North American Cannabis Holdings Inc (OTCMKTS: USMJ) e-Commerce Sales Key To Growth

Shares of North American Cannabis Holdings Inc (OTCMKTS: USMJ) are struggling for direction after succumbing to bearish pressure in recent years. The stock remains engulfed in a long-term bear trend below the $0.01 psychological level.

USMJ Catalysts And Price Analysis

The stock has struggled to bottom out, even on the broader cannabis sector turning bullish in recent months. However, a string of positive news could fuel a bounce back as they continue to strengthen investor confidence in the company.Top on the list, as a potential price action catalyst, is the confirmation that the company’s e-commerce site continues to gain traction in the multi-billion industry. The site is spearheading the company’s transition into a logistics service provider in the cannabis sector.North American Cannabis Holdings has also inked a string of strategic partnerships as it seeks to strengthen and expand the array of cannabis products available on the e-commerce site. USMJ Daily ChartAmidst the developments, the stock has struggled for direction as it continues to languish at the $0.0005 level. It awaits to be seen of the serving of groundbreaking catalysts will go a long way in fuelling an upward momentum needed to push the stock back to the $0.01 level, last experienced in 2016.

What Does North American Cannabis Holdings Do?

North American Cannabis Holdings operates in the legal cannabis market with subsidiaries. The company conducts pilots in the sector with a view of exploring high growth potential business opportunities. North American Cannabis Holdings also offers raw hemp seeds and other hemp infused foods as part of its product line.

e-commerce Sales Growth

North American Cannabis Holdings transition into a logistics service provider could be the catalyst that will reinvigorate its prospects in the multibillion-cannabis industry. The unveiling of an e-commerce site has opened the door for the company to focus on cannabis products sales, a business that is not capital intensive.The company has already started recording an increase in sales in its e-commerce site. Sales have been increasing steadily as the company continues to address the strong market demand following recreational use legalization in a number of states.

Strategic Partnerships

Some of the products the company offers in the e-commerce site include Hemp4mula CBD Gum from Kali Inc (OTCMKTS: KALY), as well as EVERx CBD, sports Water developed by Puration Inc (OTCMKTS: PURA). In the recent past, the company has solidified its partnership with WCVC last year. The two entered into an agreement last year whereby WCVC agreed to manage the rollout f Americana Café founded By USMJ.

“In the 4th quarter of 2018, USMJ spun off its Americana Cafe business through the execution of a securities exchange agreement between USMJ and PJET. USMJ has sold its AmeriCanna Cafe business in exchange for a convertible purchase note issued by PJET. Neither USMJ nor PJET are executing a reverse split in conjunction with this transaction,” North American Cannabis Holdings in a statement.

In March, North American Cannabis Holdings entered into an agreement with West Coast Venture Group. Under the terms of the agreement, WCVC has agreed to manage the rollout of AmeriCanna Café in Denver. WCVC has also decided to advance the relationship into an equity partnership so that its shareholders can benefit from the appreciation of the cannabis business it is already managing.

Bottom Line

North American Cannabis Holdings remains engulfed in a long-term bear trend and in dire need of groundbreaking catalysts to bottom out. The past few years have been tough as the company has struggled to reaffirm its long-term prospects and growth metrics. The stock taking a significant hit and tanking below the $0.01 mark thus does not come as a surprise.However, the company confirming that it continues to experience a steady increase in sales in its newly launched e-commerce platform is a development that should continue to excite investors. The company has already inked strategic partnerships with some big brands.Sales growth in the e-commerce platform is a development that should continue to prop up USMJ market sentiments. With that in mind, the stock is likely to bottom out as market sentiments improve.We will be updating our subscribers as soon as we know more. For the latest updates on USMJ, sign up below!Disclosure: We have no position in USMJ and have not been compensated for this article.