Fusion Pharm, Inc. (OTCMKTS:FSPM) Renews Upward Trend
Fusion Pharm, Inc. (OTCMKTS:FSPM) is one of the recently active cannabis stocks, but at the current peak, the ticker had a few days of soul-searching before trying to go up again. FSPM added more than 41% to reach $1.98, on dollar volumes of $1.11 million. The positive day game after a press release announcing a 38% growth in revenues. Now, it remains to be seen if FSPM keeps the higher levels, and stays above the $2 range. 
The earnings results are encouraging, since a lot of companies merely promise to capitalize soon on their products- once sales take off in 2014, on new legislation. But FSPM is actually delivering. 
However, the company is not without its red flags, with limited information and only around 8 million shares outstanding. The financials so far are are follows:
- cash: $3.4 thousand
- total current assets: $541 thousand
- total current liabilities: $116 thousand
- total liabilities: $356 thousand
- revenues: $330 thousand
- net income: $15 thousand
Unfortunately, the link of the PR about the phenomenal growth in orders and revenues merely sends users to the company’s website, and it is still not clear wen FSPM will become current with its SEC filings. FSPM has an original product, building its hydroponics systems by using standard steel shipping containers. But it remains to be seen if the stock can keep up as one of the higher-priced pot stocks.
And the beginning of the new week has seen the slaughter of the industry, not only ending but reversing the days of consecutive double and triple digit growth. Previous extreme winners reverted to lower levels, no matter the solidity of the company or the sub-sector to which the company belonged.
It is a small wonder that FSPM survived so well when other hydroponics “stars” of previous days sank into low trading volumes and low prices.
GreenGro Technologies, Inc. (OTCMKTS:GRNH) lost a further 8% to stand at 39 cents, as volumes sank down to $3.4 million, perhaps a tenth of the activity in the stronger days. GRNH had bids for dollar levels, but reversed the trend at 80 cents.
Terra Tech Corp. (OTCBB:TRTC) is doing a bit worse, staging a small falling trend toward 26 cents.
If you still see buying opportunity among pot stocks, keep in mind that the wild days are in the past- and even if they are repeated, the event would most probably be extremely volatile. Pot stocks were inflated by enthusiastic mass investors, with little institutional or professional support, and most of the companies remain relatively weak financially, so don’t rely on a constant upside.
