Boston, MA 01\/10\/2013 (wallstreetpr) –\u00a0Cannabis Science Inc (OTCMKTS:CBIS) has benefited a lot from the marijuana industry hype which started around last week. For some companies the rally was powerful and short-lived, but CBIS continues to gain as more and more investors buy the stock.<\/p>\n
The positive sentiments in the marijuana industry have managed to boost the stock price of small and big companies to great highs. For example, in just a few sessions, CBIS rallied up from the low of $0.03 to hit $0.15, climbing more than 400 percent. The stock registered it biggest single upward movement of 55 percent last week Thursday, during which more than 88 million shares were traded, far beyond the company\u2019s daily average of 7.7 million shares.<\/p>\n
As noted earlier, while some stocks have started reversing,\u00a0Cannabis Science Inc (OTCMKTS:CBIS) is still soaring and this now brings to the fore the question of whether the best has happened or late investors can still make some money with the stock. The disproportionate rise that the stock has witnessed since last week ended up putting a lot of money into the pockets of early investors. But now investors should perform due diligence on this stock before jumping into it.<\/p>\n
Looking at the company\u2019s latest financial report, it is clear that it is facing cash flow issues. At the end of September, the company had $462 in cash, $3.5 million in total liabilities and $1.1 million in net loss. Well, of course, these figures should frighten those considering long positions in the stock.<\/p>\n
Moreover, the fact that the company\u2019s primary source of funds is common stock offering raises the question of sustainability, especially considering that the company is almost at the end of its authorized volume of $850 million, having exhausted 760 million.<\/p>\n
That\u00a0Cannabis Science Inc (OTCMKTS:CBIS) is capable of raising additional funds from patents held doesn\u2019t put in a perfect position yet. As for now, the fact remains that investors should approach this stock with caution. Generally hyped stocks are never the best to bet on unless the investor has can absorb the potential losses.<\/p>\n","protected":false},"excerpt":{"rendered":"
Boston, MA 01\/10\/2013 (wallstreetpr) –\u00a0Cannabis Science Inc (OTCMKTS:CBIS) has benefited a lot from the marijuana industry hype which started around last week. For some companies […]<\/p>\n","protected":false},"author":12,"featured_media":13538,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"rop_custom_images_group":[],"rop_custom_messages_group":[],"rop_publish_now":"initial","rop_publish_now_accounts":{"twitter_2902945987_2902945987":""},"rop_publish_now_history":[],"rop_publish_now_status":"pending","footnotes":""},"categories":[264],"tags":[4328,4329],"stock_ticker":[],"class_list":["post-13537","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-health","tag-cannabis-science-inc-otcmktscbis","tag-otcmktscbis","entry"],"acf":[],"yoast_head":"\n