The share price of Hemp Inc (OTCMKTS:HEMP) has eroded a large part of its value in recent months. However, the last week showed some initial signs of a pullback. On Wednesday’s trading session the stock jumped close to 3% to close the day at $0.0175. It was followed by another strong session on Friday when the stock price surged more than 20% to close the trading session at $0.0224. The gains came at a share volume of 30.22 million compared to an average volume of 14.44 million.
The buzz
Last week, Hemp Inc issued four Press releases throwing light on the recent launch of the improved Kush Cake. The new products were presented in association with Dewmar International BMC, Inc. (OTCMKTS:DEWM). It was the second project of the two companies. In the last ten trading sessions, the stock registered seven red sessions and four green sessions.
The late gains in last week helped the company to minimize its losses. The initial momentum suggested that the investors are not too thrilled with the launch news of Kush cakes. The launch hype has almost settled, and therefore it remains to be seen what will support the stock prices in this week.
The numbers
As per the financial report filed on March 31, 2015, Hemp announced $243,000 in annual cash. It posted total current assets of $3.5 million and total current liabilities came at $1.4 million. The net loss was $904,000 and the revenue came at $7.95 million.
The company reported a dismal second half of the year as it just generated revenue of less than $100,000 during that period. It has a market capitalization of more than 46 million. The problem for Hemp shareholders don’t ends at financials but extends to serious concern of share dilution. The company’s outstanding shares surged to 2.7 billion from 1.8 million in 2014.
