Flowr Corp (OTCMKTS: FLWPF) Primed to Breakout

Flowr Corp (OTCMKTS: FLWPF) is a cannabis runner that continues to generate significant returns for our subscribers. The stock is already up by more than 80% for the year and showing signs of registering another leg higher after a minor correction. Just as was the case in our previous update, Flowr Corp is an ideal cannabis play given the underlying solid fundamentals.

Flowr Corp Price Analysis

Listing on the NASDAQ market exchange is the latest development that continues to shore the stock’s sentiments among investors. With the listing, the stock is poised to gain much-needed exposure, especially among institutional investors.In addition, Flowr Corporation is fresh from delivering impressive Q1 financial and operational results that affirm underlying growth. Cannabis production increasing by 8% in the quarter sets the stage for the Company to generate significant revenues as demand for cannabis products continues to soar.The Company has also embarked on an expansion drive, having set sights on the European cannabis market place. The closing of a $13.5 million private placement leaves the Company in a solid financial position to pursue strategic investments.The stock resuming the uptrend after a recent correction lower does not come as a surprise. A string of positive developments, continue to strengthen investor sentiments in the stock consequently fuelling the upward momentum. FLWPF Daily ChartAs it stands, Flowr Corporation is on its way to the $5.70 level, which happens to be the immediate resistance level standing in the way of further upside action. A rally followed by a close above the crucial technical level should open the door for bulls to push the stock higher, in continuation of the long-term uptrend.

What Does Flowr Corp Do?

Flowr Corporation, through its subsidiaries, is engaged in the cultivation, production, and distribution of cannabis and its derivatives. The Company owns and operates large-scale GMP-designed cultivation facilities that utilize unique growing systems.[embed]https://www.youtube.com/watch?v=xBK9-mrBnS0[/embed]

Nasdaq Listing Milestone

Shares of Flowr Corp are once again trending higher after a period of consolidation following the meteoric rise to all-time highs. The Company securing approval for the listing of common shares in the NASDAQ market exchange marks an important milestone as part of 2019 strategic priorities.According to the CEO, Vinay Tolia, listing in the exchange will go a long way in enhancing Flowr Corp capital market objectives. For starters, the Company should be able to gain broader access to investors around the world.Listing on the NASDAQ comes on the heels of Flowr Corp, delivering impressive financial and operational results that underscore growth trajectory. In Q1 Flowr Corp advanced the construction of a purpose built indoor cultivation facility. Plans are underway to bring online four grow rooms as the race to strengthen cannabis production capacity heats up.

“Our team in Kelowna is doing a tremendous job balancing our construction schedule, propagating and harvesting from rooms as they come online, and refining our cultivation process as we dial in our facility. We doubled the number of rooms available for propagation during the quarter and began harvesting from some of the additional rooms in the second quarter,” stated Tolia.

Q1Financial Results

Flowr Corporation also continues to register strong demand for its premium-dried flower. Average net realized price per gram of dried flower sold in the quarter increased 9% to $7.70. Consequently, Flowr Corporation generated gross revenue of $1.8 million. During the quarter, the Company produced 280 kilograms of cannabis up from 259 kilograms as of the fourth quarter.In a bid to build upon Q1 momentum, Flowr Corporation has closed a $13.5 million private placement. The new finances are to be used for general working capital purposes key among them being the construction of Holigen Holdings, the Company’s European operations.Flowr Corporation is also pursuing GMP certification for its cannabis cultivation facilities in Portugal and Australia as it seeks to engage in cannabis exportation.

What Next For Flowr Corp

Flowr had an excellent start to 2019, followed by a pullback from record highs in response to investors taking profits. In our view, the stock remains supported for further upside action as investors take note of underlying developments that affirm the Company’s growth metrics.International expansion, as well as the strengthening of cannabis production capacity, are some of the catalysts likely to fuel further upside action. Listing on the NASDAQ is another development likely to deliver new highs for the stock.We will be updating our subscribers as soon as we know more. For the latest updates on FLWR, sign up below!Disclosure: We have no position in FLWR and have not been compensated for this article.