Why Charlotte's Web Holdings Stock Sank Today
Shares of Charlotte's Web Holdings (OTC: CWBHF) were sinking by 9.9% as of 3:06 p.m. EDT on Wednesday after dropping as much as 16.8% earlier in the day. The decline appeared to be the result of some investors taking profits following a jump of more than 50% since early last week. This big run was fueled largely by the company's announcement on May 20 that it had won a U.S. patent for an improved variety of hemp.
A pullback after several days of strong gains isn't unusual. It's tempting for investors to take money off the table after a stock skyrockets like Charlotte's Web has over the last few days. The real question is whether or not the surge for the cannabis stock was overdone in the first place.
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Source Fool.com
