Hemp, Inc. (OTCMKTS:HEMP) Takes a Tumble
The share price of Hemp, Inc. (OTCMKTS:HEMP) has been smoldering quietly for months. After riding the February marijuana sector hype spearheaded by another sector rival, HEMP stock has been in a state of slow decay, constantly trundling ever further down the charts. The slow decline picked up in both speed and volume yesterday, as HEMP closed 12% down.
HEMP managed to shift nearly 19 million shares yesterday, cropping back up among the most heavily traded OTC stocks after months of absence in the top 50. To the disappointment of shareholders, there was little to get excited about as after a brief spasm in the early session, the price took a nose dive and spent the day near its close.
The financial situation of HEMP has not exactly improved since we last took a look at the company. The latest financial report of HEMP is dated March 2013 and contains the following figures:
- $29 thousand in cash
- $1.1 million in current liabilities
- $333 thousand in quarterly net loss
Additionally, HEMP common stock was diluted by roughly a quarter, going up from 1.07 billion outstanding shares in December 2012 to 1.25 billion in March 2013.
Today HEMP posted a press release in the wee hours, updating the public on the status of its hemp crop grown in China. The release stated that the retail value of the future harvest could be “well over” $2 million. The release came through as a desperate move to stop the sliding stock price than a piece of meaningful information for shareholders who seemed to be trying to get out of HEMP in a hurry yesterday, shuffling the largest daily share volume since the February craze.
The other marijuana-sector contender who fared a little better after the February hype spikes is Medical Marijuana, Inc. (OTCMKTS:MJNA). Even though MJNA got too high too fast as well and has mostly been slipping down ever since, unable to sustain its highs, its stock at least offered some large percentile bounces that could serve as air pockets for traders with quick fingers.
