Vape Holdings, Inc. (OTCMKTS:VAPE) In Decline

Vape Holdings, Inc. (OTCMKTS:VAPE) managed to spike on June 11, driven up by favorable PR, but as usual with the marijuana publicity, the share price growth granted by a publicity stunt could not be retained.

This sad state of developments VAPE is currently in demonstrates once more why marijuana PR, much like pumps, is a double edged sword. Although the marijuana stock market certainly appears to be more stable now than it was a couple of months ago, well timed optimistic press releases still manage to generate hype and can fling a ticker sky high for a time. But this rise is artificial, and once the news gets cold, the ticker always comes falling down again.

VAPE‘s most recent headlong tumble culminated in a 14.19% nose dive yesterday and has cost the company a total of approximately 34% of its market value over the last five sessions. The fall was pretty much inevitable, once investors realized that there is scant little in the company to be enthusiastic about, and the news it published means almost nothing.

In its most recent press release, VAPE bragged about its 300 online sales and increased site traffic, but neglected to mention what these “achievements” mean in terms of revenue and interim net profit. Other vaporizer companies, such as mCig Inc. (OTCBB:MCIG) have, on occasion, given investors updates of the profits they have made in their most successful days, but VAPE chose to tout its number of sales instead of giving investors a dollar value. Could this mean that VAPE‘s achievements are unsatisfactory despite the fact that it has managed to make 300 sales?

Regardless of the company’s motivations, the result of its stock market strategy is now clear – that momentary jump up has now turned into a new 52 week low for VAPE stock. The way things are going, the company will need some very good news in order to even so much as halt its descent.