New Age Beverages Corp (NASDAQ: NBEV) is having an overwhelmingly strong start to the trading session this morning, following up on the massive gains that the stock saw in the market yesterday. The gains came after the company announced that it would be unveiling its CBD product portfolio relatively soon. Today, we’ll talk about:
- The CBD product portfolioe;
- what we’re seeing from NBEV; and
- what we’ll be watching for ahead.
NBEV Gains On CBD Products
As mentioned above, New Age Beverages is hving an incredibly strong start to the trading session in the pre-market hours this morning after announcing the coming launch of CBD drinks. In a press release issued late yesterday, the company announced that it will be debuting its portfolio fo CBD infused beverages as the coming North American Convenience Store show that will run from October 7th through October 10th.
In the release, NBEV said that with the growing awareness of potential health benefits of CBD, the company has evaluated the data and science supporting the emerging segment. As a result, the company started testing CBD-infused drinks earlier this year in Colorado. The company said that due to the overwhelmingly success of this test, it has decided to expand its presence in the category.
In the release, the company said that it plans on meeting with some of the major retailers through the country at the show in October and taking orders on a first-come, first-serve, basis. In a statement, Zach Ross, Marley Marketing Manager at NBEV, had the following to offer:
We believe we have developed unique consumer insights and accessed superior technology in CBD-infused beverages over the past year, and we are excited to share those insights with key retail partners. We believe we are in a position to bring national leadership to this emerging growth segment, and intend to launch the most efficacious and safe CBD-infused products for consumers, with the most responsible marketing and education to a segment that has potential to be transformative to healthy functional beverages.
What We’re Seeing From The Stock
One of the first lessons that we learn when we start to dig into the market is that the news leads to moves. In the case of New Age Beverages, the news was overwhelmingly positive. After all, the company plans on carving its slice within this emerging market, hoping to see strong demand in the CBD drink space. So, it comes as no surprise that excited investors are sending the stock on a run for the top. As is normally the case, our partners at Trade Ideas were the first to alert us to the gains. Currently (8:28), NBEV is trading at $4.37 per share after a gain of $1.55 per share or 54.96% thus far today.
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What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will continue to keep a close eye on NBEV. In particular, we’re interested in following the story surrounding the company’s continued work in the CBD drink space. We’re also watching for any news associated with the recent rumors that Coca-Cola is interested in taking the company over. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks.
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