Cannabis Breathalyzer Beta Patent Applications - CANNABIX TECHNOLOG OTCMKTS:BLOZF
The company has continued to deliver fantastic stock returns. Have a look at it:
1 month chart for BLOZFLet's revisit the company's business model for starters. Cannabix Technologies Inc. is headquartered in Burnaby, British Columbia, Canada and is focused on the development of marijuana breathalyzer for both law enforcement and workplace. The company intends to develop breath testing technologies in the pursuit of bringing durable, portable tools to market to enhance the detection of marijuana-impaired driving offenses on roads.The readers who are still not aware of the market opportunity that the marijuana industry brings should read this carefully. After the legalization of some forms of medical marijuana in some States in the US and Canada, the demand for cannabis has exploded up. Many companies entered this new business, as the market and the expected profits are expected to be substantial. As a result, the stock returns delivered by companies, like BLOZF, have been quite significant.Does it sound interesting?Read our other articles on the subject. They will help you understand what's going on with BLOZF's share price.Recent DevelopmentsWe believe that BLOZF and other marijuana stocks are being pumped up right now because many market participants are getting to know the growth of the industry. For instance, in a recent report released by Freedonia Group, it was noted that the worldwide demand for nutraceutical ingredients is forecasted to increase by 6.4 percent annually amounting to $28.8 billion in 2017.In the announcement, which introduced this report, it was said that "more and more individuals now recognize that Cannabinoid-Cannabidiol is a unique nutraceutical that offers an unprecedented range of usefulness." Additionally, the name of BLOZF appeared in the report noting that the company will benefit from the future growth in the sector.Turning now to the new developments delivered by Cannabix, we need to remarket the following. On November 14, 2017, the company was listed as one of the “50 Innovations to Watch” in British Columbia business in Vancouver magazine. According to this media company, Cannabis is making innovations that are making waves across the province, the country, and the world. We were glad to point it out to our readers before others did it.There is more.The company has recently qualified for the Canadian Securities Exchange 25 Index as one of the twenty-five largest companies in the CSE Composite Index. The composite index launched in 2015 includes almost half of the exchange-listed businesses and covers over 75% of the trading activity in the exchange. It is excellent news, not only because it shows Cannabix's recognition in Canada, but also because it will help the company increase awareness and receive financing.What's going on with the share price?In December 2017, the share price spiked astonishingly without any apparent reason. From $1.50, it increased to touch the level of $2.25. But, that's not the most interesting. What we appreciated the most is that more than one million shares changed hands some days, which, in our opinion, shows that many in the market are checking this company.Have a look at the following stock chart: 1 month chart for BLOZFWhat was the reaction of the company?On December 28, 2017, BLOZF reacted by telling that it is unaware of any material change:"Cannabix Technologies Inc. (CSE:BLO) (the “Company”) reports at the request of IIROC (Investment Industry Regulatory Organization of Canada), Cannabix wishes to confirm that the Company's management is unaware of any material change in the Company's operations that would account for the recent increase in market activity." SourceWhat's our take?In our opinion, if nothing is going on inside the company, somebody should be moving up the share price. We researched recent stake disclosures, but we did not find any market participant buying shares in December. This does not mean that nobody has acquired a new stake. It may be disclosed in the following weeks. Thus, we will need to be alert.Another case scenario is that the market is reacting to the recent release of the financial statements. As it happened in the previous quarter, a lot of cash and assets were shown, which is usually appreciated. Check the following image: Balance Sheet for CANNABIX TECHNOLOG OTCMKTS:BLOZF
Additionally, it was also beneficial that the number of liabilities, which were reduced as compared to the previous report, is very limited. This means that the financial risk faced by shareholders diminished in the last four months, which may explain part of the share price increase.For the readers concerned about the number of shares outstanding, please note that the weighted average shares outstanding are equal to 86,462,273, which were equal to 77,559,262 shares in April. These numbers will also help readers interested in calculating the assets and cash per share.Short sellers are increasing positionsThe amount of short interest increased quite a bit recently. It is always interesting to check out this figure, as sometimes short squeezes can deliver fantastic stock returns. Have a look at the following table:DateShort Interest% ChangeAvg. Daily Share VolumeDays to CoverSplit New IssueNov 30, 201787,0841,207.571,378,4391.00NoNoNov 15, 20176,660566.001,803,4241.00NoNoOct 31, 20171,000-92.9364,5961.00NoNoSourceConclusionCurrently trading with a market cap of $177 million, BLOZF is an interesting story among small caps. We believe that the company is financially equipped to keep the innovations running so that it should surprise the market soon.To sum up, this company is still a perfect name to follow closely.We will be updating our subscribers as soon as we know more. For the latest updates on BLOZF, sign up below!Disclosure: We have no position in BLOZF and have not been compensated for this article.Image courtesy of houstondwiattorney.net via Flickr
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