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<u>SeeThruEquity place $0.25 price target on PotNetwork Holdings</u>

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PJET - Latest Entrant To Cannabis Sector Brings Fresh Face To Give POTN HEMP and MJNA Run For Their Money "InvestorsHub NewsWire" - 10/17/2017 11:34:02 AM
Exceeding $1,750,000.00 in Revenues for August, PotNetwork Holding Inc.'s Diamond CBD Hits Highest Revenues Recorded to Date "InvestorsHub NewsWire" - 10/12/2017 8:30:00 AM
USMJ and PURA Secret Weapon To Target RMHB and POTN - City Blends New Distribution Facility "InvestorsHub NewsWire" - 10/5/2017 9:03:52 AM
Continuing to Structure for Robust and Targeted Growth, PotNetwork Holding Inc Appoints Dr. Richard Goulding as New Chief Exe... "InvestorsHub NewsWire" - 10/4/2017 8:30:00 AM
Diamond CBD to Sponsor Tommy Chong's Blazer's Cup Presented in San Bernadino in Partnership with Dank City LLC "InvestorsHub NewsWire" - 9/29/2017 12:30:00 AM
MJAC 2017 Speaker Update - How venture capital and cryptocurrency are converging as the future of cannabis investing "InvestorsHub NewsWire" - 8/30/2017 10:29:33 PM
PCAOB Registered CPA Firm Engaged to Initiate Audit on PotNetwork Holding Inc.'s Recent Revenues "InvestorsHub NewsWire" - 8/30/2017 8:00:00 AM
Cannabis Companies Cater to an Increasingly Large and Diverse Industry "NetworkNewsWire" - 8/29/2017 8:45:00 AM
PotNetwork Holdings, Inc Confirmed for MJAC 2017 "InvestorsHub NewsWire" - 8/28/2017 10:43:55 AM
Mayweather vs. McGregor Event Brings Unprecedented Exposure to Diamond CBD and PotNetwork Holdings, "POTN", as Sponsored Cont... "InvestorsHub NewsWire" - 8/28/2017 8:30:00 AM
MJAC 2017 International Cannabis Conference - Discount Code "InvestorsHub NewsWire" - 8/24/2017 8:40:00 AM
With Revenues over $1,459,137, PotNetwork Holding Inc.'s Diamond CBD Continues to Exceed Projections, Bringing in the Highest "InvestorsHub NewsWire" - 8/24/2017 8:15:00 AM
PotNetwork Holding Inc. Strengthens Board of Advisors with the Appointment of Dr. David Feldbaum "InvestorsHub NewsWire" - 8/23/2017 9:50:00 AM
MJAC 2017 - Speaker Update - Investing In The U.S. Cannabis Market "InvestorsHub NewsWire" - 8/22/2017 1:27:13 AM
Second Quarter and Year-to-Date Operating Results Confirm PotNetwork Holding's Revenues Maintain Strong, on Target Performance, "InvestorsHub NewsWire" - 8/17/2017 8:15:00 AM
PotNetwork Holding Inc. Reports Diamond CBD Sales Topping $200,000 over 2 Days at the New York City BIG Industry Trade Show "InvestorsHub NewsWire" - 8/16/2017 8:15:00 AM
Advisory Board Solidified with PotNetwork Holding, Inc.'s Appointment of Distinguished South Florida Cardiovascular Specialist "InvestorsHub NewsWire" - 8/10/2017 8:30:00 AM
With Sales Exceeding $320,000.00 at the Las Vegas ASD Market Week Event, PotNetwork Subsidiary Diamond CBD Continues Strong Rec "InvestorsHub NewsWire" - 8/8/2017 9:15:53 AM
PotNetwork Chief Consultant for Special Projects to Shed Insight on Corporate Vision During Featured Interview on PotStockRadio "InvestorsHub NewsWire" - 8/7/2017 8:15:00 AM
With Over $5 Million in Diamond CBD Sales for the First Two Quarters of 2017, PotNetwork Strategizes to Deliver Results on St... "InvestorsHub NewsWire" - 8/3/2017 8:00:00 AM
Diamond CBD, a subsidiary of PotNetwork Holding, Inc., to launch a CBD product line with Tommy Chong under the brand name, "C... "InvestorsHub NewsWire" - 8/1/2017 8:30:00 AM
Potnetwork Holding Inc. Wholly Owned Subsidiary Diamond CBD Takes in Over $300,000 in Sales at CHAMPS Summer Show at Las Vegas "InvestorsHub NewsWire" - 7/25/2017 8:00:00 AM
PURA PPS and VOL UP On Momentum With Possible Retrace To $0.09 High "InvestorsHub NewsWire" - 7/21/2017 11:46:58 AM
PURA RALLY ALERT - Tech Trading Signals BULLISH - PPS Breaks $0.03 200 Day Moving Average "InvestorsHub NewsWire" - 7/20/2017 1:12:41 PM
Marijuana Stocks Re-Initiates Coverage On Potnetwork Holdings Inc. (POTN) "InvestorsHub NewsWire" - 7/20/2017 8:00:00 AM
TomKG   Saturday, 07/15/17 06:58:27 PM
Re: None
Post # of 111633 
SeeThruEquity place $0.25 price target on PotNetwork Holdings Inc.

NEW YORK, NY / ACCESSWIRE / June 5, 2017 / SeeThruEquity, a leading independent equity research and corporate access firm focused on small-cap and micro-cap public companies, today announced it has initiated coverage on PotNetwork Holding, Inc. with a price target of $0.25.

The report is available here: POTN Initiation Report.

PotNetwork Holding, through its subsidiary Diamond CBD Inc., focuses on research, development, and sale of premium hemp extracts that contain a broad range of cannabinoids and natural hemp derivatives. CBD is one of the more than 85 cannabinoids identified in marijuana and hemp plants and is non-psychoactive, with wide array of therapeutic benefits. Hemp derived CBDs provide a legal alternative to marijuana based CBD (which is banned at federal level) and allows the consumer to enjoy CBD without the risk of getting high and breaking any federal laws. Hemp derived CBD market is projected to grow at a CAGR of ~53% till 2020, positioning it as the fastest growing sub segment within the multi-billion-dollar legal cannabis and hemp market. Diamond CBD is seeing robust sales momentum, with 1Q17 sales of $1.85 million, exceeding the total sales of $1.6 million for the entire FY16. Diamond CBD is targeting a revenue of ~$8 million for FY17. Heavy marketing push via presence in high profile trade shows is expected to yield strong order flow going forward. We see POTN as a speculative play on the burgeoning legal cannabis and hemp market targeting the fastest growing sub segment (hemp derived CBD). The company has made considerable progress over the last few years, with revenues growing 178% YOY in 1Q17. Going forward in FY17, we expect POTN to increase revenues approximately 712% to $8.3 million through new product launches, aggressive marketing initiatives and entry into new markets (specifically China).

According to the Hemp Business Journal, cannabidiol remains one of the fastest growing market categories in the US hemp and legal marijuana industries, with an estimated CAGR of ~53% till 2020. The hemp industry is projected to grow to $1.8 billion by 2020, with $450 million comprising from hemp derived CBD products. This would represent a 300% increase, from the estimated hemp derived CBD market size of $115 million at the end of the FY2016.

Unlike marijuana, FDA considers hemp-derived extracts produced from imported industrial hemp plants to be legal and as such there is no restriction to their use in the US. However, it is not currently legal to grow industrial hemp in the US, though more and more states are easing restrictions on growing industrial hemp. Recently, South Carolina and Arizona have legalized growing of industrial hemp. Many other states, such as Missouri, are considering to legalize industrial hemp. We believe favorable regulatory environment will provide further tailwind to POTN. However, recent stance by DEA that it considers CBD as a Schedule 1 substance has created some overhang.

Aggressive Marketing Push to Yield Strong Order Flow

Diamond CBD is witnessing robust growth momentum. The revenues in April 2017 grew ~25 times to over $1 million, compared to just $40,000 in April 2016. The company has distributed over 1 million Chill Gummy edibles and has established presence in more than 10,000 retail location across the US. The company continues to invest heavily in publicity efforts through presence at high profile trade shows and conventions. As a result, we anticipate strong growth in order flows, brand recognition and preference for its products.

Since the beginning of the year, the Company has been showcasing its CBD oil and specialty products in some of the busiest industry events garnering more than 500 new accounts. January's Surf Expo in Orlando, Florida resulted in establishing new business opportunities and the Las Vegas CHAMPS Show reaching more than a quarter million dollars of purchase orders in just three days (~$235,000). Most recently, the company exhibited at the ASD Market Week which is an international event providing exposure to approximately 45,000 buyers from more than 88 countries. POTN is projecting more than $1 million in sales in May 2017 as well.

Initiate Coverage with a Price Target of $0.25

We see POTN as a high risk and high reward play on the burgeoning legal cannabis and hemp industry, targeting the fastest growing sub segment (hemp derived CBD). The target of $0.25 assumes that the regulatory tailwind will result in further expansion of the market and the company is successful in executing its organic growth strategy revolving around aggressive marketing campaigns. . Key risk includes any adverse regulatory stance that could materially damage company growth prospects.

Please review important disclosures on our website at


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