GreenGro Technologies, Inc. (OTCMKTS:GRNH) Stumbles Before The Storm

GreenGro Technologies, Inc. (OTCMKTS:GRNH) had an impressive 18.50% run up on Monday, enabled by the “update” it provided on November 1. The ticker then took a step back as investors held their breath, waiting for the results of the midterm elections to come out.

Seeing as how the newest developments in the battle for marijuana legalization turned out to be in the branch’s favor, it wouldn’t be any surprise to see GRNH soar on hype and hope today. But will such a jump really be warranted?

James Haas, GRNH CEO, may well be excited about all the progress the company is has made, but the fact remains – according to its own press releases, for all intents and purposes it looks like GRNH intends to just produce the “leafy greens”, that their hydroponics seem so well suited for.

This begs one very important question – if both the Buena Park and the BP Gardens Lincoln facilities are to grow pot herbs instead of pot why is GRNH even considered a pot-stock?

Upon closer examination, it turns out that GRNH‘s current situation is somewhat similar to that of another OTC Markets marijuana penny stock, namely – Terra Tech Corp. (OTCMKTS:TRTC).

However, TRTC seems to be moving along with respect to its licensing – unlike GRNH. All GRNH has given investors so far is terrible financials supplemented by obvious evidence of toxic debt and overwhelming dilution dilution.

In conclusion – yes, it is very likely that GRNH will explode with activity in the next few sessions, but even if GRNH reaches astounding heights, this triumph is likely to be short-lived. After all, any research done on the company suggests that its financial foundations are shaky at best.