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Rton is showing good relative strength today due to its expanding sales, stores, licensing agreements, etc. and people are starting to notice again. A lot of big trades today.
This overall trend should stay with us thruout the remainder of the year as people see the licensing agreements take hold.
A good time to get in- the bottom appears set; and sales at the existing stores are increasing with more on the way.
In referencing MCOA, Investor004 said: "And MCOA looks good, sounds good; all they need is a winning product." Evidently easier said than done.
KGKG has its own distribution problems selling Kona Gold. They seem to be doing fine with the Lemin lemonade though.
Hi Nature Boy. The RTON army has moved onto better platforms like Stocktwits, Twitter, etc. They support all the memes, uncensored talk, etc that the younger investors in penny stocks like.
Also the MJ stocks are pretty much on hold at the moment, looking for legislation news to wake it back up. Don't worry; nothing succeeds like success. As soon as our Public Servants start sorting out federal legality there will be more posters than we will know what to do with.
No, I believe the large trades today were CEO Jesus dumping the 26 M shares he recently received. This is always part of the immediate pattern, since he is compensated in shares and he has his lifestyle to support.
Another 26 million shares were just given to the CEO, for him to dump to provide his yearly salary.
No, overhead is very minimal. Just look at the profit margin efficiency on sales from the last Quarterly report. Between that and near term licensing agreements, things are looking up.
RTON will soon have the elusive positive P/E ratio (albeit a small one) after expenses.
In the meantime, we are putting up with the day-to-day trading games keeping the share price lower than it should be. The euphoria associated with MJ legalization has been pushed to the background for the remainder of this year.
R/S won't occur during brick and mortar expansion, since there is a healthy cash flow being generated to finance a good portion of it, and many of the upcoming dispensaries will be financed by licensing agreements.
What did MCOA get in return from CBGL for the 650,000,000 shares? Was it an equal value stock swap; cash to keep things going; what??
You're reading too much into a Friday afternoon's trade where the general market fall substantially on both NYSE and Nasdaq.
As the sales in the existing stores/online platform continue to expand as reported, a PPS rise seems highly likely. With increasing strategic partnerships/licensing agreements, things are finally going our way.
The share count is higher than we would like to see (approaching 5.7 Billion); however long term toxic debt is non-existent and the financing of new stores is proceeding smoothly.
There is a 42 million share backlog of bidders at .0015 who want to buy in. Nice demand. This will only play out nicely for current shareholders going forward.
We are in a good place with RTON now. Both Expanding sales and operations. We can look forward to good, no-nonsense quarterly reports now.
I would like to see Jerry start franchising the brick and mortars, using all RTON products to stock the shelves. Jackpot in the making.
Jerry has announced the grand opening of the Austin store. In addition, the press release states:
"Our plan is to have six licensed Dispensary and Wellness centers and another company owned store before the end of the year."
In addition, Grisaffi also noted, "Right On Brands is also pleased to announce that the Rowlett store has finished another excellent month in August with another new monthly sales record!"
Everyone about now feels that their particular MJ/CBD stock is oversold and will turn around in the coming months.
The stock market does not accommodate the majority of people in these situations. Don't count on MJ legislation any time soon, especially with the Republicans re-claiming the House and/or Senate in the mid term election cycle.
What does any of this have to do with KGKG? The baby usually gets thrown out with the bathwater.
A lot of re-positioning of shares now that bargain days have arrived. Once the air is cleared at the .0014/0015 support level, look to upward pricing once again.
The real story that is hogging all the space is the IMF/World Bank refusing to support the use of Bitcoin as El Salvador's official currency.
Additional dilution to fund additional stores. If So:
Interesting how the MM is reporting the trades in real time, instead of using a single after-the-market close average T-Trade amount.
T-Trades are usually more calming on the shareholders as being after-the-fact.
You could be right at that. Its hard to imagine another practical catalyst for so many shares trading right now. How many of these shares traded are Jerry's dilution, and how many are just nervous traders piling on?
It would explain Jerry's silence as well. I guess we will find out when the Agent updates the O/S current on OTC.com.
Apparently the traders en mass are leaving the building.
Evidently Jerry needs to babysit his shareholders and hold their hands during these times of indecision. Now get on your facebook/twitter page and say something already.
Haven't heard anything, but it seems highly likely Jerry will put out a PR. Today's price action was just part of the MM's merchandising operation- price has not been going anywhere despite increased volume and impending good news.
On top of the lenders dilution, there is also management raising additional cash thru their own creation of shares on a daily basis. Every day.
I think the dreaded R/S will not be too far off in the future unless they can increase sales soon, which does not seem likely for at least a few quarters. Don't count on MJ legalization any time soon either.
Seems like a relatively small dilution in relation to the A/S available. As long as we have expansion/sales to show for it.
The daily volumes have been next to nothing. How did he sell shares to the public? No filings either
Inside photo of the new Austin dispensary taken from Stocktwit posting. It looks like the final interior build-out is near completion. Look for this to open soon along with an announcement from Jerry:
https://stocktwits.com/affordable123/message/373114248
https://stocktwits.com/affordable123/message/373114015
It was quite disappointing to see the huge drop in sales of HempSmart products. There is much more to it than just blaming Covid 19.
I do like the idea of MCOA getting active with THC related products, and expanding their distribution thru cDistro. The Marley One mushrooms are good as well. I see a good pathway to profitability, but can they get there before a reverse split? I dunno.
We are talking at least 6-8 months out (?) before recent partnerships will take affect. Not much reason to hang around in the meantime. What am I missing?
Before everyone gets too discouraged:
The best thing about RTON is it has a product line where actual product sales are expanding when most of these companies are just in the business of selling toxic stock to hedge funds to stay alive.
Looking back to this moment, people will realize the current price is a gift. As a contrarian, I like the fact no one is posting and the share price is low- buy your straw hats when it is snowing outside.
Nothing to do but wait- Jerry should be getting next brick and mortar up very shortly, and will be sure to release the news on twitter, stocktwits, etc.
In the meantime, the whole MJ market is silent, waiting on Slo Joe Biden to divert some attention to MJ legalization. Good luck with that. Congress can't even agree on the first simplified infrastructure package. Imbeciles.
The good news is there is a lot of long pent-up MJ trading demand that can be released on a moments notice. As we all know.
Interesting 3 month outlook on RTON:
There was a Questions Asked - @StockInvestUS answered The Question - $RTON
— Investment Group Partners - IGP (@InvestmentGrou5) August 18, 2021
Given the current short-term trend, the stock is expected to rise 29.19% during the next 3 months and, with a 90% probability hold a price between $0.0030 and $0.0074 at the end of this 3-month period pic.twitter.com/oqGEuXIJlQ
Evidently good earnings & prospects for future growth are not enough for the MJ sector at this time. Just a trader's toy to be whip sawn until Congress is ready to focus on legalization.
With the current state of things, that could be a while. Get in at these low prices and put it away for 8 months.
It always boils down to one thing in the end. Earnings. We have finally started on a path towards profitability that appears to be on an upward trajectory. After that, everything takes care of itself more or less. The day-to-day machinations are largely noise for the day traders.
Speaking of day traders, there were certainly a lot of them disappointed today. Not to worry. The nice thing is there is no shortage of them; they always have a sixth sense and show up when money is to be made.
I am looking forward to the opening of the next brick and mortar in 2 weeks.
Relax. Nothing succeeds like success.
If Jerry can continue to open up successful stores in the Dallas/Austin/Miami area, pay down company debt, and expand the product line via online sales, then he can sell his shares when he pleases. Capiche?
Look at Google. The 2 founders not only sold all their shares, but transferred all voting rights/control of the company to themselves via a new holding company; Alphabet.
No one complained loudly, because they made everyone money.
Most likely he sold the shares because he needed the money to cover his past mistakes with the prior company he founded before RTON. Don't forget the legal judgment against him.
No doubt he has a lot to juggle at the moment.
People are willing to pay a premium for our products. Apparently they are well received in the Dallas area. Word of mouth is the best advertising.
Its also nice to see we have plenty of product on hand. Now Jerry needs to establish a consistent manufacturing operation, since he no longer uses his previous one. Quality control is very important, especially with the specialty cannabinoids in his future product plans.
The MM's will only walk it down if it makes sense for them to do so. Even the MM's are not dumb enough to stand in front of a freight train. I think they have had plenty of time to replenish their inventory, and will facilitate the rise in RTON today in the afternoon.
Today is the public's turn to control which way the sentiment flows.
The MM's will do what they do after the smoke clears.
I like what I am hearing from Jerry.
Jerry Grisaffi, CEO of the company noted, "Our margins have improved significantly, and this has made us very excited for the future. We believe that the next quarter, which ends September 30, 2021, could by the company's biggest ever." In addition, Grisaffi also noted, "Our plan is to have six licensed Dispensary and Wellness centers and another company owned store before the end of the year."
Endo is also pleased to announce that it is looking in the direction of products using specialty cannabinoids such as THCV and CBDV and Neurobiology using Nano Emulsions. These products are designed and engineered, and we believe that these products can be game changers stated Grisaffi.
Strong sales and revenue from the Dallas store over the 3 month period, just as Jerry said there would be. Look for a continuation of this as the additional stores open soon in Austin and Dallas. The net losses after expenses is slowly being whittled away, and will accelerate as the new stores open. We are headed in the right direction, and it is verifiable for a change.
Results of Operations
Three Months Ended June 30, 2021, Compared to the Three Months Ended June 30, 2020:
Revenues
Revenues for the three months ended June 30, 2021, were $141,000, as compared to $11,000 for the three months ended June 30, 2020, an increase of $130,000.
This increase in revenues can be attributed to the opening of the retail store front in north Texas. We expect our revenues to improve in future periods as we plan to open new locations, global economic conditions continue to rebound, and consumer spending increases.
Gross Profit and Margins
Gross profit for the three months ended June 30, 2021, was $114,000, as compared to $3,000 for the three months ended June 30, 2020. The $111,000 increase in gross profit is the result of our retail store front selling high margin products. Gross profit margin for the three months ended June 30, 2021, was 81%, as compared to 22% for the three months ended June 30, 2020. This change in gross profit margin resulted from an increase in sales volume. We believe that, subject to factors outside of our control, gross margins of approximately 50%-75% are likely to be the norm.
Operating Expenses
Operating expenses for the three months ended June 30, 2021, were $113,000, as compared to $207,000 for the three months ended June 30, 2020. We expect that operating expenses will increase over the next 12 months as our long-term growth strategy will require increases in personnel and facilities.
Profit/Loss from Operations and Total Net Loss
Profit from operations for the three months ended June 30, 2021, was $2,000, as compared to a loss from operations of $205,000 for the three months ended June 30, 2020, an increase of $206,000. The increase in profit from operations for the three months ended June 30, 2021, was as a result of an increase in revenues from the opening of our retail store front.
Total net loss for the three months ended June 30, 2021, was $122,000, as compared to a total net loss of $207,000 for the three months ended June 30, 2020, a decrease in total net loss of $107,000. The decrease in net loss for the three months ended June 30, 2021, was as a result of (i) the change in operations discussed above, (ii) a $138,000 loss on settlement of liabilities in the current period, (iii) interest expenses of $11,000 in the current period compared to $21,000 in the prior period, (iv) amortization of debt discounts of $-0- in the current period compared to $147,000 in the prior period, and (v) non-cash gains of $25,000 related to the derivative liability compared to non-cash gains of $166,000 in the prior period. Derivative liabilities are associated with loans that are convertible and have variable pricing on the equivalent shares of Common Stock. At the end of each period, these derivative liabilities are valued, and the net change is recorded as a gain or loss in other expense and income.
We do not expect to realize net income in the near term as anticipated operational expenses are expected to increase as our long-term growth strategy will require increases in personnel and facilities. Despite management's focus on ensuring operating efficiencies, we expect to continue to operate at a loss through fiscal 2021.
I suspect the MM's will continue to try and mute the shareholder volume to load up at a lower price. This will be dependent on the initial public response- the MM's are flexible and can react to multiple scenarios. They do not care which way a stock goes as long as they are in place for it.
So what mood is the shareholder in? They are in a depressed mood. Doom and gloom. It will take a strong earnings report to overcome this.
Latest news release is excellent news. Nice to see they are putting the share dilution to THC related expansion.
The timing of the news release is most likely meant to offset the lackluster (?) 10Q results to be issued shortly.
Short term net effect? I dunno- good if you have a longer term outlook.
Jeez- today was the lowest volume in about 8 months. And going into what is perceived as a good 10Q just 2 days away.
Evidently all the momentum has been sucked out of this stock (amongst MJ as a whole).
Capitulation in this scenario is a contrarian's dream come true.
While everyone is full of doom and gloom, let me remind you that the bright spot of the 10Q this week is the sales progress of the Dallas brick and mortar store which opened on March 18. We will have a full quarter of revenue to analyze; Jerry said the store was doing very good business. This leaves him no wiggle room to crawl under. We will know for sure where we stand looking forward.
The new location in Austin will be opening at the end of August as well. The 10Q's will progressively get better.
Considering this company has never made money before (just taken it from us), it will be interesting to see the public reaction. We could end up becoming a meme stock (God forbid!).
I take it Jerry and his little nephew (controlled by Jerry, no doubt) sold right after the MJ/Biden election news for the .01 run-up. Why does that surprise you? That bird in the hand turned out to be worth 3-4 in the bush. Jerry's actual Ceo salary is a pittance; this is how he makes up the difference.
According to the 2021 10K, his CEO salary was $32,000 and he was awarded $20,000 in stock (which he promptly sold for many times that at .01) His little nephew is obviously the shrewder of the two dealmakers. LOL.
I am more concerned about whether we can ride his coat tails or not going into the near future.
Definitely skewed info. The inference with such a huge number (1200!!) is that overall sales are going up, not down.
That's the problem with statistics. They tend to be misleading partial snapshots. In this case intentionally from Jerry to keep things afloat during hard pandemic times?