Here's where we are:
1. CV Sciences' PlusCBD products are over 1,700 stores and over 1,000 doctors’ offices. They quietly went from around 1,500 stores to over 1,700 in a matter of months. They're getting into new stores even with the legality of hemp & CBD being in a grey area for many states and the product is flying off the shelves.
2. CV Sciences has been paying off their debt and has avoided dilution. They're nearly debt free at this point.
3. Indiana, a very conservative state, which happens to be CV's best state, legalized CBD setting precedent for other states. CV was a lobbyist for this bill and was instrumental in getting it passed.
4. Palko one of the largest natural products distributors in the county, located in Indiana, dropped PlusCBD around November because of the legality issues with CBD in Indiana. Word is they carry PlusCBD products again. Not having Palko could have hurt their Q4/Q1 numbers a bit, we'll see.
5. CBD is the next big thing in the natural products industry. Natural Products Expo West had CBD companies first the first time this year. Some think CBD will be up there with fish oil in terms of how big it will get. CBD helps with pain relief, anxiety, epilepsy, etc. The list goes on and on.
6. CVSI is working on becoming Generally Recognized as Safe (GRAS) certified (pretty much have it at this point) which would solidify this product and put them further ahead of the competition. No other CBD product has this certification that I know of and it's not easy or cheap to get.
7. CVSI is only trading for twice its revenue which puts this a point (assuming 5 mil in sales which is pretty conservative). This gives the stock a lot of room to grow and provides a good buying opportunity.
8. FDA has made addressing nicotine addiction a top priority. CVSI-007 is a Nicotine replacement therapy (NRT) and is patent pending. It could be the first FDA approved NRT with cannabidiol. The FDA is desperate for anything at this point and it could fast-track approvals.
9. Provisions added to the New Omnibus spending bill that protects hemp farmers and businesses and sends a warning to the DEA about interfering with hemp pilot programs.
10. HR3530 has been gaining some traction and if passed it would remove hemp as a schedule 1 drug. This would be huge! HR3530 could also get attached to the farm bill which needs to be renewed this year.
The biggest question is who will the new CEO be once Michael Mona steps down? Hopefully someone from the pharmaceutical industry.
Everything is trending up for both CV Sciences and the hemp industry. Buckle up, folks! This should hit $1 sooner rather than later and should be on its way to $2-$3. Once the institutional investors get onboard there will be no stopping this train.
