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HempFusion (OTCMKTS:CBDHF) Stock Continues to Trend Lower: Down 22% In a Week

Ash K , , , ,

HempFusion (OTCMKTS:CBDHF) is down 22% in a week. The company has unveiled a program commencing next year seeking to drive annual savings of $4 million and put the company in the course for profitability.

Market Stats

On Tuesday, CBDHF stock jumped 1.20% at $0.1450 with more than 586k shares, compared to its average volume of 197k shares. The stock has moved within a range of $0.1310 – 0.1642 after opening trading at $0.1360.   

HempFusion Wellness unveils $4M annual savings initiative and updates on retail growth

 The initiative, Project OPTIMIZE, focuses on the company’s bigger brands and other areas, including supply chain, workforce optimization, and marketing. The company equally updated its 2002 retail growth forecast.

CEO Jason Mitchel stated that the company had attained several vital milestones over the past year that include the purchase of two strong brands in Sagely Naturals and Apothecanna. As they completed the integration, Mitchell said that they established various optimization prospects that can drive efficiencies and help attain the goal of near-term profitability. For example, new organization alignment in the workforce will eliminate redundant positions leading to $2.5 million in cost savings, while the consolidation and optimization of the supply chain will lead to an annual saving of $1 million. In addition, unification of branding, digital effort, and marketing will save up to $0.5 million yearly. So CBDHF is worth watching. 

Key Quote

“This past year included several significant milestones for HempFusion (TSX:CBD.U, OTCQX:CBDHF), including the acquisition of two very strong brands in Apothecanna and Sagely Naturals. As we progressed through the integration process, we identified several optimization opportunities to drive efficiencies and help achieve our goal of near-term profitability,” said CEO Jason Mitchell.

Traders Corner

CBDHF stock is below the 20-Day and 50-Day Moving averages of $0.17 and $0.18 respectively. The stock is trading in the neutral zone with the RSI at 41.  The stock is down 39% in the past month.