Cannasys Inc (OTCMKTS:MJTK) A Top Turnaround Pick

CannaSys Inc (OTCMKTS: MJTK) was covered by us in this piece, wherein we assessed a letter of intent to acquire the fintech company Alliance Financial Network, Inc. In this update, we will provide you some insights about this transaction. Furthermore, we will note, in this article, the marketing efforts of MJTK to distribute Citizen Toke. The company seems to be on fire, delivering outstanding news in an effort to make the share price turn around. First of all, have a look at the share price action:SourceRecent DevelopmentsThe first thing to note is that the company put out a press release on May 9, 2017 communicating that Alliance Financial Network, Inc. was not going to be acquired. MJTK noted that the target asked too much money; have a look:

"Following several months of due diligence and negotiations, CannaSys management determined the transaction would not be favorable to its shareholders. Competition for financial solutions serving the cannabis industry is increasing every day and the cost of competing is becoming prohibitive" Source

The announcement seemed to be disaster for the share price. But, at the end of the day, the value destruction for the transaction was not so important. Have a look at the price action and note that buyers came back into the stock.SourceFurthermore, on May 15, 2017, MJTK put out a press release noting that it will increase its distribution and marketing of Citizen Toke; its text-message-based marketing platform for cannabis retailers:SourceThe new information released was that Citizen Toke will work with Kushmoji (www.kushmoji.io), a cannabis emoji business owning more than 70 existing brands. The new partner has been featured in Moneyish, the LA Weekly, and High Times, as well as on the front page of MarketWatch.Additionally, in the same press release, it was noted that from June 1, 2017, the company will have a new CEO; Patrick Burke. The new CEO knows MJTK very well, since he has worked with the company as COO since November 2016. He is well aware about Citizen Toke and its distribution network, as he has worked in the potential integration of the two parts. Hence, the new appointment is quite a strategic move.Finally, on May 24, 2017, it was put out that MJTK had started pre-marketing campaign for Citizen Toke. The company noted that the feedback from retailers had been quite good. Additionally, it was remarked that the company received financial support for the new campaign and also noted the work of recently appointed CEO:

"He has already shown great success in working with Beta Killers on Kushmoji and Citizen Toke, and investors, including Kodiak Capital Group, continue to support our strategy." Source

The market reaction to this last news was much larger than the one received for the one released on May 15, 2017. The volume was not only larger, but the price was also pushed up much more. Why? In our opinion, the interest of retailers in the company's product indicates that the next quarterly revenue may be larger. Additionally, the fact that company found the necessary financing is very good. If bankers are happy to bring money to the company, the market usually appreciates it.Social mediaBoth iHub forum, and the Yahoo Finance Forum are full of comments of CannaSys traders and customers. Many market participants celebrated the latest news as many had bought the dip and profited from the share price spike. In our opinion, the fact that the company is followed by many people is key. Many are still interested in the company's products and believe in the turnaround. This is all positive.ConclusionMJTK has been active on the news front lately. First, the transaction planned was not happening. Usually, in this kind of events, the market punishes the share price. In fact, this happened, but it was not a dramatic move. Additionally, the company put out that the marketing campaign for Citizen Toke was about to start, the financing was ready and a new CEO specializing in the matter had been appointed. Additionally, the first feedback from consumers had been quite positive. This latest news made the share price jump in the last two days. From this looks of things, the worse looks to be over for MJTK and its shareholders. We will be updating our subscribers as soon as we know more. For the latest updates on MJTK, sign up below!Disclosure: We have no position in MJTK and have not been compensated for this article. We have previously been compensated $10k for a two day awareness campaign regarding MJTK.