Namaste Technologies
Cannabis

Namaste Technologies Inc (OTCMKTS: NXTTF) Breakout To The Upside Likely

Namaste Technologies Inc (OTCMKTS: NXTTF) poor run in the market appears to have hit a crucial support level as bulls slowly come into the fold.  Just as was the case in our previous update, the stock presents an ideal discount entry opportunity having hit the floor and due for a correction higher.

NXTTF Price Action Analysis

A 60% plus spike from all-time lows could as well signal a major correction on the upwards after the underperformance of the past year. A move to strengthen the company internally, with experienced management, is one of the catalysts strengthening the stock’s market sentiments.

In addition to ongoing restructuring, Namaste Technologies has also completed a string of strategic investments as it seeks to reinvigorate its growth prospects. The share acquisition of Pineapple Express Delivery is poised to expand the company’s footprint into Canada’s cannabis delivery business.

The company is also expanding its toes into the edible market, having acquired a 49% stake in Choklat to kick-start the drive. While the stock has paid a heavy price on the Company failing to issue financial results for the full year ended December 31, 2018, it has once again started edging higher.

A 60% plus rally from all-time lows has opened the door for the short-term momentum to turn bullish. A rally followed by a close above the $0.64 immediate resistance level should pave the way for the stock to make a run for this year highs of $1.20.

NXTTF Daily Chart

A rally followed by a close above the $1.20 mark is what is needed for Namaste Technologies to turn bullish given the descending trend line. Conversely, failure to take out the $0.64 mark would leave the stock susceptible to further drops as bears remain in firm control below the critical resistance level.

About Namaste Technologies

Namaste Technologies operates as an e-commerce company in the cannabis sector. The company engages in the sale of vaporizers as well as other smoking accessories in the e-commerce platform in over 20 countries. It also engages in the distribution of medical cannabis products.

Why is Namaste Technologies Bottoming Out?

Shares of Namaste Technologies have started bottoming out in the wake of the Company confirming the formation of an audit committee as part of an ongoing restructuring drive. Keneth Jones has since been appointed to the board of directors as the chair of the audit committee.

He joins the company with vast experience and in-depth knowledge in private and public sector operations.  The appointment comes at a time when Namaste Technologies is exploring ways of gathering expertise and strength in a bid to strengthen the core business.

“We are focused on making changes internally and delivering results externally. We expect that these changes will have a positive impact in the short, medium, and long-term outlook of the Company,” explained CEO Meni Morim.

Choklat and Pineapple Express Delivery Investments

The setting of an audit committee also comes at a time when Namaste Technology is exploring strategic initiatives as it seeks to reinvigorate its growth prospects. In March, the Company completed a 49% stake acquisition in Toronto-based Pineapple Express Delivery.

With the acquisition, Namaste Technologies gains access to a premier delivery Company that should help support growth in the Canadian Cannabis sector.

The investments affirm the Company’s strategy of investing in innovative companies that bring value to the Company and the broader market.

“Having Pineapple Express, as part of our family is an efficient way to get medicinal cannabis to customers in the Greater Toronto Area and across Canada as quickly and efficiently as possible. We remain focused on the execution of our 2019 strategy and are pleased to have seen this project through,” stated Mr. Morim.

The investment also comes on the heels of Namaste Technology confirming entry into the cannabis edibles market with the acquisition of a 49% stake in Choklat. The investment should strengthen the Company’s e-commerce operations as Choklat boasts of an online e-commerce platform supported by a robust network of distributors across Canada.

What Next For Namaste Technologies

Namaste Technologies is on its way out of all-time lows. The strategic investments carried out should continue to strengthen the market sentiments ideal for fuelling further upside action. The setting up of an advisory board should also allow the Company to uncover new investment opportunities ideal for creating shareholder value.

A plunge to all-time lows in our view presents an opportunity to buy Namaste Technologies as a discount entry opportunity.

We will be updating our subscribers as soon as we know more. For the latest updates on NXTTF, sign up below!

Disclosure: We have no position in NXTTF and have not been compensated for this article.

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Namaste Technologies Inc (OTCMKTS: NXTTF) Breakout To The Upside Likely
1 Comment

1 Comment

  1. Insider Jones

    May 26, 2019 at 1:26 am

    Its going to crash big time when they finally release the Quarterly results that suppose to be of May 2019. Financial results are going to be terrible.

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