The marijuana stock market has seen quite a few rough days, beginning in September of last year. During that time, many prices dropped and some lost faith in the future of the cannabis industry. This year, however, has been able to completely turn this around, letting share prices shoot back up closer to where estimates state they should be.
Some companies have been able to do better than others, which is usually attributed to a combination of factors including market position and even their physical location. The main focus of the cannabis industry currently lies in North America where Canada and the U.S. have been leading the charge on different wavelengths.
Next Green Wave (NXGWF) (NGW) is a producer of marijuana based out of Coalinga, CA which is located centrally between San Francisco and Los Angeles. This physical location has helped to give them an advantage to other players in the market as California is widely known as one of the largest marijuana markets in the world.
Next Green Wave may be located in California, but the company is headquartered out of Vancouver. The company has stated that they have the proper licensing to produce completely vertically integrated cannabis in what is known as seed-to-sale. This means they are able to create nurseries, cultivate cannabis and extract/distribute the substance. Many companies do not have this advantage in their back pocket, which puts Next Green Wave ahead of the curve.
The verticality of their business model also ensures two things. First, they are able to have much higher margins than many of the similar players in the industry. This is due to the aforementioned seed-to-sale business model and not having any middle-men to payout along the production chain.
Second, NGW has a great deal of control over the product that they are producing which means their quality is second to none. Additionally, Next Green Wave has seen their stock price shoot up by upwards of 60% in only a month since the end of December. All of this makes NGW an interesting play for the future of the cannabis market.
On the ancillary side of the cannabis market, KushCo Holdings (KSHB) is a producer of packaging solutions for companies working in the industry. Beyond just selling packaging, KushCo has been working to produce various products for the back end of cannabis sales including vaporizer cartridges, tubes, pop-top bottles, and other forms of containers.
KushCo made headlines only a few months ago as they began on a series of acquisitions. KushCo currently has hands in companies that produce materials for cannabis extraction as well as e-commerce and marketing for companies in the industry. Again, the verticality of their business model is something that has put KushCo ahead ff the curve.
KushCo is also based out of the U.S., which gives them access to all of the various independent statewide markets throughout the country. Despite cannabis being illegal on a nationwide level in the U.S., statewide markets are projected to reach $22 billion by the year 2022. The hopes are that KushCo can remain a big part of this fast-paced industry.
Pursuant to an agreement between an affiliate of MAPH Enterprises, LLC (owners of MarijuanaStocks.com), Midam Ventures LLC and Next Green Wave (NGW), Midam has been paid $150,000 from Next Green Wave (NGW) for a period from October 1, 2018 to November 8, 2018. Midam has been compensated an additional $100,000 and has extended its period of coverage to December 8, 2018. Midam has been compensated an additional $75,000 and has extended its period of coverage to January 8, 2019. Midam has been compensated an additional $50,000 and has extended its period of coverage to February 8, 2019. We may buy or sell additional shares of (NGW) in the open market at any time, including before, during or after the Website and Information, to provide public dissemination of favorable Information about Next Green Wave.