The ASX pot stock sector has had a rough 2018 with shares down across the board including pot stock market leader Cann Group Ltd (ASX: CAN) that has lost 47% of its value since early January 2018.
Cann Group shares surged to above $4 in early January after the federal government announced it would permit the export of Australian medicinal cannabis products.
Unfortunately since then it's been all down hill with the stock changing hands for $1.78 today, with the company earning just $2,000 in revenues for the quarter ending September 30, 2018.
According to Commsec Cann Group has a market value of $179 million, with investors' lofty expectations presumably based on Cann's plans to build substantial cannabis cultivation facilities outside Melbourne, Victoria.
Its Project Tullamarine aims to have an operational cannabis cultivation facility by the third quarter of 2020 that will produce 40,000 to 50,o00 tonnes of "dry flower" equivalent.
Cann Group is extremely well funded for a research and development business with $79.9 million cash in hand as at the last quarter end.
It will need these funds to progress its ambitions to become a leading medicinal cannabis manufacturer and supplier and medical products.
