New Age Brands Inc (CNSX: NF) In Need Of Catalysts

New Age Brands Inc (CNSX: NF) is under pressure even on announcing the launch of industry’s first disposable vape pen, equipped with a micro USB port. Amidst soaring short selling pressure, the stock has plunged to two year lows. As it stands, the stock’s prospects have turned from bad to worse.

NF Share Price Analysis

The stock has continued to succumb to short sellers in line with the underlying long-term bear trend. The company announcing the consolidation of all issued and outstanding share capital has had little or no impact in averting further slide of the stock.With the stock currently languishing near all-time lows, new groundbreaking catalysts are needed to avoid further implosion. If recent price action is anything to go by, then New Age Brands could as well be headed back to lows of $0.01 a share. NWGFD Daily ChartFor the stock to turn bullish, in the short term, then it will need to rise and stabilize above the $0.05 mark. The $0.05 mark is a critical resistance level that bulls protected before the stock imploded and dropped further.

About New Age Brands

New Age Brands bills itself as an agricultural services company focused on offering turnkey growing infrastructure and services. The company clientele base is mostly made up of licensed growers as well as processors of luxury marijuana crops. Through its wholly owned subsidiary, we are Kured and Drink Fresh Water, the company is engaged in the development and distribution of CBD products.

Vape Pen Development Milestone

With New Age Brands, prospects turning sour by the day We are Kured might hold the key in averting a further slide of the stock. The subsidiary has continued to achieve significant progress on the development and launch of groundbreaking CBD products and accessories.For starters, the subsidiary has embarked on a commercialization drive following the unveiling of its disposable CBD Vape Pens. The products are currently available in Paris France the company having inked a deal with one of the largest chains as part of its sales strategy.

“We didn’t know how big the CBD market was in France, but the French are proving to be just as enthusiastic about the benefits of CBD as Americans are!,” said Benjamin Martch, New Age Brand’s Chief Marketing Officer.

Europe Expansion

The pursuit of sales opportunities in France is part of New Age Brands European expansion drive after recent successes in South America. The company is targeting deals with a number of CBD stores in Paris, as it also continues to explore other European markets.The company is currently working on a first of its kind disposable CBD Vape Pen equipped with a Micro USB charger. The new vape pen should go a long way in strengthening the company’s product line ideal for targeting a broader target market.

“Being that our in-house oil is tested at over 40%, along with our terpenes profiles from Israel, we are finding that around 2-5% of our current pen batteries are dying before the oil is gone. We wanted to fix this problem without compromising our oil, so we had our manufacturer develop a top tier vape pen which consumers can charge with a house-hold micro USB,” Martch in a statement.

Even as the company continues to strengthen its product pipeline, it has confirmed plans to consolidate all issued and outstanding share capital. The consolidation process will result in the reduction of the company’s outstanding shares to approximately 7.7 million.

Bottom Line

Investor sentiments at New Age Brands are at an all-time low as bears remain in firm control. For the stock to bottom out from current lows, then the company will have to serve a string of groundbreaking catalysts.The company needs to start generating some revenues from its newly released products to reinvigorate investor sentiments. While expansion into Europe is a good move, the company needs to prove that it is gaining traction, key to revenue growth.That said it might be wise to maintain some caution and wait for further confirmation to see whether New Age Brands has what it takes to bounce back.We will be updating our subscribers as soon as we know more. For the latest updates on CNSX: NF, sign up below!Disclosure: We have no position in CNSX: NF and have not been compensated for this article.