LOOKS LIKE CBD FORMULATION (CANB) REMAINS THE MARKET’S SOLE FOCUS
Why have I placed so much emphasis on CANB’s Pure CBD formulation, as well as which specific CBD formulation the FDA will choose to nationally legalize?
Because I’ve always thought that the FDA would go with Pure CBD and I presumed that would become the most important variable to CBD investors when looking at the CBD Oil stocks, simply due to the fact that the entire sector went largely with Full Spectrum CBD Oil, thereby leaving CANB as the only CBD Oil stock in America that went with Pure CBD Oil instead
I also believed that the CBD formulation factor would take center stage as we moved closer to the date when the FDA is slated to announce their regulatory framework and/or recommendations, which is expected to happen “this fall” — since Dec 21st marks the beginning of winter, the FDA’s report is due to be published anytime within the next 6 weeks
The 2nd must have property for investors in this space is strong revenue growth — CANB has the highest % revenue growth in the sector in 2019, so it easily satisfies that criteria
*** None of these numbers in 2019 reflect cultivation or processing revenue that will begin to kick in moving forward
You can see the separation in the charts between Pure CBD Oil and Full Spectrum CBD Oil if you look at the trading action in September and October — pay special attention to the past week
The 2nd thing you’ll notice besides the sideways price action is that CANB’s volume has decreased as the sellers have been drying up, whereas the volume has increased in the Full Spectrum CBD stocks as their prices have fallen
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