Wolfofvan seems to be another alias for SmallCapCanada which has been promoting this stock for the past couple of days.
Tonight, they put the brakes on and warned investors to beware...
Hello and Good Evening,
The markets saw quite a bit of red today. Gold is nearing an all-time high as US jobless claims rose for the first time since March. Apple dropped sharply as the company faces a consumer protection probe. The TSX/S&P slid 152. The DOW was down 353. It was a red day and our focus today was no different.
BevCanna Enterprises (CSE: BEV) released exciting news last night. One might expect that such news, together with the company’s claim of “high standards” for its “proprietary and patented technology” could lead to an exciting day or two.
That was not the case today.
In fact, today was disappointing.
CSE:BEV seems to have a lot going its way right now, yet it’s sitting only slightly above its annual low.
Why is that?
While many companies are at or near newly set 52-week highs, why is CSE:BEV struggling to get out of the starting gate?
We may have seen an answer today.
It’s possible the company has a number of “toxic” shareholders that seem to either have little confidence in the company’s direction, or are motivated to sell for other reasons.
We’ve highlighted a handful of the company’s impressive attributes as well as its first-class management team. But sometimes these fundamental qualities are not enough.
The smaller the company, the more pronounced its problems. CSE:BEV is a young, “growth focused” company with a list of accomplishments to be proud of, yet it only takes one bad apple.
We can only hope this unfavorable element in the company’s structure is a small and superficial one, insignificant in the long run. If so, such activity could be just a short-term situation. If not, it could paint a black eye on the company as well.
Only time will tell.
Either way, you, our readers, are our most important consideration so we're mentioning here.
And of course, this is all complete speculation - yesterday we profiled the company at a price lower than today’s close. There could have been sizeable profit taking.
However, in a year where stock buybacks have been making headlines, it certainly seems some CSE:BEV shareholders can’t sell their shares fast enough.
Other newsletters would most likely be patting themselves on the back for witnessing CSE:BEV’s large percentage move this week.
It was 0.255 yesterday morning and has been as high as 0.325 since.
We are not like other newsletters. We hold ourselves to a high standard. You, our readers are always our primary consideration.
At this point it may be best to view CSE:BEV with extreme caution.
Although we go to great length to bring you only the very best of these emerging situations, sometimes things happen and we end up having to write emails like this one.
As you know, we do not make recommendations of any kind as we are not registered professionals or advisors of any kind, but our priority is always to the wellbeing of our readers and members and we will offer our opinions when we can, for better or worse. It may be best to watch BEV from afar.
We strive to conduct solid research and bring you companies with real and significant potential. I think you’d agree that CSE:BEV fits this profile, but not everything that looks good on paper translates to a healthy stock.
We will continue to work diligently in uncovering Canadian “hidden gems” and bringing them to light; know that our team will strive that much harder to locate something special for our next profile.
Thank you for your time and have a wonderful evening.
Very Best Regards,
Editor, SCC