Cannabis Science Inc. (OTCMKTS:CBIS) Slowly Slides Down
Cannabis Science Inc. (OTCMKTS:CBIS) dropped another 6% down the charts in yesterday’s trading session, on a meager dollar volume. Is what we’re seeing here its slow descent into obscurity?
It may certainly seem so. Investors who have kept their eye on CBIS in recent times know that this particular company has very little to offer to investors, except hype-fueled volatility. It was one of the big names, back when the initial green rush hit the OTC Markets, by the virtue of having the word “cannabis” in its name.
A lot of people were impressed by that fact, and some are still impressed by – which is good for CBIS, because the company has next to nothing else to offer investors.
Its latest financial report was simply abysmal:
- cash – $5 thousand
- total current assets – $138 thousand
- total current liabilities – $5.1 million
- revenue for Q3 2015 – $4 thousand
- net loss for Q3 2015 – $3.9 MILLION
There’s no telling how much worse the company is faring currently, due to CBIS being delinquent in its filings. The fact that it is already stamped with a “Limited information” sign should be enough of a warning for investors that are paying attention to what’s going on.
Still, the leak that’s currently sinking CBIS’s metaphorical boat is not its idleness and abject mediocrity. No, historically, it is the company’s tendency towards rampant dilution that has done investor value the most harm. Suffice it to say that last year, the company issued 163 million shares of its common stock to “various individuals and companies” among which were its former CEO, the current CEO, the COO, and the CFO.
Which leads us to the meat of the issue – until CBIS finally files its belated financial report, there’s no way to know what its financial situation is and how badly its share structure has suffered since it last reported.
This is probably why investors are currently either uneasy around, or uninterested in, CBIS and why the ticker is likely to continue its slide until something dramatically changes its situation.
