MariMed Inc. (OTCQB:MRMD) has been outperforming industry trends with its better-than-expected operational and financial performance. It has recently changed its name to MariMed from MariMed Advisors, and the company plans to become a single-focus business in the cannabis industry.
Investors have been applauding its strategy of finding value in the cannabis industry. MariMed stock price rose 31% in the last month alone. This is contrary to the broader market selloff in the entire cannabis industry. Its stock price rose 80% since the start of this year, moving the twelve-month rally to 300%.
MariMed Inc stock trades at around $1.43 at present, just shy from the 52-week high of $1.48 a share.
The company’s latest financial results contributed to traders sentiments in its future fundamentals. Its sales grew 70% in fiscal 2017 from last year. This is primarily due to higher sales at MariMed managed licensed cannabis businesses.
It is one of the companies that are generating positive operating income in the cannabis industry. The company generated operating income growth of 55% in fiscal 2017 compared to the previous year.
Outlook is Bullish for MariMed Inc
MariMed has been investing its capital in six key US markets to generate a sustainable growth both in the short and long-term. These markets include Maryland, Massachusetts, Delaware, Nevada, Illinois, and Maine.
Commenting on the future business outlook, CEO of MariMed said, “With the opening of our Maryland and Massachusetts facilities and businesses and the expansion of our licensing brands to additional states we anticipate continuing our growth momentum in 2018 and beyond.”
The company expects to generate higher revenue growth from its investments in Maryland and Massachusetts facilities that will generate revenue from fees for licenses, leases, and managed services. The company’s expectations from its Nature’s Heritage Cannabis branded product line is high in fiscal 2018.
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