For those who haven’t kept an eye on Cannabis Science, Inc. (OTC:CBIS), it exploded back in late February and has been breaking support after support since then.
Yesterday, CBIS closed 1.18% down at $0.042. The volume was barely 253 thousand.
The company’s policy of issuing press releases, which for the most part don’t give anything to be excited about, may be one of the reasons CBIS is in this situation.
The most recent PR is a decent example. It essentially announces negotiations to commercialize the company’s anticancer cannabis formulations. The groups involved in these negotiations aren’t mentioned; no dates or even projected time is revealed either.[BANNER]
Little wonder the PR couldn’t do much more than bring some volume to CBIS that day (May 24).
The financial situation of CBIS is hardly inspiring too. The latest report is for the quarter ended Mar. 31. At that time the company had:
- $13,589 total current assets
- $1.6 million total current liabilities
- $11,290 revenue
- $2.8 million net loss
Additionally, for the first three months of 2011 the stock was diluted approximately 32%.
Keeping that in mind, it’s hard to say something positive about CBIS. On the other hand, the sector CBIS is in has potential. Furthermore, the company has managed a spike or two, which could have been profitable for the more savvy investors.
