where to next?, page-877

I has a look at AGH to compare with AC8 to see why one is going up like crazy and the other is down like a falling knife. AGH was falling sharp during Oct-Dec last year too but it has more than doubled in the recent weeks. I can see that investors respond to actions from the company. AGH is not doing anything fancy apart from doing what is practical. They just imports cannabis oils and dried flowers to sell to patients through a network of doctors that they have developed. Now they are setting up greenhouses to grow weeds right here in Australia with technology provided by their Canadian partner. I had a look at the list of companies approved to import and/or export and/or grow and/or manufacture cannabis products. The list is getting crowded! The only thing that AusCann seems to have that is a bit different is the "promise" of a capsule to make dosage simpler. It's only a promise.

The funny thing about AGH is that it does not even provide a list of products on its website. By digging a big deeper I see that all they do is to co-brand the imported products from Canada. And this is enough to get investors interested. They have got a good foreign partner, set up a network of prescribing doctors, got 300 patients, set up an office in the UK with a partner and starting a process to set up growing facility in Victoria. These real practical actions made all the difference. AusCann got more cash way back last year and a lot of promises but nothing eventuated so far. Now it seems aimless and without a CEO. The promise of a hard capsule is the only thing investors can hold on to. It looks like investors reward simple actions over promises.

Interestingly, both companies have similar share prices with opposite momentums. Let's see how AC8 fair next week. UNless we get a bounce  now, AC8 would be heading to mid 30s. Certain, it may look attractive to some who has cash to play.