Post by
davgro on Jan 11, 2023 4:43pm
VIBE High Risk, No Reward - Stock Crashes 34%
Today truly illustrates the risk of investing in a micro-cap cannabis stock with declining revenues and low daily trading volume. A sale by Anonymous of 60K shares today, less than C$10K in value, knocked the share price down 34%.
Since the beginning of 2023 the daily trading volume for VIBE has been less than 3K shares. With such poor liquidity and low daily trading volume it is not surprising that a shareholder trying to exit his position will take significant losses and crater the share price.
I have watched VIBE's stock price drop from $1.40 to a recent 52-week low of C$0.10. Numerous times in the past I have outlined in detail all the factual reasons why astute investors should avoid this stock while the usual members (Duster340 and TheProphetElijah) try to entice investors to buy VIBE.
The company announced a normal course issuer bid (NCIB) to buyback stock effective December 9th, 2022 in an attempt to prop up the share price. Since then the share price has dropped to a new 52-week low.
California cannabis companies continues to fight a strong headwind the lastest being the recent superstorm to hit the state. Several cannabis operators throughout California are hurting due to the most recent superstorm, with some companies reporting product losses due to heavy rains that damaged their crops, reported MJBizDaily.
If you are considering buying VIBE than remember a fundamental principle in commerce, Caveat Emptor (Buyer Beware), and do your own due diligence.
VCAN 2.0