Why Organigram Holdings Stock Is Perking Up Today
Shares of the craft cannabis company Organigram Holdings (NASDAQ: OGI) were up by 5.98% on heavy volume as of 2:49 p.m. ET Monday afternoon. The Canadian pot company's shares appear to be responding positively to two material events:
Despite being one of the most efficient cannabis cultivators in Canada, Organigram's stock hasn't been able to escape the multiyear downward trend in the space. Since its IPO, Organigram's shares have lost a staggering 69% of their value.
As a direct result of this bearish market for cannabis stocks, Organigram's shares have fallen well below the $1 minimum bid requirement to remain listed on the Nasdaq stock exchange. The company, in turn, might have to execute a reverse split later this year in order to keep its U.S. listing. Today's bullish overtones are thus welcome news for investors in the space in the broad sense, and for shareholders of Organigram stock in particular.
Source Fool.com
