He/She has no point. When many see shares being sold, they immediately assume it's dilution. The key here is the difference between Authorized Shares (A/S) and Outstanding Shares (O/S), or the Float. There have only 143 million shares that are available to be issued since Dec 2015. The company has likely issued most of those, meaning there is really very little to dilute the price with. Additionally, if you read the press releases, the company is very aware of the sleazy tactics other MJ companies have with regards to dilution. Here is an excerpt from the CEO:
"We are very pleased and excited to be working with Regions Bank as they see our business growing profitably by extending business credit. In addition, we will not have to tap the equity markets for any toxic financing based on the amount of credit we were provided. We are now cash flow positive and see no need for additional financing in the short term. We continue to look for accretive acquisitions that would increase our return on investment to our shareholders."
What you are seeing here is a combination of MMs holding the price down to shake out weak hands and a lack of buys at the ASK price. While it is true that Friday's are typically less eventful than others, EFFI lacks some of the craze other MJ stocks have because the word "marijuana" is not in the name. Once people recognize this, there will be a serious price correction and our Market Value (MV), which is currently at about $3 million, should rise to $30 million and up.
