MRMD stock is currently up 1.62% and selling for $3.44 USD on the OTCQB. It’s a needed correction because on Tuesday this week MariMed (OTCQB:MRMD) dropped a significant 8.27%. On that day, the stock fell as low as $3.38 USD.
There’s a lot of buzz happening around this stock as of late, so what’s ahead for MariMed and is it an opportunity?
With a market cap of $780 million USD, MariMed is the third largest marijuana company in the US. MRMD stock was one of the strongest performers in the US marijuana stock market in 2018—growing a whopping 371% over that year.
Classed as a secondary service in the cannabis industry, MRMD provides consulting and advisory services to other marijuana business. Services include design, development, and operation of medical marijuana cultivation facilities and production centers as well as dispensaries.
By providing “turnkey solutions to cannabis cultivators, producers, and dispensaries,” MariMed makes its business by helping to build other cannabis businesses.
In the present climate, this can be considered a fail-safe model. Diversification is something not many stocks get to enjoy, and multiple fingers in multiple pies mean numerous revenue streams. This offers investors a feeling of security.
The company is evolving, however, and recently began buying and/or investing in its client’s operations.
MRMD and GenCanna
Such is the case with its acquisition of hemp producer GenCanna in late 2018. This investment into GenCanna gives MariMed a subsidiary with a focus on the hemp CBD market across the US. With the US legalizing hemp in December, the hemp-derived CBD is fast becoming a multi-billion dollar industry and one that MariMed is now in a prime position to lead.
This offers huge opportunity ahead, and MRMD stock may experience a significant boost on the horizon because of this. All the while, the company is continuing its expansion across the US medical cannabis market.
As the third largest cannabis company in the US, MariMed is in a very lucrative position. It is at the fore of an expanding market that is experiencing an increased number of businesses.
As a provider of cannabis services, as well as owning key subsidiaries, MRMD stock could be ahead of the cannabis boom in the US.
What do you think? Is MRMD stock one to watch?
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