Terra Tech Corp (OTCMKTS:TRTC) Due For A Short Squeeze

Terra Tech Corp (OTCMKTS:TRTC) remains under pressure even on serving a number of catalysts that in normal circumstances would have strengthened its sentiments and prospects in the market. Since the start of the year, the stock has lost more than 60% in market value as short sellers continue to push the stock lower.A wider than expected net loss for the second quarter is a development that appears to have spooked investors and one of the reasons why the stock remains subdued in the market. However, the company continues to register robust growth on revenues helped by the signing of supply agreements. TRTC Daily ChartTerra Tech is currently trading at the $1.79 mark, in what appears to be a continuation of a bear run that began early in the year. Taking into consideration, the bear run, the stock remains susceptible to further declines as short sellers remain in control.A rally followed by a close above the $2.16 mark, which is the immediate resistance level, could arouse suggestions that the stock has bottomed out. Until then it may be wise to watch from the fringes given the strength of the downward pressure.About Terra Tech Corp.Terra Tech bills itself as a vertically integrated cannabis-focused company. The company operates multiple subsidiaries including Blum, Edible Green and MediFarm that provide it with exposure to two key segments of Herbs and produce products as well as Cannabis Dispensary, cultivation and production.Recent DevelopmentsIt comes as a surprise that Terra Tech is trading lower given the milestones it continues to achieve in the cannabis sector. Operational efficiency appears to have inched a notch higher depicted by stellar financial results.For the three months ended June 30, 2018, the cannabis-focused company generated topline revenues of $8.7 million representing an 11% year-over-year increase. Gross margin in the quarter expanded to 25.3% from 19.2%.Apart from a net loss of (-$11 million) compared to a net loss of (-$0.5 million) reported a year earlier, Terra Tech appears to be doing well when it comes to the execution of its growth strategy.

“During the second quarter of fiscal 2018 we focused on both growing topline revenues, which reached $8.7 million for the quarter, and investing in building out infrastructure to support our longer-term growth strategy,” said Derek Peterson, Chief Executive Officer of Terra Tech.

Terra Tech Expansion DriveThe company’s dispensaries continue to register robust sales as recreational marijuana marketplace continues to gain momentum. In Nevada, the company maintains a significant footprint in both retail and cultivation. Terra Tech has secured retail permits for dispensaries in California as it continues to expand its empire in the fast-growing industry.Terra Tech has also acquired a 25% stake in The Healing Tree Collective Inc., a California based cannabis dispensary. The acquisition provides the company with access to a retail permit expected to be valuable going forward, in addition to providing it with access to new revenue opportunities.Stop & Shop- Giant Landover Supply DealTerra Tech supply channels are set to receive a boast on its wholly-owned subsidiary Edible Gardens signing a deal to supply Stop & Shop and Giant Landover Supply Deal organic leafy greens. The company is to make its first shipments in the fourth quarter.Stop and Shop owns a chain of supermarkets as well as stores across the northeastern United States. Giant Landover, on the other hand, comes into the deal with a chain of 169 stores and 159 full-service pharmacies.

“Being selected by Stop & Shop, shows the level of trust and confidence in our Edible Garden’s products and further deepens our relationship by providing access to a greater number of the chain’s retail outlets,” said Mr. Peterson.

Valiente Group PartnershipIn addition, Terra Tech has teamed up with Valiente Group to come up with a new line of cannabis-infused beverages under its IVXX brand. The non-alcoholic cannabis-infused beverages that the two are working on include Champagne, apple cider, and lemonade.What Next For Terra Tech after SlumpTerra Tech is without a doubt one of the stocks that have felt the full force short selling pressure in the cannabis sector. While the bear run in the market is a point of concern, one cannot dispute the fact that the company has continued to fire on all cylinders when it comes to operational efficiencies.Revenue growth in the recent quarter is a testament that the company is headed in the right direction as it continues to ink deals geared towards strengthening its product pipeline and sales channel. That said the stock is due for a bounce back, could happen on investors taking mote of the underlying fundamentals.We will be updating our subscribers as soon as we know more. For the latest updates on TRTC, sign up below!Disclosure: We have no position in TRTC and have not been compensated for this article.