Tranzbyte Corp. (OTCMKTS:ERBB) Gathering Momentum
[[tagnumber 0]][[tagnumber 1]]Tranzbyte Corp. (OTCMKTS:ERBB) stock rose 27.39% yesterday, driven up by the the latest cannabis legalization news.[[tagnumber 2]] [[tagnumber 0]]The announcement that the next step towards legitimization of marijuana businesses is being taken had an uplifting effect on most of the marijuana sector. Easton Pharmaceuticals Inc. (OTCMKTS:<a href=“http://www.thehotpennystocks.com/Stock–Quotes/?stock=EAPH“>EAPH</a>), Creative Edge Nutrition Inc. (OTCMKTS:<a href=“http://www.thehotpennystocks.com/Stock–Quotes/?stock=FITX“>FITX</a>) and ERBB all surged during yesterday‘s trading session.[[tagnumber 2]] [[tagnumber 0]]Pot stock investors certainly welcomed the news of the lifting of the ban on banking for marijuana companies with enthusiasm – ERBB‘s jump in share price clearly shows that much. In spite of the obvious beneficial nature of this development, it is worth noting that the new rules on marijuana banking set a strict requirements for financial institutions that wish to exploit this opportunity. [[tagnumber 2]] [[tagnumber 0]]As it is, banks have been assured by government officials that providing services to upstanding marijuana businesses will not be prosecuted by local or federal authorities. It should be immediately obvious how companies like ERBB could benefit from this development – both crediting and banking can be an indispensable asset to the company.[[tagnumber 2]] [[tagnumber 0]]Despite the allure that servicing a blooming multi billion dollar industry may have, the risk of the whole thing going horribly wrong at any moment may prove to be a bit of a put–off for banks.[[tagnumber 2]] [[tagnumber 0]]Only time will tell if the new “pot banking rules” will actually benefit ERBB. But even if they did, it likely wouldn‘t boost the company‘s commercial success in the short run. The latest fiasco with The Patient Alternative Relief Center (a.k.a. PARC) a couple of days back certainly didn‘t prove to investors that the company knows what it‘s doing. ERBB‘s last quarterly report, for the period ended Sept 30, 2013 also fails to show that the company is on the right track. In fact it hints at exactly the opposite:[[tagnumber 2]] [[tagnumber 0]] [[tagnumber 2]] [[tagnumber 15]] [[tagnumber 16]]cash on hand: $2.5 thousand[[tagnumber 17]] [[tagnumber 16]]current assets: $63 thousand[[tagnumber 17]] [[tagnumber 16]]current liabilities: $.6 million[[tagnumber 17]] [[tagnumber 16]]revenues: $61 thousand[[tagnumber 17]] [[tagnumber 16]]net loss: $289 thousand[[tagnumber 17]] [[tagnumber 26]] [[tagnumber 27]] [[tagnumber 2]] [[tagnumber 0]][[tagnumber 30]]On top of that ERBB was late with filing its Qarterly for the period ended Dec 31, 2013. The notification of late filing the company did disclose contained an anticipated filing date – Feb. 21, 2014. Presently ERBB supporters are hyped because of the good news, but they would probably do well to wait for a filing before committing to the company‘s stock.[[tagnumber 2]] [[tagnumber 0]]ERBB is currently trading 8.81% down in today‘s session.[[tagnumber 2]]
