Medical Marijuana, Inc. (OTCMKTS:MJNA) Stops at a Dime Per Share

In a curious occurrence of synchronicity, yesterday’s session brought the share price of Medical Marijuana, Inc. (OTCMKTS:MJNA) to a close of exactly $0.10 per share after the ticker logged its 10th red day in a row.

Ever since the January craze that sent almost the entire roster of public marijuana companies into orbit, MJNA managed to maintain a price that remained above the 10-cent dividing line. Throughout the last eleven months, MJNA logged just one close that was flat at $0.100 per share. That happened in the middle of June and the price recovered more or less instantly over the next sessions.

While it’s true that the ticker may have been helped on its way down the charts by a couple of articles that took a harsh stance on the current goings-on around MJNA, the company’s reports don’t do much to convince traders that things are looking up. The latest quarterly posted less than two weeks ago, three days into the ten-session red streak, led to an increase in daily share volume and the ticker taking larger steps down the chart.

MJNA reported sales of $604 thousand, or a little over 25% down from the previous quarter. This number should include sales of CanChew’s steeply priced chewing gum which was available for sale throughout the quarter, yet generated $33 thousand in sales. Without the extraordinary income of $8 million, comprising primarily CannaVEST shares under the PhytoSphere acquisition from early 2013, the bottom line for the quarter would be a loss of $86 thousand.

This is not exactly the stellar performance and significant growth traders were expecting to take place in the second half of 2013. MJNA‘s previous quarterly was not exactly stellar either and hopes were likely high for Q3, with all the PR buzz, product launches and publicity that MJNA should have garnered from its participation in expos and trade shows.

MJNA longs are probably keeping their fingers crossed that the price manages another immediate bounce in today’s session and doesn’t slip under $0.10 as breaching that psychological barrier could potentially cause further tremors.