Medical Marijuana, Inc. (PINK:MJNA) Plodding Through a Rough Patch

Upon updating its annual report and making the filing available to the public yesterday, Medical Marijuana, Inc. (PINK:MJNA) regained its Pink Current status. Even though investors cheered, MJNA dipped below the $0.20 mark intra-day and closed the session 8% down.

Following the drop, the vultures started circling again, with articles posted on the Internet that once again contained a lot of name-calling and levied more accusations against the company without much solid proof. Mudslinging is nothing to be proud of, especially when such claims are made in such an authoritarian voice and are not backed up with substantial proof. We are trying to maintain a more level-headed, neutral view on the stock, factoring in both the good and the bad, and there’s plenty of both to go around.

It is a fact that over yesterday’s session MJNA had its largest percentile drop in two months’ time, on its largest share volume for the same period. What triggered this is very difficult to tell. The drop could have been caused by a combination of factors including fidgety investors who couldn’t stand to watch the slow decline of share price over the last two months and decided to bail out. The $49 thousand stock promotion that originally came through on April 22 and was re-mailed through another promoter outfit on the next day could have lent a helping hand as well. Traders who are not among the hardcore supporters of the company could also have been irked by the repeated inability of MJNA to contain the price slide despite the company issuing several press releases that could be considered big news, including very optimistic Q1 revenue numbers ahead of filing.

Certain outlets have just now brought up the matter of MJNA‘s transaction with CannaVest Corp., f.k.a. Foreclosure Solutions – a deal which we covered back in late February, hinting at some of its possible problematic aspects.

The scare campaign for MJNA re-launched by the abovementioned articles is kicking in today, with the stock price taking a gap down and a further tumble immediately after the open, then recovering a little, currently at $0.182 per share, or 12% down.