Good News Coming From mCig, Inc. (OTCBB:MCIG)
mCig, Inc. (OTCBB:MCIG) is one of the rare medical cannabis companies in the OTC markets that is a reporting SEC filer and is growing fast. It’s stock has had its ups and downs, but the most recent chart movements have brought it to new heights.
The company filed their quarterly report for the period ended January 31, 2014 on Monday and it managed to attract some attention with optimistic results that were made in just 24 inventory days.
- cash: $37 thousand
- current assets: $91 thosaund
- total current liabilities: $22 thousand
- revenues: $85 thousand
- net income: $10 thousand
The management didn’t miss a chance to brag about what they managed to achieve in less than a month and the fact that they have started operating at a profit so fast, due to the strict spending policies.
Furthermore, their product is quite cheap, but it seems that it has potential to generate good revenues that turn into profit with good financial policies. Also, the announced acquisition of Vapolution, Inc. was completed with a S1 registration date set for the symbolic April 20, so we see a lot of developments.
Still, the management does acknowledge that the current market cap of $230 million is quite high considering the book value, which is nice, because it shows that they are not flying in the clouds and are willing to acknowledge the actual situation.
They also have further plans to better the service they provide and are even calling the current delivery for online orders period of 7-10 days “unacceptable”. The picture for now seems good, but that doesn’t change the fact that the market cap is way too high currently and there might be corrections.
This week started rather good for the company stock and MCIG gained 13% and 17% in Monday and Tuesday respectively. Yesterday, we saw some big volumes that generated $11.9 million in trade value as the stock went on to a $0.905 close.
Today’s session, however, didn’t start very well for MCIG, so be sure to do your due diligence and weigh out the risks before making an investment decision.
Yesterday, Growlife, Inc. (OTCBB:PHOT) ended up in the red on a whopping $60 million dollar volume after a nice gain in Monday. CannaBusiness Group, Inc. (OTCMKTS:CBGI) on the other hand made a good 15% jump, but began sliding with today’s open.
