Dragni Dragnev

Cannabis Sativa Inc. (OTCMKTS:CBDS) Is Unstable At The Top

by Dragni Dragnev March 22, 2016

Cannabis Sativa Inc. (OTCMKTS:CBDS, CBDS message board) more than managed tor recover from Friday's stumble in yesterday's trading session, adding a total of 31.87% to its market value – but today's red opening is less than encouraging.

Climbing above the $2 mark was no mean feat – and it would have been all the more impressive if CBDS had achieved it under its own power. Unfortunately, that does not seem to be the case.

There are no new developments surrounding the company, no pumps, no new exciting announcements, or new financial reports to be found when due diligence on CBDS is done.

And while on the subject of financial reports, here's an excerpt from CBDS's latest quarterly filing:

  • cash - $22 thousand
  • current assets - $1.8 million
  • current liabilities - $268 thousand
  • quarterly revenues - $6 thousand
  • quarterly net loss - $1.8 million

There is very little to write home about in that report – which makes CBDS's current market cap of over $36 million positively absurd.

The one thing that seems to be in CBDS's favor in this situation is the fact that, unlike a fair amount of companies on the OTC Markets, it is not overburdened with toxic convertibles that threaten to crash it at every turn.

Unfortunately, while that particular threat to investor value does not seem to be present, CBDS doesn't seem to have anything of substance keeping it up, either – which may well be the reason for the ticker's instability.

Now, we're not saying that CBDS's volatility can't be exploited by crafty traders for profit, because it most definitely could be – the precedent is certainly there.

However, investors should go into such trades knowing full well that since the ticker does not have anything keeping it afloat, CBDS may go belly-up at any time.

Comments 3

1. Guest
March 23, 2016, 12:05PM

Quotes to Steve Kubby for confirming Dividend company website and ipo date, Facebook Steve Kubby to see how he makes sure investors get paid just like everyone else he knows. He runs CANNABIS SATIVA that's why CBDS is up over 300% in less then 2 weeks and keeps going up because in 1-4 years this company will be on Nasdaq and trade for 10-20$ a share dividend pays better then stocks worth 30$

2. Guest
March 23, 2016, 11:57AM

Quotes They sure will initial public offering April 20th ^420%

3. Guest
March 23, 2016, 11:55AM

Quotes Shareholders will bank off this one.#Dividends worth $$$$

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