CBIS Stock: Stable at 4 Cents but is it a Risk Worth Taking?

CBIS stock

Looking at CBIS stock as of late, the interest in this company is clear to see. Though this stock has a very small price tag, it is swapping hands at a big rate. This is always good news for any stock as it tends to indicate popularity and, to put it simply, that people have an interest in your wares.

CBIS Stock Risk

But a question of risk always remains with CBIS stock. Currently selling for $0.04 USD, Cannabis Science Inc. (OTC:CBIS) has had an average selling high of just $0.06 across 2018. When stocks are this cheap, they don't necessarily come recommended.

FDA Approval is so Important

One of the problems here is that while Cannabis Science (CS) is working hard to develop cannabis-based therapies for a wide range of diseases, it hasn't received FDA approval yet. Now, you could argue that many other biotech companies face that mammoth battle in this industry too.

Fair point.

But Cannabis Science is one of the oldest. Around since 2009, it's had nearly a decade head start on some of its competitors that are armed with much larger market caps, making CS's $102 million USD cap paltry by comparison. Should the company be further along?

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Stubborn

The US-based company is stubborn though, and you don't last ten years without a strong management team and clear focus. This is admirable.

The upside potential for CBIS stock is definitely there, and there is a reason this stock is showing significant movement on the daily. Some people see a small share price as a holy grail in an industry that is only emerging. CBIS stock could very easily shoot up at random. Of course, it could also do the opposite very easily. Hedging your bets on the strength and growth of the cannabis industry rather than the individual companies right now could be the smartest play.

The real pull here is what CBIS could do at any given moment. Every investor knows that biotech stocks are just one good test or drug approval away from skyrocketing.

Do you believe that moment is around the corner for Cannabis Science?

CBIS Stock Stabilizing

CBIS stock has stabilized around the 4 cents mark lately. This could be a good time to strike when you consider that the 2019 cannabis industry is set to erupt even bigger than it did in 2018. These shares have hit highs of 12 cents and above not too long ago, so keeping that in mind, the risk is yours to consider.

Featured Image: Depositphotos/BrianAJackson

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