American Cannabis Company Inc.
American Cannabis Company Inc. (OTCMKTS:AMMJ) underperformance continued in Friday’s trading session as the stock fell 7.32% to end the week at $0.51 a share. The sell-off comes at a time when a number of marijuana stocks are struggling to rise above their year-to-date high.
Marijuana Industry Headwinds
Shares of American Cannabis Company Inc. (OTCMKTS:AMMJ) are down by more than 40% for the year as the stock continues to trade in a downtrend. Investor’s confidence on marijuana stocks has taken a hit in recent months, amidst growing concern about the impact of upcoming tax loss selling as well as the January effect sequence.
Concerns surround marijuana legislation that U.S. Attorney General, Jeff Sessions, will advocate is another headwind for the industry. There are fears that the Attorney General could move to enforce stringent federal laws in every state that has decriminalized marijuana. Something that could affect the pace at which the sector grows
Amidst the growing uncertainties, American Cannabis Company Inc. (OTCMKTS:AMMJ) is already looking into the future as it looks to strengthen its market share in the business. The company’s client in New Brunswick has already submitted application materials and supporting documents as it seeks to acquire licenses for operating medical cannabis programing in Canada. The client plans to construct a 63,000 square foot warehouse featuring state of the art cultivation and extraction technologies
“We are very pleased to be working with such a determined and dedicated client who wants to see their businesses truly succeed. Canada is full of business opportunity for our firm, and we cannot be happier to be providing services to what will soon be a top-tier producer in the space,” said CEO Terry Buffalo.
American Cannabis Company Inc. (OTCMKTS: AMMJ) has also signed an exclusive distribution agreement with Earth Alive, a leading Canadian, Cleantech company. The agreement is for the commercialization of Earth Alive’s premier cannabis product, Dr. Marijane. The product is an organic root probiotic designed to promote increased vegetative growth and increase the bioavailability of fertilizer programs.
ACC, a leading distributor, has agreed to make a minimum purchase of the Dr. Marijane product in the first year, once it is successfully registered in Colorado.
I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.
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