Harvest Health stock is showing positive movement in early trading on Tuesday after Harvest Health & Recreation Inc (CSE:HARV) (OTCQX:HRVSF) announced that its CBD products will be available in over 10,000 retail locations across the United States.
Important Development
Among the select few vertically integrated cannabis companies in existence, Harvest Health & Recreation Inc is definitely among the noted ones. The primary reason behind its growth is its firm foothold in the United States cannabis market, and today, the company made an important announcement. Some of its more popular products, such as the range of Harvest CBD products, CBx Essentials, and Colors, are now going to be available in as many as 10,000 retail locations through an agreement that the company announced today. The locations also include convenience stores and gas stations across the United States.
The partnership that is valued at many millions is going to be rolled out by the Asian American Trade Association Circle (AATAC) network of retailers and will allow Harvest Health to sell its products both in the smaller towns as well as in the bigger cities.
Harvest Health stock is up about 3% in early trading and now selling at $6.65 on the OTC market. On the CSE, HARV stock is up 2.90% at $8.91.
>> HEXO Stock Underperforms in May: Is There Still Potential?
CBD Popularity
CBD products have grown in popularity, and by 2022, the market is going to be worth a staggering $22 billion. With that backdrop, Harvest's CBD development is significant because it will expose its products to potentially 50,000 members and affiliates of the AATAC. The partnership will also see store clerks being provided with extensive education and training with regards to the intricacies of CBD products.
Harvest Health & Recreation aims to have 100 dispensaries spread across 14 states by next year, and in addition to that, it has acquired licenses that could see the company raising the stakes considerably. As of now, it has permission to open 209 plants and 142 dispensaries across 17 states. 23 retail points are expected to be opened up by July. Many industry enthusiasts will no doubt be closely watching the firm’s Q1 2019 numbers.
GMP Securities has already set a target price of $18.50 CAD on Harvest Health stock, and the optimism around the company is understandable.
Featured image: DepositPhotos © EdZbarzhyvetsky
