Liberty Health Sciences Inc (OTCMKTS:LHSIF) is showing signs of bottoming out from all-time lows. Recent price action activity has seen the stock register higher-lows, in what is turning out to be a turnaround, after the underperformance of 2018.
Catalysts And Share Price Analysis
The upward momentum is supported by string positive developments that continue to affirm the company’s prospects in the industry. For starters, the company is fresh from opening a new dispensary in North Miami, as part of its aggressive expansion drive.In addition, Liberty Health Sciences has secured a GMP certification paving the way for it to commence operations at a new 10,000 square foot cannabis processing facility. With cannabis production capacity set to receive a boost, the company could as well be on its way to a record year on cannabis production, expected to lead to revenue growth.The stock is already up by more than 15% for the year as it continues to trade in an uptrend. The emerging uptrend faces immediate resistance at the $0.85 level. A rally followed by a close above the resistance level should affirm the uptrend, setting the stage for the stock to continue powering high.Liberty Health Science needs to rise and stabilize above the $0.91 mark to open the door for more bulls t come in and continue pushing the stock up. A rally followed by a close above the $1.20 mark should mark the end of the long-term bear trend, opening the door for the stock to bounce back to 52-week highs of $1.36. LHSIF Daily ChartBelow the $0.91 mark, the stock remains susceptible to further drops given that short sellers remain in firm control, as part of the long term bear trend that began late last year. Immediate support is seen at the $0.70 mark below which the stock could continue edging lower back to 52-week lows of $0.47.
About Liberty Health Sciences
Liberty Health Sciences casts itself as a cannabis-focused company, engaged in the production and distribution of medical cannabis. The company has set sights on the Burgeoning Florida market where it has launched a number of operations. In addition, it has inked a strategic partnership with Veterans Cannabis Project, for the research of Cannabis in the treatment of trauma.
Florida Expansion
Liberty Health Sciences has started bottoming out in response to the fact that its Florida cannabis operations are gaining traction. The company is fresh from opening a new dispensary in Miami, bringing its total dispensary footprint in Florida to Nine.The new dispensary is strategically located in a high traffic area, where the company expects huge traffic of customers in search of medical cannabis. The new dispensary will offer the company access to a wider target market, across neighboring cities of Edgewater, Little River, and Miami Shores.
"Liberty continues to fulfill its promise to provide our Florida customers with access to the highest-quality medical marijuana throughout the state, including increasing our capacity to provide premium quality products developed at our Liberty 360 Innovation Campus in Gainesville, where we expect to add an additional 160,000 square feet of cultivation space this year," said George Scorsis, CEO of Liberty.
GMP Certification
In addition to the new store opening, Liberty Health Sciences has also a secured a GMP Certification for a second Florida Cultivation manufacturing and processing facility. Certification of an additional facility is a major milestone, as it paves the way for the company to ramp up cannabis production in a bid to meet growing demand in the market.The certification is for a new 10,000 square feet facility located at Liberty 360 innovation Campus. The new facility will supplement production works of a 20,000 square feet cultivation space, in the same Campus, as well as a 40,000 square feet facility Alachua property
Bottom Line
Liberty Health Sciences is on its way to an impressive year when it comes to Cannabis production. The opening of a new production facility is a development that should allow the company to ramp up production, to meet growing demand and in the process generate significant returns.The opening of a new dispensary also paves the way for the company to strengthen its sales channel by targeting wider medical cannabis audience across Florida. That said the stock looks set to continue edging higher, after bottoming out, in line with the bullish momentum in the cannabis industry.We will be updating our subscribers as soon as we know more. For the latest updates on LHSIF, sign up below!Disclosure: We have no position in LHSIF and have not been compensated for this article.
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