The signing of an agreement for the purchase of 100 million CBD rich hemp seeds and plans to expand of cultivation and processing footprint are the latest catalysts pushing Hemp Inc (OTCMKTS:HEMP) up the charts. After a minor correction from this year’s high, the stock has bounced back and appears to be on its way to record a new 52-week high.
High turnover in shares traded underscores the upward momentum, which appears to be gaining pace by the day. A surge in trading volume in the recent past can be attributed’ to many factors key among them being operational efficiency as Hemp. Inc. continues to expand its footprint nationwide.
The stock is currently trading at the $0.0359 handle in what appears to be a bounce back after a recent pullback. Recent price action activity points to further movements on the upside as part of a continuation of the long-term uptrend.
Hemp Inc. faces immediate resistance at the $0.40 mark, a close above which could see the stock making a run for its 52-week high of $0.060. On the downside, the stock faces immediate support at the $0 026 mark, below which the short term bear run could accelerate to the $0.02 mark seen as the next substantial support level.
The stock looks like a bounce-back play after a recent pullback, from which investors are likely to push the stock up on easing short selling pressure in the overall cannabis industry.
About Hemp Inc.
Hemp Inc. casts itself as a global leader in industrial hemp boasting of one of the largest multipurpose hemp processing facility. In addition, the company develops products for the medical and recreational marijuana markets. It also owns and operates a website that provides entertainment as well as important news related to the medical marijuana industry.
Why is Hemp Inc. set to Climb High?
The likelihood of Hemp Inc. powering high remains high as the stock has held firm against a sell-off wave that had gripped the overall cannabis and hemp industry. With sentiments in the industry showing signs of improvement, the stock should receive the much-needed support to continue powering high. In addition, there are a string of positive developments that have come into being in the recent past, poised’ to strengthen the stock’s sentiments in the market.
Purchase of 100 Million CBD Rich Hemp Seeds
Hemp Inc. has moved to strengthen its prospects and market share in the Hemp industry with the signing of a letter of intent for the purchase of 100 million CBD rich hemp seeds. Under the terms of an agreement entered with a Californian seed company, Hemp in is to purchase the seeds on a yearly basis for five consecutive years.
Purchase of the 100 million CBD Rich hemp seeds underscores how the company remains focused about expanding its footprint across the U.S as it eyes a big piece of $1.9 billion hemp industry.
“This company’s commitment to expanding access to CBD aligns with Hemp, Inc.’s mission and vision as we continue to expand our footprint nationwide. As we continue to launch Veteran Village Kins Communities in new states, having a reliable source for CBD-rich hemp seeds is imperative to support the cultivation of high-quality hemp,” said Hemp, Inc. CEO Bruce Perlowin.
Nationwide Expansion Drive
Hemp Inc. executive team is currently visiting states across the country as part of a mission to identify viable locations for the opening of industrial hemp manufacturing and processing centers. The company has already unveiled high-end hemp pre-rolls and hemp buds that it says support further expansion of existing processing capabilities.
The pursuit of additional processing facilities should help support operations of the company’s Spring Hope 85,000 square foot industrial hemp processing and manufacturing facility, which recently hit a one-year milestone.
In addition, the company is expanding its sales channel to support its ever-growing processing capabilities. Hemp Inc. has since entered into a joint venture with Dolan Station in Dolan Springs Arizona for the sale of high-end Hemp Inc. products in the state.
“This partnership with Dolan Station near the Veteran Village Kins Community is the first step toward building the nationwide retail infrastructure that will allow us to meet the rising demand for hemp-based products and CBD,” said Mr. Perlowin.
What Next For Hemp Inc.
Hemp Inc. has done an excellent job in strengthening its hemp cultivation and production capabilities as it eyes a bigger share of the multibillion hemp business. Expanded production supported by a robust sales channel all but paves the way for the company to generate significant revenue as it eyes more shareholder value.
For early birds looking for some exposure in the hemp and cannabis sector, here is a stock that looks set to continue powering high supported by solid fundamentals.
We will be updating our subscribers as soon as we know more. For the latest updates on HEMP, sign up below!
Disclosure: We have no position in HEMP and have not been compensated for this article.