Sorry!! The article you are trying to read is not available now.
Thank you very much;
you're only a step away from
downloading your reports.

CanniMed Has Rallied 30% Since Reporting Earnings In June

By

PrintPRINT

This article is published in collaboration with Scutify, where you can find real-time markets and stock commentary from Robert Marcin, Cody Willard and others. Download the Scutify iOS App, the Scutify Android App or visit Scutify.com.

After CanniMed Therapeutics (CMED.TO) reported better-than-expected second quarter financial results, the shares recorded mixed movements. CanniMed has been one of the top performing marijuana stocks since then and the share up almost 30% since June 15th.

CanniMed is focused on the Canadian medical marijuana market with its go to market strategy of physician education and significant investments into alternative delivery formats. The company has established itself as a proven supplier of high-quality medical marijuana and was the sole supplier of medical cannabis under the previous MMAR program and was the first to be awarded an LP license under the MMPR (now ACMPR).

Benefiting from a Trend Toward Smokeless Marijuana Products

CanniMed produces cannabis in a GMP compliant facility and offers a diverse product line. The company produces and sells seven strains of dried cannabis. It also provides patients with three different varieties of cannabis oils.

We are favorable on the company's focus on the cannabis oil market and CanniMed has already been benefiting from this focus. In the second quarter, cannabis oil accounted for almost 50% of total revenues.

The company was one of the first licensed producer to receive a license to sell cannabis oils from Health Canada and CanniMed's plans to release its gelcap product soon.

Focused on Developing New Innovative Products

The trend toward smokeless marijuana products continues to increase and CanniMed has been an earlier adopter to this.

CanniMed said that its gelcaps should be available in the next couple of months and we expect the product to command a price premium to that of oils, which should benefit the company's margins.

CanniMed is also working on developing new, innovative, smokeless products and has signed an agreement to license CTT's Orally Dissolvable Thin Film Wafer technology. This will enable the company to exclusively develop and commercialize this novel, smoke-free, drug delivery system in Canada. The agreement includes the licensing of six patents related to cannabinoid and opioid delivery for pain management.

Exporting to International Cannabis Markets

After the second quarter, CanniMed completed its first shipment of commercial cannabis oil to Australia (3,600 ml of CanniMed Oils). Upon completion, the company received three additional import permits from the Australian Department of Health for an additional 360,000 ml of CanniMed Oil products to be shipped by the end of September, subject to receipt of export permits from Health Canada, which are in process.

CanniMed also sold 12,960 ml of its CanniMed Oils to the Cayman Islands where dispensing of the CanniMed Oils to patients with a valid medical document has begun.

A Stock to Watch

We are favorable on CanniMed's leverage to the Canadian medical marijuana market as well as various international opportunities. The company recently sold its cannabis oils into the Cayman Islands and Australia and has subsequently received a large follow on order from Australia. CanniMed also has a distribution agreement in the EU.

CanniMed is also focused on physician education and the distribution, sale and marketing of medical cannabis products through its agreement with PharmaChoice, a member-owned cooperative that represents more than 700 independent pharmacy owners across Canada.

The company has benefited from two significant trends facing the global marijuana market, a global expansion and a preference for smokeless products. We expect to see CanniMed continue to record above-average growth and view the company as a stock to watch.

Stay up to date on the GreenRush by subscribing to Technical420...

Important Investor Disclosures

This report was authored by and is property of Technical420. All information and data relied upon in drafting this report is publicly available. The author believes and considers its sources to be reliable, but does not guarantee the accuracy or completeness of any information contained in this report. Any and all information, data, analyses and opinions are provided for informational purposes only and is not intended, in any manner, as investment advice. Any projections or other information generated by Technical420 regarding the likelihood of various investment outcomes are hypothetical in nature, do not reflect actual investment results, and are not guarantees of future results. None of the material contained in this report is intended as a solution or offer to sell or purchase a specific stock or any other investment. This report is not directed to, or intended for distribution or use by, any person or entity that is a citizen, resident or located in any municipality, state, country or other jurisdiction where the distribution, publication, availability, or use of this report is contrary to any governing law or regulation. The securities discussed in this report may not be eligible for purchase and/or sale in certain jurisdictions or by particular individuals. It is important that you check any and all governing laws and/or regulations that may be applicable in your jurisdiction. Investing in securities of issuers organized outside of the United States, including ADRs, entail certain risks. The securities of non-United States issuers may not be registered with, nor be subject to the reporting requirements of the United States Securities and Exchange Commission. Please contact a Financial Advisor for professional advice regarding any and all securities investments. This report is intended for informational purposes only


This article was written by Mark Maulden for https://technical420.com/cannabis-article/cannimed-has-rallied-30-reporting-earnings-june on .

This article published in collaboration with Scutify, the best app for traders and investors. Download the Scutify iOS App, the Scutify Android App or visit Scutify.com.

< Previous
  • 1
Next >
PrintPRINT
 
Featured Videos

WHAT'S POPULAR IN THE VILLE