GreenGro Technologies, Inc.(OTCMKTS:GRNH) Spikes On Hype
GreenGro Technologies, Inc. (OTCMKTS:GRNH) had a few sessions in the red recently, but has more than managed to recover its upward momentum since it started its ascent on Monday. Yesterday the company closed 8.22% up, driven by the hype caused by a new marijuana documentary.
In his second CNN special, Dr. Sanjay Gupta presented some interesting data on medical marijuana and its potential benefits for mankind. The footage showed the life stories of people with various ailments and how the “green panacea” has helped them live better lives. Although the film itself was somewhat vague and entirely focused on the potential benefits of medical marijuana, it was informative and did make some valid points.
The hype that shook the whole sector in the wake of the documentary was certainly welcome news for GRNH. As a direct result of it, the company is presently soaring at $0.60. But do traders really have cause for this much enthusiasm and trust in pot-stocks?
No amount of optimism and trust can compensate for the fact that some publicly traded companies are risky investments at best. Caution and in-depth research is always advisory before committing to such stocks. And in the case of GreenGro, the numbers in the company’s latest financial report are a serious red flag:
- cash – $5 thousand
- total current assets – $42 thousand
- total current liabilities – $156 thousand
- quarterly revenues – $7 thousand
- quarterly net loss – $221 thousand
Just minutes ago GRNH announced that it has acquired a provisional-patent-pending technology for a medical canabidiol vaporizer and a herbal medicine delivery system. Greensticks Inc., a GRNH wholly owned subsidiary, has been formed to serve as the distribution and development arms of the technology. Company officials were very excited for this product line, because, as they put it “it paves the way for the company’s move towards sales into licensed dispensaries”.
Whether this move will bring profits to GRNH in the long term remains to be seen. In the short term it will most likely have a direct impact on GRNH‘s share prices. Even now company stock is traded 15% up.
Another company that jumped yesterday is Terra Tech Corp. (OTCMKTS:TRTC), which managed to rise 18.64%.
