Minerco Resources Inc. (OTCMKTS:MINE) Crashes As Conference Call Starts

Minerco Resources Inc. (OTCMKTS:MINE) enthusiasts may have been hyped about yesterday’s conference call, but to their bitter disappointment the ticker was slammed to the ground mere minutes after the opening bell.

Yesterday’s session started out with the usual gap up and looked like it would take MINE on another steady ride up the charts, but then disaster struck. Judging by the timing of MINE‘s downfall, and it appears likely that the opening statements of the much anticipated Investors Conference call were the thing that finally toppled the ticker.

First, the company admitted to making some bad management decisions, which have cost it a great deal. Further, MINE flat-out declared that it plans to spend very little money on marketing. In addition, the company’s growth was called “bidirectional” and “chaotic” by its own management. This can be interpreted as an admission that MINE is currently in a state of chaos, or, possibly, that management is having a hard time putting company affairs in order. Both of those prospects are more than a little disturbing.

Another peculiar statement was the protracted, profusely boastful insurance MINE‘s management gave that it is not withdrawing from the marijuana branch just yet, and it has found a suitable partner to run business in that niche, while it hangs back, but is “not left behind”.

It appears that the barrage of vague praise that preceded this statement failed to mitigate its impact, because the sudden drop in investor interest at that point in time is plain for all to see. Company stock dropped like a rock just minutes after these statements and failed to recover until the closing bell, despite MINE‘s enthusiastic announcements of “exciting” possibilities ahead of the company’s fizzy drink product line.

In the end, that one day in the red took MINE 30.75% down and completely wiped out all the progress the ticker had made in the last six green trading sessions. Which just goes to show that despite the apparent calm of the current marijuana market, it is still as volatile as ever, and investors should think twice before committing to high risk stock.

Another company that was traded as a pot stock but is still far from making a profit from marijuana is Terra Tech Corp. (OTCMKTS:TRTC), who fell 12.43% yesterday.