Why Charlotte’s Web Holdings Inc (OTCMKTS:CWBHF) is Lagging on the Bounce

Why Charlotte’s Web Holdings Inc (OTCMKTS:CWBHF) is Lagging on the Bounce

SHARE

The clear leadership pure-play in the CBD space is Charlotte’s Web Holdings Inc (OTCMKTS:CWBHF). And the space has been apparently back in bounce mode. But this stock has oddly lagged the broader space during that bounce that has run over the past 3-4 sessions. Our guess would be that this is because the stock isn’t as heavily shorted because it has arguably the strongest fundamentals in place in the sector. That should work for it over the long-term, especially given that the company just announced that The Vitamin Shoppe (NYSE: VSI), an omni-channel, specialty retailer of nutritional products, has commenced selling the new line of Charlotte’s Web CBD hemp extract-infused CBD gummies in 738 stores across 45 U.S. states.

According to the release, this expands Charlotte’s Web product offerings carried by The Vitamin Shoppe to include CBD hemp extract oil tinctures, liquid capsules, and now gummies. Charlotte’s Web gummies are a popular edible format providing measurable consumption of convenient bite-sized full-spectrum CBD hemp extract.

Charlotte’s Web Holdings Inc (OTCMKTS:CWBHF) bills itself as a company that develops and distributes hemp-based cannabidiol (CBD) wellness products. Its products include CBD hemp oils, capsules, topicals, and pet products that feature CBD hemp oil extracts.

Charlotte’s Web Holdings, Inc. sells its products online as well as through distributors, and brick and mortar retailers.

The company was formerly known as Stanley Brothers Holdings Inc. and changed its name to Charlotte’s Web Holdings, Inc. in July 2018. The company was incorporated in 2018 and is headquartered in Boulder, Colorado.

According to company materials, “Charlotte’s Web Holdings, Inc. is the market leader in the production and distribution of innovative hemp-based cannabidiol (“CBD”) wellness products. Founded by the Stanley Brothers, the Company’s premium quality products start with proprietary hemp genetics that are responsibly manufactured into whole-plant hemp extracts naturally containing a full spectrum of phytocannabinoids, including CBD, terpenes, flavonoids and other beneficial hemp compounds. Industrial hemp products are non-intoxicating. Charlotte’s Web current product categories include tinctures (liquid products), capsules, topical, as well as pet products. Charlotte’s Web hemp-based whole plant extracts are sold through select distributors, brick and mortar retailers, and online through the Company’s website.”

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

As noted above, CWBHF just announced that The Vitamin Shoppe (NYSE: VSI), an omni-channel, specialty retailer of nutritional products, has commenced selling the new line of Charlotte’s Web CBD hemp extract-infused CBD gummies in 738 stores across 45 U.S. states.

Traders will note 2% tacked on to share pricing for the stock in the past week. In addition, the company has registered increased average transaction volume recently, with the past month seeing 18% above its longer-run average levels.

“This nationwide pickup of our popular new gummy line by The Vitamin Shoppe is very exciting to report,” said Charlotte’s Web CEO Deanie Elsner. “Working with a trusted retail partner that is dedicated to helping its customers become their best self, allows us to effectively expand our national footprint giving more Americans retail access to our leading CBD hemp extract wellness products. We are thrilled about The Vitamin Shoppe’s decision to expand their offering with our new chewable gummies.”

Earning a current market cap value of $566M, CWBHF has a significant war chest ($67.2M) of cash on the books, which compares with about $18.3M in total current liabilities. CWBHF is pulling in trailing 12-month revenues of $113.8M. In addition, the company is seeing major top-line growth, with y/y quarterly revenues growing at 50.6%. This is an exciting story, and we look forward to a follow-up chapter as events transpire. Sign-up for continuing coverage on shares of $CWBHF 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 $CWBHF, either long or short, and we have not been compensated for this article.

Sign Up for our 100% FREE Oracle Dispatch Newsletter