The Greater Cannabis Company Inc (OTCMKTS: GCAN) Finally Bottoms Out - Insider Financial
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The Greater Cannabis Company Inc (OTCMKTS: GCAN) Finally Bottoms Out

The Greater Cannabis Company Inc (OTCMKTS: GCAN) has started bottoming out from the lower end of a tight trading range, supported by high turnover in traded shares. A spike in share price, as well as market activity, follows the announcement that the developer of cannabinoid delivery systems is poised to expand into the cannabidiol beauty, cosmetics, and self-care markets.

GCAN Catalysts And Share Price Analysis

The company has also moved to strengthen its prospects in the cannabis sector with the confirmation of a clinical study targeting the patented eluting patch technology. Early in the year, the company signed a distribution agreement with Israel Cannabis Ltd as part of a commercialization drive of the eluting patch technology.

In the recent past, the company has entered into a strategic partnership with Allume Cosmeticos as it eyes the development of a new line of CBD infused cosmetic products. Investors have reacted by pushing the stock up the charts, depicted by a 70% spike from the lower end of the $0.08 to $0.28 trading range.

GCAN Daily Chart

Price action indicates that the stock is likely to make a run for the higher end of the trading range, given the solid fundamentals that support further upside action. While the stock is currently trading sideways, a rally followed by a close above the $0.28 technical level would result in the stock turning bullish.

Above the $0.28 mark, Greater Cannabis Co should be on its way to 52-week highs of $0.74. Conversely, a violation of the $0.08 support level could leave the stock susceptible to further drops probably back to 52-week lows.

What Does Greater Cannabis Company Do?

Greater Cannabis Company is a biopharmaceutical company engaged in the development and commercialization of innovative cannabinoid delivery system. The company boasts of proprietary patented technology for use in the cannabis sector. In the recent past, the company has expanded its operations to focus on the development and sale of cannabis products.

Why is Greater Cannabis Company Rallying?

Shares of Greater Cannabis Company are flying high following the confirmation that the company is working on a new line of cannabis-infused cosmetics products. Expansion into the cosmetics self-care and beauty markets is part of the company’s bid of diversifying its operations in the multi-billion industry.

The company has already started the formulation and commercialization of a new line of products for cosmetics and skincare applications. While the company faces stiff competition from the likes Walgreens Boots Alliance Inc. (NASDAQ: WBA), CVS Health Corp (NYSE: CVS) and Sephora that have expanded their footprint into the sector CEO, Aitan Zacharin, maintains Greater Cannabis Company is up to the challenge to compete for value.

According to the CEO, they should be able to meet market demand for CBD infused and cosmetics products thanks to their proven technology coupled with the high stability of product formulation.

“CBD has a broad range of benefits in topical application, including antioxidants for anti-aging, anti-inflammatory for acne and more. But bioavailability and stability are enormously important to its effectiveness, which is our significant competitive advantage,” explained Mr. Zacharin.

Brazil Strategic Partnership

Greater Cannabis Company has already partnered Brazil-based Allume Cosmeticos to develop a new line of cosmetics products. Under the terms of the agreement, the biotechnology company is to leverage; its proprietary eluting technology to infuse pharmaceutical grade cannabidiol Allume’s CBD based cosmetic products.

Eluting patch Platform Commercialization

Even as Greater Cannabis is working on coming up with new, CBD infused cosmetic products it is also focused on generating some value from its Eluting Patch Platform. Early this year the company signed a letter of intent with iCAN Cannabis for the distribution of the innovative delivery system into key global markets.

“We are excited to establish this important partnership in the medical and adult-use cannabis industry. We are focused on transactions that will accelerate the commercialization of our products, and the iCAN deal does that globally. iCAN shares our enthusiasm for seeing healthier, standardized, pharmaceutical-grade, and more cost-effective cannabis products introduced into the market,” stated Mr. Zacharin.

Bottom Line

Greater Cannabis Company expanding into the CBD cosmetics and beauty market is a development that further strengthens its prospects in the cannabis sector. The expansion should diversify the company’s other business of selling cannabis delivery systems and in the process provide another reliable stream of revenues.

That said the stock looks set to continue its solid performance in the market as investors take note of the company’s tremendous potential given the expansion drive.

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

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

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The Greater Cannabis Company Inc (OTCMKTS: GCAN) Finally Bottoms Out
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