National Access Cannabis Corp (OTCMKTS:NACNF) A Fundamentally Attractive Investment

National Access Cannabis Corp (OTCMKTS: NACNF) touting $20 million worth of retail cannabis sales could explain why the stock has taken a flight in recent months. The company delivering yet another record-breaking quarter also continues to fuel the upward momentum.

NACNF Share Price Analysis

Expansion of retail operations into Saskatchewan is another development that continues to strengthen investor confidence about the company’s long-term prospects. National Access Cannabis Corp is also fresh from completing the acquisition of New Leaf Emporium as it continues to pursue organic growth.In recent months, the stock has continued to climb higher on pullbacks in the market. A 60% plus spike in share price affirms renewed investor interest in the stock who have continued to fuel the upward momentum.National Access Cannabis Corp has once again pulled back from highs of $0.75 in what appears to be a minor correction pending further movements on the upside. Immediate support on the ongoing pullback is seen at the $0.64 mark, from where the stock is likely to continue edging higher in continuation of the emerging uptrend. NACNF Daily ChartA breach of the $0.64 support level, on the other hand, could result in further drops probably back to the $0.56 mark, which happens to be the next support level.Above the $0.56 mark, National Access Cannabis Corp remains well supported and likely to continue powering high after turning bullish in 2019.

What Does National Access Cannabis Corp Do?

National Access Cannabis Corp owns and operates medical cannabis clinics in Canada. In the clinics, the company offers cannabinoid educational services as well as medical cannabis treatments for patients through a network of physicians.

Expanding Retail Network

A spike in share price and trading volume comes on National Access Cannabis Corp delivering impressive financial results that underscore underlying growth. A 766% increase in Q1 revenues that came in at $3.8 million is a development that strengthens the stock’s market sentiments, consequently triggering the upward momentum. Gross margin in the quarter expanded to 32%.According to the Chief Executive Officer, Mark Goliger, 2019 will be a foundational year building on the success of last year. Expansion of the retail cannabis footprint should allow the company to generate significant revenues building on the momentum of last year.National Access Cannabis has a total of 23 cannabis retail locations in operation with 14 in Alberta and 9 in Manitoba. The company intends to open an additional five in Manitoba as part of its growth strategy.

“We are very proud of our team for the strong sales results generated in the early days of Canadian recreational legalization, and are well-positioned to generate additional growth and value for shareholders as we continue to open new stores in the coming year and as existing stores mature,” explains Mr. Goliger.

Sales Growth

National Access Cannabis has already started reaping the rewards of a robust retail network. Its cannabis sales have more than doubled to $20 million in 140 days since Canada legalized recreational use. The company is now ranked as one of the largest private retail cannabis operators with 23 retail locationsWhile still in the early days of growth in the industry, the Chief Executive believes there is still some room for growth as the company continues to pursue more opportunities for delivering shareholder value.

“With the LGCA and AGLC reporting improved inventory for spring 2019, more stores expected to come online in Manitoba in the next quarter, positive movement with our applications in British Columbia, and a streamlined store design to better manage fixed costs and capex, we're confident that our revenue momentum will continue for the foreseeable future,” added the CEO.

What Next For National Access Cannabis Corp?

National Access Cannabis Corporation bounce back continues to gather pace after shedding a significant amount of market value in 2018. Investor confidence in the company has inched higher in recent months as investors take note of the company’s robust retail network, ideal for enhancing revenue growth.The company transitioning into a revenue-generating entity is a development that continues to strengthen the company’s market sentiments. With revenues growing at an impressive rate it goes without saying that National Access Cannabis Corp is emerging as an exciting pick for investors eyeing stakes in the multi-billion-dollar sector.The stock is likely to continue edging higher given the improved fundamentals and the fact that there is a lot of room to move on the upside.We will be updating our subscribers as soon as we know more. For the latest updates on NACNF, sign up below!Disclosure: We have no position in NACNF and have not been compensated for this article.