Charlotte’s Web stock has been showing solid buying activities this week as the broader markets are hitting new highs.
Boulder, Colorado-based Charlotte’s Web Holdings (TSX:CWEB) (OTCQX:CWBHF) is one of the biggest players in the hemp-based CBD products industry and yesterday, the company presented the information on its final hemp planting activities for the year.
187% Increase in Hemp Acres Planted for 2019
Charlotte’s Web has increased its production capabilities year-on-year since 2016. Back in 2016, the company produced 41,000 pounds of hemp biomass, which rose to 63,000 pounds in 2017, and in 2018, the production stood at a whopping 675,000 pounds. It is almost certain that its production for 2019 is going to go through the roof, considering the fact in 2018, it had planted across an area of 300 acres, but in 2019 that figure stands at 862 acres. It reflects a staggering 187% rise in the total planted area from 2018 to 2019.
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Deenie Elsner, who is the Chief Executive Officer of Charlotte’s Web Holdings, stated, "Interest and demand for our products have been exceptional and growing rapidly. Our 2019 planting strategy ensures we will have the required raw materials to deliver on production targets for Charlotte's Web products through 2020 and into 2021." Considering the fact that the company is the leading producer of hemp-based CBD products, it is not a surprise that it is leaving no stone unturned in ramping up production quickly and maintaining its position.
Charlotte’s Web stock is up another 3% and now trading at $14.78 on OTC market. On the Canadian side CWEB stock is up 2% at $19.32.
Although Charlotte’s Web Holdings has managed to hold on to its position as the leader in the CBD-based products space, it needs to be stated that it is a booming sector and is expected to be worth $22 billion by 2022 in the United States alone. Many more competitors will be coming up soon, but Charlotte’s Web has managed to expand far and wide. By the end of 2018, its CBD-based oils, topicals, and capsules were available in as many as 3,700 locations, and in March 2018, it expanded to 6,000. Moreover, the passage of the Farm Bill in the United States has also helped Charlotte’s Web considerably.
Charlotte’s Web stock has gained 30% since Monday amid solid buying by valued investors. However, CWEB stock is still down 40% from its 52-week high.
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