Although not as heavily influenced as the other pennystocks operating in the marijuana industry Easton Pharmaceuticals, Inc. (OTCMKTS:EAPH) still enjoyed a couple of sessions of massive gains. From an opening price of $0.0018 on January 7 it managed to pass through 1 cent per share just 2 days later pushed up by all the hype. Unfortunately for the shareholders of the company though it started to correct immediately after and once again dropped into double zero price ranges.
And now with the whole sector starting to cool off EAPH
may find it hard to support their current levels. That however didn’t stop them from being one of the few marijuana companies that finished yesterday’s session in the green. Right from the opening bell the ticker surged upwards and reached an intraday high of $0.012. Even though it closed the session at $0.009 it was still more than 15% above its previous close.
Well, we group EAPH
with all the other marijuana and cannabis stocks but actually EAPH
have only expressed intentions of joining in. It certainly was enough for some traders though and the number of traded shares jumped from 200 thousand on December 24 to a high of 200 million on January 8. Even yesterday’s 68 million more than doubled the average for the company.
Undoubtedly a role in the positive performance played the PR article that was released in early trading. Despite being quite lengthy most of it was nothing but fluff with very little useful information. Apparently EAPH
are in negotiations with an Ontario-based company about a possible investment/partnership. More details were promised to be announced soon.
Until more information is available investors should keep in mind that EAPH
have been in business for 15 years but according to the latest financial report they have:
• $95 thousand cash
• $208 thousand total current assets
• $406 thousand total current liabilities
• ZERO revenues since inception
• $47 thousand net loss
In addition to their recent marijuana plans they have been trying to market their VIORRA gel for years now and have bought a 10% ownership of an experimental cancer drug which we discussed in our previous articles.
Investors should consider all the risks associated with the company before attempting any trades as stocks with such low prices are prone to making wild swings in either direction. Another stock that requires a lot of due diligence is Konared Corp (OTCBB:KRED
). Despite the company having real operations and generating revenues their recent climb up the chart has been facilitated by a $2.3 million pump campaign. Yesterday KRED
closed the session less than 1% up at $0.872.