Cannabis & Hemp Stocks Investment Tools – Schedule Demo Now!

American Green Cannabis Stock

American Green, Inc. (ERBB) is a cultivator and distributor of medical cannabis. They specializes in manufacturing, extraction, wholesale, and retail. They also offer inventory tracking services for other cultivators. The company was founded in November 1998 and is headquartered in Phoenix, AZ.

Is ERBB a strong BUY and HOLD?

American Green Cannabis Stock Fundamental Analysis

Company Profile

HQ: Phoenix, AZ, USA
Founded: 1998
Symbol: ERBB (OTC)

Focus: Weak

American Green is a small company our of Phoenix, Arizona where they have a cultivation facility. They are also involved in kiosks for dispensing regulated products and technology initiatives like app development for hemp and cannabis companies.

Size: Weak

Market Cap: $10,780
Enterprise Value: $25,000

Markets: Weak

Primary: AZ
Secondary: USA

Subsidiaries, Interests:
Green Universe Inc, Sundance Hydroponics LLC, Altitude Organic Licensing Corp, ProximaRF Technology, Yo It’s Me, Truth Lighting, LLC
 

Operations: Neutral

Cultivation: Built and licensed a grow for Natural Herbal Remedies in 2018. They receive rental income from this deal still but the lease on the 12,000 sq ft facility ends this month. 
Current production: None. They have announced they will try to scale up their cultivation business by 300% in the coming year. This is partly driven by their lease being up this month.

Distribution:
Direct sales: They do have an e-commerce store as well as sell on Amazon. The American Green Machine vending machines business arm is growing.

Store networks: None

Integration/Diversification: 
Vertically integrated: No
Horizontally diversified: In progress, across mobile apps, vending machines, CBD edibles, and branded products.

Financials: Weak

Revenue (TTM): $48,630
Shares Outstanding (diluted): 29.75 Billion, yes Billion
Return on Equity: NA

Management: Weak

Chairman: David Gwyther
COO: Pat Carrigan
Executive VP: Sean Loomer
Director: Colleen Manley

Branding: Neutral

American Green has branded their small AZ grow as Sweet Virginia. They have a CBD/Melatonin hybrid product called ZZZZZZ for you guessed it, a sleep aid. They sell CBD products on their e-commerce site branded as the American Green CBD Store. They also have health supplements under the brand OneBode.

Valuation: Weak

Current share price: $0.002
Price to Sales: NA
52 week low/high: $0.0002-$0.0412
EV/EBITDA: NA
Price/Book: NA

Financing: Weak

They had $858k for revenue in the second half of 2019, mostly for mgmt fees through their leased grow. For the same period, this left them with $43,865 cash in hand.

ERBB Technical Analysis

Should I buy ERBB Cannabis Stock?

Follow Stephen Goldman as he evaluates American Green, Inc. (ERBB) using the Aroon, MACD, and KST (know sure thing) to evaluate if ERBB is a strong buy, or a strong pass. Trading is easy.

Remember sound cannabis stock trading strategies include both Fundamental Analysis and Technical Analysis.

52 week Range -
/

Bottom Line: Is American Green Cannabis Stock a Buy?

Recommendation: Weak

American Green, Inc. is a management company with cultivations, app development, e-commerce, and CBD kiosk aspirations. They are not yet successful in any of these ventures. They do have one of the most interesting back stories ever though.

They started in 1998 as an entertainment and communications company, even hosting concerts in Asia. In 2016 they pivoted to cannabis and hemp. But in 2018, they purchased a town called Nipton, California, located in San Bernardino county. Their subsidiary CannAwake then purchased all the real estate in the town for 160,000 shares of preferred stock. They plan to turn the town into a hemp haven with a CBD extraction facility, produce CBD-infused drinking water, and CBD edibles. These plans are stalling but we give them points for creativity.

They have had some success in their leased AZ grow, Sweet Virginia, with sales picking up and maybe approaching $1 million per year. They also recently announced orders for 20 CBD vending machines for EZ Weed. Sales on their online CBD store have also picked up in 2020 with revenue up 31% higher than in 2019. This is the good news.

The bad news is that this revenue is dwarfed by expenses, above $4 million. This is one of those companies that pays all debts with stock and they have plenty to dole out with 29.7 billion shares outstanding of 60 billion shares authorized (50%). They did do a 500 to 1 reverse split in Sept. 2019. 

With no revenue, no cash on hand, and confusing paths to revenue to come, we are forced to rate them as weak no matter how creative they are. If you are looking for more productive companies, check out our Featured Companies Page for many other winners in the cannabis and hemp industry.

Symbol Name Last Price Change % Change
Algorithmic Stock Trading Hemp Stocks

ScottsMiracle-Gro Announces Record Second Quarter Results

The team at Cannin.com has a demonstrated track record of picking winning cannabis stocks and we've been long time fans of SMG. Today, ScottsMiracle-Gro announces record second quarter results as sales increased by 32% and is driven by strong demand in both major...

Biden Proposes Plan to Pay Hemp Farmers for Carbon

Farmers across America are well-positioned to benefit from President Biden as he proposes his plan to pay hemp farmers adopting carbon farming practices on their farms. This proposal comes as part of President Biden's commitment to half the United States’ greenhouse...

What States are Most Likely to Legalize Marijuana in 2021?

Recently New York, New Jersey, and South Dakota voted to legalize adult use of marijuana for citizens 21 years and older. These are the latest in a wave of states voting to legalize cannabis either for recreational or medical consumption. But what states are most...

South Dakota Supreme Court and Amendment A – What’s Next?

South Dakota recently voted to legalize adult recreational consumption of cannabis. The amendment, which was titled Amendment A, passed in the State Senate with a 52.4% majority. However, it was found to be unconstitutional by Circuit Judge Christina Klinger due to a...

US House Passes SAFE Banking Act with a Substantial Majority

The US House just voted to pass the marijuana banking reform bill, commonly known as the SAFE Banking Act. This news has been welcomed with great applause by the vast majority of participants in the cannabis industry. If you have been reading our blog posts, you will...

Trulieve: When to Buy or Sell this Cannabis Stock

Fundamentally, Trulieve should be one of the best cannabis stocks to buy - but what does the technical analysis tell us? Let's dive into Trulieve and when to buy or sell this cannabis stock. Trulieve Cannabis (OTC: TCNNF) continues to grow steadily and now holds a 52%...