Marijuana stocks are showing varied results today. A touch of volatility seems to have hit the market after what has been a predominantly green start to 2019. EMHTF stock is one of the fallen heroes of the day, but at least the drop is only a paltry 0.03% according to Yahoo Finance.
It could be faring much worse; KushCo (OTCQB:KSHB) and Wayland Group (CSE:WAYL) (OTCQB:MRRCF) are down 12% and 8% respectively, for example.
EMHTF Stock
So the market is showing a slight bump in the road today, but these bumps are to be expected. This won't stop Emerald Health Therapeutics (OTCQX:EMHTF) (TSXV:EMH) from pushing ahead, and it certainly shouldn't worry current and new investors.
After all, this is a good entry time for investors who want a slice of this lucrative industry, because, at $2.20 USD per share, EMHTF stock could be an enticing play, offering more bang for your buck if you're willing to hold on through these bumps. It's all about capacity now in the cannabis sector, and Emerald Health has got it.
Emerald Health Therapeutics: Output
With a market cap of $312.252 million USD, Emerald is one of the smaller cannabis companies in this industry. But for its size, it is certainly keeping up.
The Canada-based company is on the way to surpassing production output over 100,000 kilograms this year. This is important. Sizeable output equals the ability to meet demand and companies that can do this will be the first choice for supply deals and partnerships with major global brands.
Increasing output has been a key focus for Emerald Health Therapeutics, and 2019 should (hopefully) see the fruits of its labor pay off.
>> Hemp Inc is at the Fore of America’s New Hemp Industry
EMHTF Stock Partnerships
The company struck up a big partnership with Village Farms International in 2018. The two are working on Pure Sunfarms—a massive 1.1-million-square-foot retrofit project, adapting existing vegetable-growing facilities to have the capability to effectively grow cannabis. Together, this project is aiming to produce at least 75,000 kilograms.
But Emerald did not stop there; it also purchased Agro Biotech in 2018. This additional Metro Vancouver facility brings Emerald's total cannabis output to over 100,000 kilograms at peak production. This partnership also has another 500,000 square foot facility planned in Metro Vancouver, which will increase output further.
EMHTF stock reacted well to both these partnerships as investors know the importance of preparation in this market.
The Bottom Line
One major down point for investors is how purchases like these affect the company's overall revenue. But you have to think long term in this industry. Capacity is key for this industry, and with that in mind, EMHTF stock prospects seem bullish moving forward.
What do you think?
Featured Image: Canva
