Posted in CBD Stocks

CNNC Stock: 7 Things to Know About Under-the-Radar Cannonau

 Posted by  Posted on May 11, 2021

a hand holding a piece of broccoli: A close-up shot of hands holding a grinder with cannabis buds in the background representing aurora stock. © Source: Shutterstock A close-up shot of hands holding a grinder with cannabis buds in the background representing aurora stock.

There’s cannabis stocks, and then there’s ultra-speculative cannabis stocks. Indeed, it appears investors in Cannonau (OTCMKTS:CNNC) and CNNC stock find themselves in the latter department.

a hand holding a piece of broccoli: A close-up shot of hands holding a grinder with cannabis buds in the background representing aurora stock. © Provided by InvestorPlace A close-up shot of hands holding a grinder with cannabis buds in the background representing aurora stock.

There has been a high-profile “green rush” of late. And this green rush is only one of many speculative frenzies in the market. However, it’s clear that many small cannabis companies are popping up looking to take advantage of this sentiment.

Cannonau, a CBD player, is one of many small firms looking to make a name for itself in a growing — and crowded — market.

Gallery: 7 Marijuana Stocks To Buy As Usage Moves Mainstream (InvestorPlace)

a group of palm trees next to a tree: Hot on the heels of a deal with a significant point of sale (POS) name in the marijuana industry, Fire & Flower Cannabis Company (OTHER OTC:FFLWF) has attracted attention from the Street. In January, Fire & Flower announced that its wholly-owned subsidiary Hifyre and POS company Cova Software Solutions reached a strategic license agreement. Based on the terms of the agreement, Cova, which is used in more than 500 cannabis stores in the U.S. and Canada, will allow its customers to access the Hifyre digital retail platform, which includes the Spark Perks program and the Fastlane “click-and-collect” service, as well as Cova’s own point-of-sale software. President of Hifyre Matthew Hollingshead stated that the deal will see the commercialization of its platform ramp up in growing cannabis markets. Additionally, David Kideckel of AltaCorp Capital believes the collaboration could help the company expand its reach in the U.S. market and improve its advanced technology standing in Canada. “Fire & Flower remains our top pick in the Canadian cannabis retail space. In our view, the agreement with Cova supports Hifyre’s expansion in the Canadian and International cannabis markets and places Hifyre as the industry’s best-in-class digital retail platform. In addition, it provides a venue for Fire & Flower to monetize Hifyre’s capabilities further and increases revenues from its high-margin digital retail business segment,” Kideckel explained. Given everything that the cannabis company has going for it, Kideckel remains in Fire & Flower’s corner. Along with his "buy" rating, his $2.10 price target implies that shares could skyrocket 320% over the next year. 7 Battery Stocks for High-Powered Gains Out on Wall Street, Kideckel’s opinion is echoed by other analysts. As four "buys" and no "holds" or "sells" were issued in the last three months, the consensus rating comes in as a unanimous "strong buy." At $1.86, the average price target indicates 273% upside potential. See the FFLWF stock-price forecast.

Given the amount of interest in this space, let’s take a look at what Cannonau does and why investors are jumping onto CNNC stock today. Currently, investors in CNNC stock are seeing gains of approximately 9%, at the time of writing.

What Investors Need to Know About CNNC Stock

  • Cannonau aims to “to produce high-quality, pure, and 100% natural cannabidiol (CBD) products.”
  • The company’s CBD products, including full-spectrum CBD oil, are sourced from a licensed organic Colorado farm.
  • Currently, CNNC stock is still in early stages of commercialization. The company reported TTM sales of under $2,000 for the past year.
  • Despite this, Cannonau is valued at a market capitalization of nearly $800 million.
  • Today, the company announced the addition of a new legal advisor to its executive team.
  • Mr. Fruqan Mouzon is being brought on to advise on “prospective mergers, acquisitions, joint ventures and other opportunities” the company will be pursuing.
  • Accordingly, it appears the market is pricing in some sort of announcement with this stock.

On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article.

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Author: CSN