Cannabis Science Inc (OTCMKTS:CBIS)had been plunging for four trading sessions in a row until Wednesday, when it finally regained some lost ground. Judging by the news releases on MeshPress, the recovery of CBIS stock can be largely attributed to pump managed by outfit “AwesomeStockTips.”
The pump exposure afforded the firm by ‘TheDenverChannel’ came late to impact the stock movements on the chart. So whether it will continue its gains in following trading session remains to be seen. However, investors should not wait for pump to push stock up the charts. The reason is obvious, at the end of the day, the pumps can hardly overcome company’s shortcoming which are many and varied.
Investors should not forget that there is a “limited information” tag on Cannabis OTC Markets profile page. It indicates that the company has been delinquent in its regular filings. So, there is no practical way to assess what is going on with it.
Some research discloses that there is little data to support that Cannabis performed better in 2Q2015 compared to 1Q2015. Additionally, Cannabis Science didn’t have anything promising to say at the end of March 2015. As per the last report, the cash stood at $37,000 and total current assets were $186,000. The total liabilities came at $3.8 million while net loss was $4.2 million.
Add to this the fact that total 250 million shares out of the over 1 billion shares of company’s common stock that are outstanding have been released in 2015 alone. This number turns the picture quite grim and moreover the mentioned issues shares were released following conversion of toxic debt at an average price of $0.001 per share.
Cannabis Science Inc (OTCMKTS:CBIS) finished the last trading session on a high note as it gained 18.46%. The stock has been experiencing a lot of volatility in the last few days and the last session was another display of that. The volume of 18.7 million was not much higher than the daily average of 15.5 million, raising the question if the bounce was corrective in nature. The bulls pin their biggest hope on the major support area around $0.0225, which pushed the price up very sharply in the last 3 sessions. The possibility of a retest of that level can’t be ruled out yet.