mCig Inc (OTCMKTS:MCIG) Shares Poised for Upside Breakout?

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mCig Inc (OTCMKTS:MCIG) shares were up 7.69% last Friday to $0.358 and were flat in after-hours trading. Share prices have been trading in a 52-week range of $0.03 to $0.50. The company has a market cap of $116.39 million at 340.61 million shares outstanding. US markets were closed on Monday for Presidents’ Day and are scheduled to reopen today.

mCig Inc is a company that is engaged in manufacturing, marketing and distributing electronic cigarettes, vaporizers and accessories under the mCig brand name. It offers electronic cigarettes and related products through its online store, mcig.org, as well as through its wholesale, distributor and retail programs.

Its segments include Construction, Internet Sales and Wholesale. The Construction segment develops, designs, engineers, and constructs modular buildings with elements that assist cannabis growers in the market. Each modular building is designed for each customer. It tracks various retail sales, through the Internet segment through the consolidation of all online retail sales from various websites. It provides streamlining of administrative and documentation services, consolidation of inventories and supports economy of scale. The Wholesale segment works with distribution channels in electronic vaporizing cigarettes (eCig) and marijuana cigarettes (Rllies), among others.

A number of news agencies and research groups released estimates for the cannabis industry last week, allowing shares to advance and investor interest to pick up. According to people in America and Canada spent $56.4 billion on cannabis in 2016. Around $6.9 billion came from the legal recreational and medical cannabis market, which represents a 34% increase from 2015.

Colorado, which is the first state to legalize cannabis for recreational use, saw impressive growth in the cannabis market. The Colorado Department of Revenue tax data released the previous week indicated that Colorado’s dispensaries sold $1.3 billion of legal cannabis in 2016 while $875 million came from recreational sales and $438 million from medial cannabis. Its first licensed recreational dispensaries opened back in 2014 generated $699.2 million revenue by selling recreational and medical cannabis during their first year operation and $996 million in 2015.

mCig is also in the final stages of bringing the exciting, innovative, brand-new organic em-j product to market. em-j, which is infused with Cannabidiol (CBD), is one of the many products that the mCig pharma division has developed using CBD (a list which already includes a successful line of oils, tanks, and waxes). The highly anticipated em-j product will be available to customers in a few weeks, after a delay to further refine the formula used in the new product. mCig made the decision to delay the product release to ensure that the final em-j product brought to the market met the standard applied to all products in the mCig line, and mCig now has the capacity to be able to bring similar products to market much more quickly,” a recent press release indicated.

Earlier this month, mCig Inc filed an 8K entry into a material definitive agreement ith Paul Rosenberg, the Chairman and CEO, whereby the company will cancel 2,000,000 shares of Series A Preferred Stock in exchange for $200.

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