Medical Marijuana Inc (OTCMKTS:MJNA) has been a consistent underperformer in the cannabis space. In fact, it’s probably worse than that. The company is a factory of hype that has chronically sucked retail investors in to fleece them of cash over the years. One look at the stock’s monthly chart should suffice to prove this point.
To get the ball rolling again after its recent brutal decline, the company just announced that its subsidiary Kannaway® has opened a distribution center in Hong Kong.
Medical Marijuana Inc (OTCMKTS:MJNA) casts itself as an investment holding company that operates in the medical marijuana and industrial hemp markets. Its products range from patented and proprietary based cannabinoid products to seed and stalk or isolated high-value extracts manufactured and formulated for the pharmaceutical, nutraceutical, and cosmeceutical industries.
MJNA’s subsidiary, Kannaway, LLC, is a network sales and marketing company specializing in the sales and marketing of hemp-based botanical products. Kannaway currently hosts weekly online sales meetings and conferences across the United States, offering unique insight and opportunity to sales professionals who are desirous of becoming successful leaders in the sale and marketing of hemp-based botanical products
MJNA licenses its proprietary testing, genetics, labeling and packaging, tracking, production, and standardization methods for the medicinal cannabinoid industry. It engages in the research and development of cannabinoid-based pharmaceuticals; and marketing and distribution of cannabidiol hemp oil-based products.
In addition, MJNA provides management support and services to cooperatives, collectives, health and wellness facilities, and medical clinics, and consulting and securities services to businesses and individuals in the legal cannabis industry. Further, it focuses on the treatment of pain and other medical disorders with the application of chewing gum-based cannabis/cannabinoid medical products, sportswear and more.
According to company materials, “Our mission is to be the premier cannabis and hemp industry innovators, leveraging our team of professionals to source, evaluate and purchase value-added companies and products while allowing them to keep their integrity and entrepreneurial spirit. We strive to create awareness within our industry, develop environmentally friendly, economically sustainable businesses, while increasing shareholder value.”
As noted above, MJNA just announced that its subsidiary Kannaway® has opened a distribution center in Hong Kong.
“Hemp has a long history in Hong Kong and throughout China,” said Kannaway® CEO Blake Schroeder. “We hope that our streamlined operations will help us continue that legacy and offer our customers with the highest quality, affordable cannabidiol (CBD) products in the region.”
Recent action has seen -9% added to share values of the company over the past month of action, a bounce that has taken root amid largely bearish action over the larger time frame. This is emblematic of the stock. MJNA has a track record that includes a number of dramatic bounces. Moreover, the stock has benefitted from a jump in recent trading volume to the tune of 25% over what the stock has registered over the longer term.
Currently trading at a market capitalization of $74M, MJNA has a significant war chest ($6.4M) of cash on the books, which compares with about $9M in total current liabilities. MJNA is pulling in trailing 12-month revenues of $38.2M. However, the company is seeing declines on the top-line on a quarterly y/y basis, with revenues falling at -24.5%. We will update the story again soon as further details emerge.