Kush Bottles Inc (OTCMKTS:KSHB) Picks Up Momo on Pharma Packaging Segment

Kush Bottles Inc (OTCMKTS:KSHB) Picks Up Momo on Pharma Packaging Segment

SHARE

Yet another breakout in the cannabis space that is starting to turn some heads is Kush Bottles Inc (OTCMKTS:KSHB). Shares of the stock blasted higher on Wednesday on a ramp in volume as the company announced that it has launched a new division, Koleto Packaging Solutions, that will bring new, FDA-compliant packaging solutions to the pharmaceutical and veterinary industries.

According to the release, “The global pharmaceutical packaging market is expected to reach USD 158.8 billion by 2025. Kush Bottles plans to utilize its expertise from its industry-leading cannabis-focused packaging business to supply packaging solutions to these two new markets. The new division will be run by Edd Pratt, Executive Vice President, and is expected to serve pharmaceutical companies and veterinary clinics across the United States.“

Kush Bottles Inc (OTCMKTS:KSHB) provides packaging products and solutions to producers, processors, and retailers operating in the regulated medical and recreational cannabis industry.

KSHB sells primarily into the b2b market, which includes legally operating medical and adult-use dispensaries, growers, and MIP producers (Marijuana Infused Products) in states with marijuana programs.

It offers pop top bottles; child resistant exit, paper exit, and foil barrier bags; tubes; and polystyrene, polypropylene, or silicone containers to urban farmers, greenhouse growers, and medical and recreational cannabis dispensaries.

According to the company’s press messaging, “Kush Bottles, Inc. (OTCQB: KSHB) is a dynamic sales platform that provides unique products and services for both businesses and consumers in the cannabis industry. Founded in 2010 as a packaging and supplies company for dispensaries and growers, Kush Bottles has sold more than 100 million units and now regularly services more than 5,000 legally operated medical and adult-use dispensaries, growers, and producers across North America, South America, and Europe. The Company has facilities in the three largest U.S. cannabis markets and a local sales presence in every major U.S. cannabis market.”

Find out when $KSHB stock reaches critical levels. Subscribe to OracleDispatch.com Right Now by entering your Email in the box below.

Traders will note 10% during the past week in terms of shareholder gains in the name. What’s more, the name has seen interest climb, with an increase in recent trading volume of 37% above its longer-run average levels. This should not be overlooked with the stock trading on a float that is very limited at just 9.6M shares.

Kush Bottles’ CEO Nick Kovacevich commented, “As a leading provider of packaging solutions to the cannabis industry, we have an unrivaled track record of creating products that are elegant while remaining compliant with all of the various state and local regulations. This expertise makes us uniquely suited for scaling our institutional knowledge into other heavily-regulated industries. Virtually all of our products are related to other industries and we see important applications for our child-resistant containers that adhere to stringent FDA regulations, which we believe makes these products relevant to pharmaceutical and veterinary clients. Additionally, our expertise in incorporating customizable branding into our packaging solutions will help clients in these industries achieve a one-of-a-kind look and feel for their products. We believe that entering these new market verticals will allow us to leverage our existing knowledge and infrastructure to significantly expand this underserved market from a packaging innovation perspective.”

Currently trading at a market capitalization of $394M, KSHB has a significant war chest ($7.1M) of cash on the books, which must be weighed relative to about $1.1M in total current liabilities. KSHB is pulling in trailing 12-month revenues of $32.6M. In addition, the company is seeing major top-line growth, with y/y quarterly revenues growing at 248.8%. As more color becomes clear on the name, we will review the situation and update our take. Sign-up for continuing coverage on shares of $KSHB stock, as well as other hot stock picks, get our free newsletter today and get our next breakout pick!

Disclosure: we hold no position in $KSHB, either long or short, and we have not been compensated for this article.

Sign Up for our 100% FREE Oracle Dispatch Newsletter