoing evolution. The Company boasts of two hemp-processing facilities. One of the facilities located in Spring Hope North Carolina us ranked as one of the largest hemp-processing center in the western hemisphere.
The North Carolina facility is operating full time, processing millions of pounds of unique kenaf used in the manufacture of all green natural loss circulation materials. The Company is also in the process of building two other production facilities in a bid to ramp up production capacity.
In addition to ramping up production, Hemp Inc. is also enhancing its marketing operations in a bid to cater to the growing needs of the cannabis market, poised to reach $22 billion by 2022. The Company has so far formed a joint venture with retail store Hemp Healthcare in Dolan Springs Arizona to sell high-quality cannabidiol as well as hemp-based products.
Hemp Inc has been under immense short selling pressure if a 50% plus slide since the start of the year is anything to go by. The slide has come even on the broader cannabis sector trending higher after a roller coaster 2018. However, the stock appears to have hit bottom and due for a correction higher.
The Company reporting an 1800% year-over-year increase in sales is a development that should continue to strengthen the stock’s sentiments in the market. For investors eyeing opportunities in the stock then it might be wise to wait for the stock to rally and find support above the $0.03 mark.
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Disclosure: We have no position in HEMP and have not been compensated for this article.
County Line Energy (OTC: CYLC): This Hidden Gem Grows More Than Just Weed
County Line Energy Corp. (OTC: CYLC) could be the next pot stock to hit the JACK POT as the company aggressively carves out a household name for itself in the legal marijuana arena!
Many slang words have evolved over the years for marijuana, but it doesn’t matter what you call it.
What matters is that cannabis, Mary Jane, ganja, etc., has evolved into a colossal sector that is worth billions upon billions of dollars.
This is an industry that has created massive business opportunities and has provided health benefits to a slew of people who suffer from a range of disorders including depression, insomnia, pain, PTSD, and even serious diseases like cancer.
There is no doubt that legal marijuana is a boom to the economy, bringing salvation to states that are now able to generate massive revenue from taxes.
Colorado, one of the first states to legalize the drug, has money pouring in from its legal recreational marijuana sales. The state surpassed a whopping $1 billion in tax revenue this year since recreational use was legalized in 2014!
Support for legalizing the plant has also reached an all-time high in America according to the latest Gallup poll and every Democrat running for president in 2020 is now in favor of marijuana legislation on a federal level. Prohibition in America could be on its very last legs!
It has been estimated that 1/3rd of America’s marijuana is now grown inside according to motherjones.com. and this…
CBD-infused Coffee is taking the World by Storm and GenTech Holdings (OTC: GTEH) is Set to Capitalize on this Emerging New Trend…
There’s a new player in the high-end CBD food and drinks marketplace that is going widely undetected on Wall Street…
Trading at just pennies, GenTech Holdings (OTC: GTEH) may quickly become a leading household name in the fast-growing CBD arena!
Coffee… It’s more than just a drink it’s a way of life for many people and the latest craze is adding Cannabidiol (CBD) to it. CBD-infused coffee is popping up on menus across the globe.
Some may be surprised that it took this long for CBD-infused coffee to become relevant in the market considering the long list of health benefits that the marijuana component promises to offer.
CBD has become incredibly in demand due to its lack of intoxicating effects (NO THC!) and a possible lower potential for side effects next to many medicines out there.
All kinds of consumers, from athletes to even baby boomers, are recognizing CBD as a wellness product for ailments which include anxiety and chronic pain. CBD has also been used as a treatment for serious conditions such as cancer and epilepsy.
For the marijuana enthusiast who loves coffee, CBD-infused coffee is a brilliant and delicious invention.
Two Hands Corporation (OTC: TWOH) Has Discovered the Road to Massive Profits in Both the Legal CBD Arena and the App Industry!
Two Hands Corporation (OTC: TWOH) may soon be helping investors get one up on on the market as the stock emerges onto Wall Street’s radar…
There is no denying that some of the most successful companies trading on Wall Street are those that are involved in more than one thing.
Take for instance, Facebook and Amazon — two giants on Wall Street.
Amazon has been known for threatening many industries through competitive acquisitions and by creating new products and services. Facebook has branched out from only social media and now has ventures in artificial intelligence and even announced its own cryptocurrency recently!
Two Hands Corporation (OTC: TWOH) is following the cue of these blue-chip dynamos by establishing a presence in TWO massive markets!
Trading at only pennies, here is a company that has a legal CBD venture and two apps that may soon be downloaded by millions…
There may NEVER be a more opportunistic time to see what this company is doing!
Two Hands Corporation (OTC: TWOH) is an organic hemp-based CBD cultivator that strives to offer the highest quality CBD extract derivatives to be exported under Two Hands CBD Lab brand.
As an application development company, Two Hands Corporation (OTC: TWOH) has an app called “Two Hands,” launched in July of 2018, that is an ideal solution that will reduce the stress and worries of co-parenting. “
The company’s “Two Hands Gone” app allows…