We all have bad days. The good thing is, for the most part, we can expect that things will turn around for us at some point down the road.
Experiencing this right now is Canadian cannabis company Golden Leaf Holdings (CSE:GLH) (OTCMKTS:GLDFF), a company that has been making headlines almost every day for the past two months. For the sake of the article, it is worth adding that most of these headlines have been negative.
What’s Been Going On?
January is almost over, and Golden Leaf Holdings has struggled significantly on the stock market this month. For the past two and a half weeks, the Toronto-based company has witnessed its stock crumble, trading down nearly 10% on January 12, nearly 5% on January 16, and almost 3% on January 23.
Interestingly, however, most of these drops have followed fairly positive announcements from the company. This makes me wonder what is going on investors minds when they think of Golden Leaf Holdings, a company that works through its subsidiary to grow, distribute, and process medical marijuana products.
For instance, Golden Leaf Holdings announced that it had finalized a $7.5B bought deal financing one week before the stock dropped nearly 10%. The company also disclosed at the same time that it had elected a new independent auditor. Then, on January 16, the stock dropped 4.26% after Golden Leaf Holdings announced that Craig Eastwood will become its new CFO.
Do you see the same pattern that I noticed? It appeared, at the time, that no matter what Golden Leaf Holdings announced, the stock was going to drop. That, however, changed today.
What Happened Thursday?
Today, Golden Leaf Holdings made an announcement that caused its stock to increase, not decrease. Translation? Golden Leaf is (finally) experiencing a turnaround in the stock market!
After disclosing that Medical Marijuana Group, which is the company’s subsidiary, received its first shipment of genetics at its facility located in St. Thomas, Ontario, Golden Leaf Holdings stock shot up nearly 20%. This is an important announcement as it marks the Ontario-based facility’s move into becoming a functioning unit as well as a plant-growing unit.
Currently, Golden Leaf Holdings is trading at $0.44, putting the stock up $0.06, or 17.33%. For perspective, the Canadian company was trading at $0.38 two days ago.
All I can say is congratulations to Golden Leaf Holdings, who is currently experiencing that sense of relief most of us have felt at one point or another when things finally start to turn around after a rough patch.
My only hope is that the stock continues to see green and that the company makes further advancements in its corporate model.
Featured Image: Twitter