Tranzbyte Corp. (OTCMKTS:ERBB) Flat After Red Streak
The marijuana sector has been in a slump for a while now, with the share price of many companies steadily dropping. Tranzbyte Corp. (OTCMKTS:ERBB) was not spared either. The ticker logged a red streak that pressed it down to $0.03 per share flat. Monday trading didn’t do much for the company either, with ERBB closing flat after a brief morning surge.
The latest press release from ERBB concerned a name change set in motion. Tranzbyte should soon trade as American Green. The release outlines the the change as ERBB‘s ‘primary effort’ to maintain its position as a leader in the MJ market. When ERBB became a leader in the sector is not exactly clear, as the company is still working to launch its flagship ZaZZZ vending machine and has not found a source of sizable revenues just yet.
Speaking of the ZaZZZ machine, the state authority inspection and approval needed prior to the official launch into dispensaries should have been completed by now. There is, however, no PR coming out to announce such approval. As a whole, the level of hype surrounding the machine has gone down dramatically, and with it – the share price.
It will probably be quite a while before revenues from ZaZZZ will start coming up in reports. If ERBB really manages to get ZaZZZ into dispensaries by June, assuming things are really moving forward as announced, the earliest date traders could see revenues will be late September, in the company’s annual report. The next quarterly is due within a few days but it will hardly contain a lot of earth-shattering improvements to ERBB‘s balance sheet.
On the upside, ERBB has stopped sliding and may have reached a point where enough people may be willing to enter and a recovery could follow. Still, with the price gone down to its levels before the March ZaZZZ hype, anything is possible.