Clean Channel Upward with Excellent Visual ConsolidationSince March lows this stock has been making clear moves up in both ascending and descending wedges with meaningful periods of consolidation after the move up as it makes it way through the Fib Extensions while consolidating along them. Keeping a solid uptrend along the 8EMA its periodically dipped into the 15 EMA for a recharge and seldom needed to bounce off the 50MA. Its most meaningful move up was off the golden cross mid August and is holding the uptrend within a clear channel. I expect this to continue upwards with consolidation along the Fib Extensions. The dichotomy between the sizes of the TTM mountains (positive vs negative) is a major indicator that there's not much selling pressure during consolidation.
CXXI
C21 Investments - Light at the end of the tunnel?Short and crisp.
Q.2 Numbers were ok. At least one cannabis company that earns money and thus the company delivers what everyone expects. Increasing turnover but above all also profits!
Weekly closing price above 0.71 CAD unlocks the next target at 0.88 CAD.
If this is also taken out at weekly closing, maybe it could run to 1.20 CAD.
If a weekly closing less than 0.71 CAD another downturn should not surprise.
Highlights
- Net sales increased 27% to $9.86 million in the second quarter compared to $7.76 million in the first quarter
- Adjusted EBITDA was $0.8 million, compared to $0.2 million in the first quarter
- Slight increase in gross margin to 44% (43% in Q1)
- The acquisition of Swell Companies was completed on May 24, 2019 and the C21 portfolio was expanded to Hood Oil and Dab Society brands.
- Hood Oi brand sold 36,000 units at the beginning of the year, with sales in excess of $1 million.
- Customer growth in Nevada to 159,932 customers compared to 139,392 in the first quarter