Post election day, the price action on most of the marijuana stocks have consolidated providing a perfect opportunity for traders and investors to get in and ride the uptrend pending further positive news. Today’s OTC marijuana stocks in focus are: Marapharm Ventures Inc. (OTCMKTS:MRPHF) and Terra Tech Corp (OTCMKTS:TRTC)
Marapharm Ventures Inc. (OTCMKTS:MRPHF) announced today that it has entered into agreement to purchase an industrial facility in southern California and three (3) medical marijuana licenses for manufacturing, cultivation, and retail uses. This is in addition to the transaction described in the news release dated November 14, 2016. As per the press release, “the land size is 0.32 acres and the existing building size is 2,756 square feet, with an 18-foot-ceiling clearance, for a purchase price of $950,000.00 USD, based on a purchase price of less than $350 USD per square foot”. This is a great news for Marapharm Ventures Inc. (OTCMKTS:MRPHF) traders and investors as just a few days ago, MRPHF hit high of 1.87 and closed at a $ a share yesterday. Today’s news can very well serve as a stimulus for renewed interest from Wall Street in this MMJ sector stock.
Another stock MMJ sector stock in focus is Terra Tech Corp (OTCMKTS:TRTC). TRTC was a big disappointment in Monday trading session having shed 14.76% in market value to close the day at lows of $0.320 a share. Given the recent swings in the market, the crash should be a point of concern to investors as the overall industry is enjoying a bull run. The stock edging lower in the market could also be interpreted as a minor pullback pending a major run on the upside.
Terra Tech next step from the current lows is highly dependent on various factors. The company registering a 34.4% increase in revenue in the third quarter all but affirmed growth prospects at hand, especially with the recent legalization drive of marijuana in the US.
Chances of Terra Tech powering higher in the market going forward is very high especially with the expansion of the target market in the U.S. The company is aggressively expanding its footprint with the opening up of new dispensaries in California and Nevada as part of its expansion drive in pursuit of growth opportunities.
The company’s Edible garden segment that produces local and hydrophobic foods also continues to report strong performance having registered a 34% year over year increase in revenue in the third quarter. Terra Tech has also revamped its sales channels with the inclusion of Wegman Supermarket as it continues to reaffirm its growth prospects.
While the company appears to be doing extremely well o product development and operational efficiency there are other factors that could significantly affect the stock’s upward momentum. Concerns about what the Donald Trump administration has in store on the policy front could spell trouble for the overall industry significantly affecting Terra Tech.
A hard stance on the use of Marijuana by the Republican government is seen as bad for the industry given that the same would go a long way in affecting operations.
Terra Tech Corp (OTCMKTS:TRTC) as it remains is a safe bet in the industry even with the recent pullback. The company having shown that it can generate revenues should point to a bright future, should the Federal government not pass stringent laws in a bid of regulating the industry.