Branded Legacy Inc (BLEG)

[sleekscape]

Putting VATE’s Performance in Perspective

You have a knack for buying the bottom, Norfolk

I wasn’t able to watch any market action today, but just finished reviewing the markets in general as well as the CBD sector

Given the impact of the Coronavirus here in the US and globally, it no longer makes sense to discuss the OTC CBD Beverage sector as a sector with 6 stocks as I have done in the past

Instead, I am whittling the list down to those stocks which have the most potential to successfully pull through this crisis and provide investors with outstanding returns in a CBD-legal America

I will also only be discussing those stocks which currently produce CBD Beverages that are selling online and in stores

Using these criteria, that means we are left with 3 stocks worthy of discussion at this point in time

VATE, KGKG and PURA

As an investor, I have zero interest in PURA due to the fact that all they seem to do is issue PRs

In addition, their branding is inferior, CBD Water is a very generic product, and they do not currently produce a federally legal beverage using Hemp Protein Powder as the “active” ingredient that can sell in all 50 states right now

All that being said, because PURA was discovered by the market in October 2018 during the CBD Water frenzy, it continues to attract interest and therefore should still be included in any objective analysis of the CBD Beverage sector

From the standpoint of a variety of metrics, including best-in-class float size and profit margins, convertible debt (zero), dilution during past 6 months (zero), branding, products offered, and market discovery, VATE continues to look like the #1 choice in terms of % gains from current prices

Elev8 Hemp is a very strong brand name and currently offers 4 different lines of Hemp & CBD Products

CBD Iced Tea (cold)

CBD Coffee (cold)

CBD Coffee (hot)

Hemp Coffee (hot), which is federally legal and can be sold in all 50 states right now including national chains


KGKG is also a formidable stock that has great branding, multiple product lines and also sells a federally legal product line of Hemp Energy Drinks with Hemp Protein Powder as the “active” ingredient


But the most relevant thing to examine right now is the price action in all 3 stocks

That comparison will allow us to put VATE’s recent price action into a rational perspective and logical framework


PURA

Chart: http://schrts.co/IPrRvWcx

Current Price: $.0147

52 Week High: $.099

52 Week Low: $.013

% Decrease from 52 Week High to Current Price: -85%

% Decrease from 52 Week High to 52 Week Low: -87%

6 Month High: $.099

6 Month Low: $.013

% Decrease from 6 Month High to Current Price: -85%

% Decrease from 6 Month High to 6 Month Low: -87%

Volume during crash: High


KGKG

Chart: http://schrts.co/uNSEcazm

Current Price: $.0295

52 Week High: $.15

52 Week Low: $.021

% Decrease from 52 Week High to Current Price: -80%

% Decrease from 52 Week High to 52 Week Low: -86%

6 Month High: $.085

6 Month Low: $.021

% Decrease from 6 Month High to Current Price: -65%

% Decrease from 6 Month High to 6 Month Low: -75%

Volume during crash: High


VATE

Chart: http://schrts.co/SdKYNxqt

Current Price: $.0078

52 Week High: $.058

52 Week Low: $.0066

% Decrease from 52 Week High to Current Price: -87%

% Decrease from 52 Week High to 52 Week Low: -88%

6 Month High: $.0255

6 Month Low: $.0066

% Decrease from 6 Month High to Current Price: -69%

% Decrease from 6 Month High to 6 Month Low: -74%

Volume during crash: Low


All 3 stocks have hit their 6 and 12 month lows within the past few trading days

KGKG hit its lowest price last week on 3/13

PURA and VATE hit their lowest prices today

All 3 stocks have nearly identical percentage losses from 52 week highs to 52 week lows (86%-88%)

All 3 stocks dropped shortly after their lastest support levels were broken

PURA’s most recent support level was .027 — after it broke, PURA has dipped 53% to .013

KGKG’s most recent support level was .037 — after it broke, KGKG dipped 43% to .021 before rebounding

VATE’s most recent support level was .011 — after it broke, VATE dipped 40% to .0066

So all 3 stocks have performed very similarly over the past 12 months, 6 months and since their most recent level of support was broken

The biggest difference between the 3 stocks is the trading volume

While PURA and KGKG have sold off on high volume, VATE has sold off on low volume, so VATE’s shareholder base is very much intact


VATE is only 1 of 2 stocks in the CBD Beverage Sector that I consider investable at this point in time

Since I missed the trading today, I wasn’t able to pick up any shares

I have placed some good sized bids in for tomorrow’s trading, however

The markets are crashing right now but they will recover, as they always do, and the CBD industry is only in its infancy and has nothing but growth ahead of it, particularly with the excellent prospects of federal legalization of CBD in Beverages in Spring 2020 via legislation — we have already gotten a preview of the Senate bill with HR 5587

The current financial crisis, especially in an election year where McConnell is very vulnerable and has a uniquely high ability and high desire to pass legislation through the Senate that will help him win re-election, makes the national sales of CBD products even more likely to occur in 2020, in comparison to an environment with a high-functioning economy


Sleek

Got filled at .0066. Still confident here. Waiting for the dust to settle.