International Spirits & Wellness Holdings, Inc. (OTCMKTS:ISWH) should be seen as a textbook case example of a deep value opportunity. The idea with deep value is that the market has so completely lost sight of a stock that, even if the company starts to see tremendous success and tells the world about it loudly, no one seems to be listening.
But – and here’s the really important point – eventually, everyone hears it. Eventually, the tape starts to act in a manner that reflects the success story that the company has been telling for some time.
Taking a look at shares of ISWH stock, the first thing you see is a triple-zero sub-penny price per share. It’s hard to get past that idea no matter what else you find out about the company. However, in this case, we would encourage you to look at the rest of the story with an open mind.
Why? Because, according to all reasonable analysis of all available data, the company will be profitable on a gross basis for three consecutive quarters by year end, on better than 100% sales growth on a sequential basis across three totally different lines of business.
And, perhaps more to the point, ISWH is doing business in highly scalable markets, which means these numbers could become enormous if that growth rate continues.
It’s a Whole New Thing!
One of those lines of business is the company’s CBD brand, which is now set for a branding refresh and a major attack on the marketplace. Part of that story, as we found out this morning, is a new partnership agreement with a major player.
“While we cannot fully disclose the identity of the counterparty in this Agreement, we can state that this is a well-known, nationally respected firm that has in-house access to cutting edge technology and a competitive, nationwide marketing and distribution footprint,” stated Terry Williams, CEO of ISWH.
According to the release, this forthcoming agreement is for the appointment of ‘an exclusive manufacturing and marketing partner’ to handle the launch of five new CBD-based wellness products and a comprehensive branding refresh for the P19 CBD brand.
What do we know here? This looks like it will really be a comprehensive brand establishment process, with trademarks, custom digital branding landscapes with websites and storefronts, and social media footprints for all products and themes. And POP, POS sales & marketing guides to go along with each piece.
This may be just exactly what this story needs right now: a fresh start with a big marketing partner capable of nationwide reach and distribution.
Mr. Williams continued, “As soon as the Agreement is fully executed, we will disclose all facts involved. But, given where we know things stand at this point, we felt we had a responsibility to inform our shareholders and the broader marketplace that this deal was in the works and set for completion, and to begin to convey the dramatic impact that this will likely have on our operations going forward. This Agreement sets in motion a process that will put ISWH on the map in the CBD space on a significantly expanded scope and scale.”
If that last sentence is true, then this stock isn’t going to stay at $0.0003/share for much longer.