By Jim
Bloom - Posted on November 5, 2018
The 2018 Farm Bill has become the newest sensation among cannabis
players.
The bill which indirectly federally legalizes CBD within the
United States as a result of the legalization of industrial hemp
and its by-products such as hemp oil is currently on the favorable
side of most cannabis players. As a result of the bill, players
will now legally harness the CBD market and benefit from the
associated high returns akin to the industry. Furthermore, with
hemp having other roles such as in the textile industry, its
versatility will also see the growth of under industries, ensuring
job creation in the process.
Firms are therefore following with bated breaths the news on the
bill. This is especially so for firms which have an interest in the
hemp industry as well as firms looking to invest in the
industry.
One such firm is Enviro-Serv Inc (OTCMKTS:EVSV).
Over the past one month, the firm has continued to issue
forward-looking statements alluding to their bid to venture into
the hemp industry. The $10 billion industry promises the firm
significant returns in the long-term especially now that the
industry is still in its growth stage. In addition, their
investment in service delivery for the government – a $45 billion
industry – has also been key in the firm’s statements.
The result of these has been an increase – albeit small – in the
firm’s share price. The firm’s current price of $.0013 is a near
350% increase from their price on Friday last week of $.0002.
Further to this, the average daily share turnover has also risen
drastically to 36 million shares.
Readers can review this information in the chart below:
The result of the firm’s expected investment in the two sectors,
it becomes more and more clear that their value proposition is
expected to increase. As a result, we opted to take a look at the
firm and evaluate how this is expected to be done.
BRIEF LOOK AT EVSV
Enviro-Serv Inc was founded back in 1997 with its headquarters
situated in Tampa, Florida. Back then, the company was named
Transfer Technology International Corp, however, back in March 2013
the firm changed its name to its current one as well as reoriented
their strategic objectives and direction.
The firm has in the past offered lawn/landscape maintenance as
well as pest control services, however, they are currently working
towards venturing into the cannabis space through the investing in
the industrial hemp industry.
RECENT DEVELOPMENTS
Two key factors come out clearly here, the firm’s venture into
cannabis as well as their diversification within other government
contracts. These two are discussed below.
MORE GOVERNMENT BIDS
EVSV has previously been a player in government contracts. This
is especially so given that the firm operates as a small enterprise
thus benefiting from the allocation the United States government
has for such firms. Currently, this allocation stands at $2
billion. As such, small firms always seek to benefit further from
this allocation by diversifying the range of services they offer
thus casting a wider net. This is the approach EVSV has taken
up.
The firm is working two angles to increase their share:
obtaining new licenses to provide more services and growing their
reach through entry into different geographical market segments.
With the firm currently focused within the Tampa region, their
reach is limited to service provided therein. As such, management
has taken up the responsibility of growing their reach to other
parts of the United States.
Moreover, the firm has also applied for GSA certification which
is separate from the pest control – which the firm has previously
provided. Moreover, they announced that they are in discussions
with two telecommunication companies to acquire them. The two
companies provide cell phone services to government thus offering
EVSV a chance to venture into a different segment, growing their
service provision offering – a formal announcement on this is
expected in a few weeks. Through this, they will be able to provide
more services and obtain more contracts with the government,
allowing for higher revenues and thus more profits.
The above two represent part of a three-year comprehensive
expansionary plan which will see the firm grow their service
provision business throughout the country.
THE HEMP FACTOR
With the 2018 Farm Bill speaking to the legalization of CBD,
EVSV is working towards venturing into this industry and expects
that their revenues will grow drastically.
According to the firm’s CEO, the firm brings to the market
expertise in the cultivation section of the business and will be a
value add in the selection of fertilizer. So far, the firm is
already in discussion with different parties operating within the
cannabis industry to assist in this process. They are also working
towards joint ventures with some of these parties so as to ensure
they are successful in their venture.
CONCLUSION
EVSV has opted to venture into two massive industries which
promise significant returns. With the firm currently operating as a
small enterprise, it is clear that they are working towards
assuring investors of significant returns akin to small firms. As
such, their bid to venture into the above two industries is a sure
way for them to achieve this. Upon this backdrop, we believe that
they will seek to meet all that has been set out in their
expansionary strategy thus remain bullish about their stock
price.
We will be updating our subscribers as soon as we know
more. For the latest updates on EVSV, sign up below!
Other features today on Insiderfinancial include CannaRoyalty Corp
(ORHOF), Pernix
Therapeutics Holdings Inc (NASDAQ:PTX),
PUF Ventures Inc (PUFXF)
Disclosure: We have no position in EVSV and have not been
compensated for this article.
Source: https://insiderfinancial.com/enviro-serv-inc-otcmktsevsv-industrial-hemp/177079/
Enviro Serv (PK) (USOTC:EVSV)
過去 株価チャート
から 11 2024 まで 12 2024
Enviro Serv (PK) (USOTC:EVSV)
過去 株価チャート
から 12 2023 まで 12 2024
