Let's look at THCZ more thoroughly. A) The comp
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A) The company has a real, tangible product that has a potential to generate revenues. Unlike some of the other shady penny stocks, this company is developing a real product which appeals to consumers and has the potential to bring in revenues at larger sale volumes. The product is not sold in a shady market; it is on Amazon.com and has hundreds of consumer reviews that are generally positive. There appears to be a demand for the product based on its appealing taste without the bad side effects, sugar crash, or aftertaste of the other popular energy drinks. If this company can promote its product to a larger audience, and increase its consumer base, there is a very good chance that it can grow its revenues substantially.
Comparable energy drinks have been very popular during the past few years, and companies who have known how to promote their energy drinks to a wide audience have done very well financially. You can review some of the other energy drink stocks to see their performance. Recently, Mati Energy drink emerged as the grand winner at the Google Demo Day (which showcases start-ups that are pitching to investors), securing $100K from AOL co-founder Steve Case.
C) THCZ share price was moving at a healthy, steady rate. THCZ share price began to rise once they announced that their product was approved for general public consumption and that they were bringing their product to Amazon (giving it more exposure). The share price continued to climb steadily as the first cases of the product were sold out on Amazon. And then the share price continued to climb steadily when the consumer reviews can in showing positive response to the products. The rise in the share price was at a healthy rate, with steady incremental daily rises. Then the share price jumped up greatly and fell down hard, resulting in great volatility and an inquiry from the exchange. The highly volatile stock was marked with a cautionary symbol to warn investors that there is a high potential for the stock price to swing greatly up or down. If the share price increases revert to an orderly and steady upward path, then all should be well.
D) I'm glad to see that the company acted quickly to distance itself from paid stock promoters. It shows integrity and focus on their product rather than focus on their stock price. It is also comforting to know that the company has decent management and legal representation in place to help keep them on a legitimate path. I'd prefer to see a company that is focusing on its product and sales rather than their stock price and wall street.
E) The share price began to rise on news that the company was releasing its product to the public. It continued to rise on better-than expected sales and good reviews from consumers. Now, in a few weeks, there will be more news about the next batch of product being released. Perhaps this will generate the same react in investors as the first batch did. The company needs to expand its marketing and promotion of the product, especially to states where their target audience resides. Additionally, if the product tastes so great and works so well, the company should consider re-branding the product under an additional name that appeals to the athletic or health-conscious consumer, who is looking for an energy drink without the sugar crash and bad side effects. The may be able to promote the product in the earth-conscious grocery chains and health stores, as well as gas stations and truck stops. The potential consumer audience is vast.
F) At $0.13/share, the share price is still very attractive. It doesn't take a large sum of money to get a decent sized share of the business. When the next batch of announcements comes out in middle April, disclosing the new products that are shipped to Amazon and retailers, the stock price will most likely react, one way or another.
G) Many of the third-party stock blogs and stock review websites pay their writers in relation to how much traffic they generate for the website. Many times, the writers will write controversial articles to generate more traffic, especially on hot topics. I have also that certain websites, like SeekingAlpha, are mostly maintained by short sellers who search out stocks that are rising quickly, purchase shares of the stocks, and then publish articles which dredge up everything negative they can find about the stock. I have seen many examples of this, and in many cases, the facts don't line up with reality, or the facts are muddied in confusion generated by the fact that the small OTC companies don't have clear reporting of their businesses.
If anyone else has thoughts on the future of the products and the company please feel free to share. i think that it may take many more months to establish a decent consumer base, and maybe several years to reach the kind of popularity that Monster and RedBull have achieved. it will also require some more aggressive marketing and promotional campaigns to get the general public aware of this product. If this product is as great as the consumers are making it out to be in the reviews, then there is an extremely large audience out there who would enjoy the product greatly, including hemp enthusiasts as well as health-conscious consumers. There is a lot of potential with this company if things are run well and opportunities are seized.