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Organigram Holdings Inc (NASDAQ:OGI) Stock Takes a Hit: Falls 15% in 6-Month

Ash K , , ,

Although the cannabis sector has made a bit of a comeback this year, the situation with the Organigram Holdings Inc (NASDAQ:OGI) stock on Thursday was not particularly great.

Market Stats

On Thursday, OGI stock decreased 9.23% at $2.0150 with more than 12.78 million shares, compared to its average volume of 6.40 million shares. The stock has moved within a range of $1.9900 – 2.2400 after opening the trade at $2.2300.

Organigram Launches New Wellness Brand, Monjour

The company saw its stock suffer from a strong selloff on Thursday and that led to a fall of as much as 9%. In light of this fall, it might be the right time for investors to take a look at the announcement made by the company on Thursday. The company came into focus yesterday after it announced the launch of its new wellness brand named Monjour.

The brand in question is going to offer high quality, CBD forward products which can be included in the daily routine of consumers who are seeking wellness solutions. The initial offerings from the brand are going to be chews and they are going to be made available in both vegan friendly variant as well as the sugar free variant.

Normally, such an announcement leads to a degree of optimism among investors but the announcement from Organigram in fact led to a sharp selloff in the stock. In this situation, it might be a good idea for investors to keep an eye on how the new brand performs over the coming months.

Key Quote

Organigram’s strategic approach to product development remains focused on the needs and preferences of Canadian consumers. “At Organigram, we are committed to innovation, and keeping consumers at the heart of every product we launch,” says Beena Goldenberg, CEO, Organigram. “By paying close attention to how Canadians are thinking about and consuming CBD, we’ve been able to develop and deliver an exciting new line of products while taking advantage of a growing CBD edibles market, currently with limited competitive offerings.”

Traders Corner

OGI stock is trading below the 20-Day and 50-Day Moving averages of $2.28 and $2.32 respectively. Moreover, the stock is trading below the 200-Day moving average of $2.79. The stock is down 25% in the past month.