Namaste stock has been moving within a narrow range over the past couple of hours. Let's analyze the recent developments from Namaste Technologies (TSXV:N) (OTCQB:NXTTF).
During the first half of the year, cannabis e-commerce company Namaste Technologies had a tough time, but since then, it has managed to turn things around, and that was reflected in its Q3 2019 financial results.
Last week, Namaste Technologies released its financial results for the quarter that ended in August, and it emerged that it had managed to boost its revenues from its main earning properties. Earlier this year, the company had closed many of its online properties and made a conscious effort to concentrate on those that actually worked.
In the third quarter, Namaste managed to generate revenues of $3.8 million, as opposed to $3.9 million in the same quarter in 2018. However, it should be noted that the drop is not a lot, considering the fact that many of the online properties from 2018 are no longer operational. The company further indicated that it has boosted its earnings significantly from the existing properties.
Namaste stock is up 1.50% at $0.38 CAD.
Another highly positive development from this particular quarter is the fact that the company managed to end the quarter with positive working capital, which stood at $54.2 million. That includes as much as $49.1 million, in the form of either cash or its equivalents. The company is based out of Toronto and has a major hold over the Canadian market.
Over the past months, Namaste Technologies has brought a wide range of Canadian producers to its marketplace, and its website, NamasteMD.com, could well be one of its more important platforms. However, the legalization of derivative products in Canada could be the biggest opportunity yet for Namaste. When cannabis 2.0 rolls out, many companies are going to enter the market, and many of them are sure to seek the help of the sprawling online marketplace operated by Namaste.
In addition to its successful e-commerce business, the company has also made several important investments. It has picked up a 49% stake in chocolate market Choklat, which aims to get into the edibles market in cannabis. Namaste also has a 49% stake in Pineapple Express, a company that provides home delivery services to a range of industries, including the cannabis industry.
Last but not least, the hemp market is another big opportunity for Namaste Technologies, and recently, the company inked a deal with hemp skincare product maker Cultivated Beauty.
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